Tokyo: Toyota Motor Corp. announced Wednesday an upward revision of its consolidated net profit forecast for fiscal 2025, increasing it to 2.93 trillion yen from an earlier projection of 2.66 trillion yen. This adjustment comes amid sustained robust sales of hybrid vehicles in the North American market.
According to Philippines News Agency, for the fiscal year ending March 2026, Toyota has also increased its group operating profit forecast to 3.4 trillion yen from 3.2 trillion yen and its sales forecast to 49 trillion yen from the previous 48.5 trillion yen. Despite the challenges posed by high tariffs imposed by the administration of US President Donald Trump, Toyota continues to see strong sales in North America and solid performance in its domestic market.
US tariffs are anticipated to impact the group’s fiscal 2025 operating profit by 1.45 trillion yen. However, Toyota expects a smaller than previously projected impact from exchange rate fluctuations and rising material costs. These factors, along with strategic cost reductions and a review of its vehicle lineup, are expected to enhance profits by approximately 900 billion yen.
The company has also raised its global automobile sales forecast, including those at subsidiaries Daihatsu Motor Co. and Hino Motors Ltd., to 11.3 million units from 11.2 million units for the current fiscal year. Toyota’s Chief Financial Officer, Kenta Kon, indicated that demand in North America remains robust and is expected to continue strongly.
Kon addressed concerns at a press conference in Tokyo regarding the supply chain issues linked to a China-related Dutch semiconductor maker, stating that there is currently no impact on Toyota. He added, “We are closely watching potential effects while studying possible alternative parts.”
For the first half of the fiscal year, from April to September, Toyota reported record-high consolidated sales of 24,630.7 billion yen, marking a 5.8 percent increase from the same period last year. However, net profit fell by 7.0 percent to 1,773.4 billion yen, and operating profit decreased by 18.6 percent to 2,005.6 billion yen, with US tariffs affecting operating profit by 900 billion yen.
