Toyota Forecasts 20% Profit Drop as Middle East Conflict Weighs on Earnings
Toyota Motor forecast fiscal-year net income of ¥3 trillion, versus a ¥4.04 trillion analyst estimate, after posting record sales but warning that profit will fall about 20% in the current financial year. Fourth-quarter revenue was ¥12.18 trillion, topping expectations of ¥11.92 trillion, but operating income fell to ¥569.49 billion versus an ¥841.27 billion estimate and net income came in at ¥187.21 billion, far below the ¥731.65 billion expected.
The automaker said cost and supply uncertainties tied to the Middle East conflict are weighing on earnings even as demand for hybrid models supports sales growth. Toyota estimated the conflict's impact at ¥670 billion for fiscal 2027, projected operating income of ¥3 trillion against a ¥4.61 trillion estimate, said global vehicle sales would reach 11.18 million units, and reported a North America operating loss of ¥287.5 billion as U.S. tariffs added pressure in the quarter.
From the sources (10 posts)
@firstsquawkTOYOTA MOTOR 7203.T 2025/26 GROUP (IFRS) NET PROFIT 3.85 TRLN YEN (-19.2 %) , 2026/27 FORECAST PROFIT 3.00 TRLN YEN (-22.0 %) || OPERATING PROFIT 3.77 TRLN YEN (-21.5 %), 2026/27 FORECAST PROFIT 3.00 TRLN YEN (-20.3 %) || PRETAX PROFIT 5.15
@firstsquawkToyota Q4 26 Earnings: • Revenue: ¥12.18T (est ¥11.92T) • Operating Income: ¥569.49B (est ¥841.27B) • Net Income: ¥187.21B (est ¥731.65B) • Dividend: ¥50.00, Prior ¥50.00 • Asia Ex-Japan Operating Profit: ¥234.7B, +11% Y/Y • Japan Operatin
@firstsquawkToyota: Middle East Conflict Impact Estimated At ¥670B For FY2027 • Sees FY Net Profit Down 22% • Expects FY FX Assumption At ¥180/USD, ¥150/EUR • Notes Reverse Gains, Expanding Losses After Earnings Disappointment • Says No Share Buyback
@cnbcToyota fourth-quarter profit misses by wide margin as U.S. tariffs drive 49% slump
@businessToyota put forward a conservative profit forecast after posting record sales, as the growing fallout from the conflict in the Middle East weighs on businesses across the globe
@reutersbizToyota forecast a 20% decline in profit for the current financial year, as cost and supply uncertainties stemming from the Middle East conflict weigh on earnings even as robust demand for its hybrid models powers sales growth. More here: h
@reutersToyota forecast a 20% decline in profit for the current financial year, as cost and supply uncertainties stemming from the Middle East conflict weigh on earnings even as robust demand for its hybrid models powers sales growth
@ftToyota warns of $4.2bn hit from Middle East war
@reutersToyota halved its quarterly profit in an earnings report and forecast a decline of 20% in the year that just started, as rising costs and supply snarls from the Iran war outweighed surging demand for hybrid vehicles
@reutersbizWATCH: Toyota halved its quarterly profit in an earnings report and forecast a decline of 20% in the year that just started, as rising costs and supply snarls from the Iran war outweighed surging demand for hybrid vehicles