A sign with the Toyota logo in Surrey, England on August, 2023
Peter Dazeley | Getty Images News | Getty Images
Toyota Motor on Wednesday missed operating profit estimates for the quarter ended September as the Japanese auto giant bears the brunt of U.S. tariffs.
Here are Toyota’s September quarter results compared with mean estimates from LSEG:
- Revenue: 12.38 trillion yen (about $81 billion) vs. 12.18 trillion yen
- Operating profit: 834 billion yen vs. 863.1 billion yen
The world’s largest carmaker by sales volume reported a nearly 28% drop in profit , year on year, while revenue increased over 8%.
The company released 6-month results — from April to September — and the quarterly numbers have been calculated by CNBC, based on company statement and LSEG data.
Toyota revised its operating profit forecast for its full financial year ending in March to 3.4 trillion yen, up from 3.2 trillion forecast earlier.
“Despite the impact of U.S. tariffs, strong demand supported by the competitiveness of our products has led to increased sales volumes mainly in Japan and North America and has expanded value chain profits,” Toyota said in an earnings report.
The company said it would continue to focus on increasing sales volume, cutting costs, and expanding value chain profits.
The company’s profit fell for a second straight quarter since the United States introduced “reciprocal” tariffs in April. Tokyo in July clinched a trade deal with Washington, bringing down tariffs on its exports to the U.S. to 15% from the 25% initially proposed by President Donald Trump. The 15% tariffs took effect on Aug. 7.
Japanese shipments of automobiles to the U.S. have seen a sharp decline in terms of value, with exports dropping 24.2% in September, slightly less compared to the 28.4% drop in August.
By unit sales, Toyota has continued to show strong global demand. The company recently reported that vehicle sales, including its luxury brand Lexus, reached 5.3 million in the nine months to September, a 4.7% increase year-over-year.