Toyota Motor Corporation has released its financial report for fiscal year 2025, which ended in March 2026. Net profit came in at 3.85 trillion yen, down 19.2% from 4.77 trillion yen the previous year.
The result missed market forecasts, reflecting the challenges facing Japan's largest automaker, including rising raw material costs and intense competitive pressure in the electric vehicle segment.
Despite this, Toyota's revenue rose 5.8% to 47.5 trillion yen, supported by steady sales in key markets such as North America and Asia. However, operating profit fell sharply by 14.5% to 4.2 trillion yen, due to increased spending on research and development of new technologies as well as higher logistics costs.
The company said it will continue to push ahead with its electrification strategy, planning to launch more hybrid and pure electric models in the coming years. Toyota's shares edged lower on the Tokyo Stock Exchange following the announcement.
