Toyota's group operating loss may top Y500billion ($A7billion) for this fiscal year which began on April 1.

It would be the second straight operating loss.

The company has already warned that it expects an operating loss of $A6.2 billion its first for the fiscal year to March 31.

Revenue for this year is expected to fall to around $A277billion.

This was down from an estimated $A291billion for the year before.

Toyota group auto sales are now estimated at 6.5 million vehicles for the fiscal year just started.

If that is confirmed, it would be the first time Toyota's sales have fallen below seven million units, the daily said.

That forecast is mainly due to a delay in recovery of the United States car industry.

The Japanese and European car markets are also expected to remain stagnant, and the impact of a strong yen against the dollar and the euro.

A strong yen lowers the competitiveness of Japanese products.

Toyota overtook General Motors last year to become the world's top-selling car maker but only because the US giant's sales fell faster than its own.

The Japanese company has moved to lower production, slash jobs and appoint a new president from its founding family in response to its biggest crisis. AFP