Toyota Motor reports 49% drop in fourth-quarter operating profit
Updated
Updated · CNBC · May 8
Toyota Motor reports 49% drop in fourth-quarter operating profit
15 articles · Updated · CNBC · May 8
Operating profit fell to 569.4 billion yen from estimates of 813.28 billion, while revenue was 12.6 trillion yen and quarterly vehicle sales slipped to 2.29 million.
Toyota cut its fiscal 2027 operating income forecast by more than 20% to 3 trillion yen, citing US tariffs, stronger Chinese competition and rising investment, though net income rose to 817.2 billion yen.
The company said Middle East conflict, inflation and record research spending are raising costs, while it assumes a 150 yen dollar rate and expects battery-electric vehicle growth in China, Europe and North America.
Is Toyota's profit warning a temporary crisis, or does it signal a permanent breakdown of global supply chains?
As Mideast conflict inflates costs, is the era of affordable gas and electric cars coming to an end?