Business · Companies · 17 hrs ago
Toyota raises annual profit forecasts on hybrid demand and weak yen
Toyota has raised its profit forecasts for the year ending March 2027 after strong demand for its hybrid vehicles and a weak yen boosted its outlook.
The Japanese automaker now expects net profit of 3.57 trillion yen, up from its August forecast of 3.25 trillion yen.
It also lifted its operating profit forecast to 3.9 trillion yen from 3.4 trillion yen.
Toyota said recovery work and changes to global supply helped it maintain vehicle sales despite higher material prices and production disruptions from earthquakes and floods.
A weak yen can increase the value of overseas earnings for Japanese exporters, but it also makes imports such as oil more expensive for Japan.
Toyota still faces strong competition from Chinese rivals, as well as US tariffs and pressure linked to the Middle East war.
Its updated forecasts reflect stronger expected profits, while those cost and market pressures remain.
Toyota raised its full-year profit forecasts, citing demand for hybrid vehicles and the weak yen.
For the year ending March 31, 2027, it expects net profit of 3.57 trillion yen ($22.6 billion).
It forecast operating profit of 3.9 trillion yen.
The company said it had offset higher materials costs and production disruptions caused by earthquakes and floods.
Toyota faces fierce competition from Chinese rivals, as well as pressure from U.S. tariffs and the Middle East war.
- Who
- Toyota, the Japanese automaker.
- What
- It raised its full-year net and operating profit forecasts.
- When
- The forecasts were announced on Nov. 5. The forecast year ends March 31, 2027.
- Where
- Japan.
- Why
- Toyota cited strong demand for hybrid vehicles and the weak yen, as well as efforts to mitigate higher materials costs and production disruptions.
This story does not have two clearly opposing sides.
Toyota forecast net profit of 3.25 trillion yen and operating profit of 3.4 trillion yen.
Toyota raised its forecasts for the year ending March 31, 2027.
- Revised net profit forecast
- 3.57 trillion yen ($22.6 billion)
- Revised operating profit forecast
- 3.9 trillion yen
- Previous net profit forecast
- 3.25 trillion yen
- Previous operating profit forecast
- 3.4 trillion yen
- Forecast year ends
- March 31, 2027
What people are saying
mitigated the impact of rising materials prices and production disruptions caused by earthquakes and floods through recovery efforts at production sites and optimised global supply, thereby maintaining consolidated vehicle sales.