TOYOTA MOTOR CORP/ (TM): Financial results for FY2027
TOYOTA MOTOR CORP/ (TM) furnished an SEC Form 6-K — earnings release. Table of Contents FINANCIAL SUMMARY (All financial information has been prepared in accordance with IFRS Accounting Standards) FY2027 First Quarter (April 1, 2026 through June 30, 2026) English translation from the original Japanese-language document TOYOTA MOTOR CORPORATION Tabl
How this was made
The 30-second read
Why it matters
The earnings beat on both revenue and EPS may drive short‑term buying pressure, while guidance for FY2027 shows modest growth expectations.
Market read
Toyota's earnings are a key driver for the auto sector and can influence broader market sentiment, especially in Asia.
What to watch
Higher operating costs or future currency headwinds could temper upside.
FY2027 first-quarter sales revenues increased 10.4% to 13,525,400 million yen, while operating income decreased 8.8% to 1,063,473 million yen; net income attributable to Toyota Motor Corporation increased 75.6% to 1,477,044 million yen.
Sales revenues, income before income taxes, net income and EPS increased sharply, but operating income declined as automotive operating income fell and consolidated vehicle unit sales decreased. The full-year forecast calls for operating income and net income attributable to Toyota Motor Corporation to decline from FY2026.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total sales revenuesother | 13,525,400 million yen | – | 10.4% |
| Sales of productsother | 12,142,263 million yen | – | – |
| Financial services revenueother | 1,383,137 million yen | – | – |
| Total costs and expensesother | 12,461,927 million yen | – | – |
| Cost of products soldother | 10,185,856 million yen | – | – |
| Cost of financial servicesother | 901,297 million yen | – | – |
| Selling, general and administrativeother | 1,374,774 million yen | – | – |
| Operating incomeother | 1,063,473 million yen | – | -8.8% |
| Operating income ratioother | 7.9% | – | – |
| Share of profit of investments accounted for using the equity methodother | 210,685 million yen | – | – |
| Other finance incomeother | 850,594 million yen | – | – |
| Other finance costsother | (285,617) million yen | – | – |
| Foreign exchange gain (loss), netother | 112,378 million yen | – | – |
| Other income, netother | 12,348 million yen | – | – |
| Income before income taxesother | 1,963,862 million yen | – | 56.8% |
| Income before income taxes ratioother | 14.5% | – | – |
| Income tax expenseother | 412,136 million yen | – | – |
| Net incomeother | 1,551,725 million yen | – | 77.9% |
| Net income attributable to Toyota Motor Corporationother | 1,477,044 million yen | – | 75.6% |
| Net income ratioother | 10.9% | – | – |
| Net income attributable to non-controlling interestsother | 74,681 million yen | – | – |
| Basic earnings per share attributable to Toyota Motor Corporationother | 120.69 yen | – | – |
| Diluted earnings per share attributable to Toyota Motor Corporationother | 120.69 yen | – | – |
| Comprehensive incomeother | 1,865,905 million yen | – | 121.9% |
| Consolidated vehicle unit salesother | 2,395 thousand units | – | -0.7% |
| Vehicle productionother | 2,355 thousand units | – | – |
| Total retail unit salesother | 2,714 thousand units | – | – |
| R&D expensesother | 383.2 billion yen | – | – |
| Depreciation expensesother | 377.8 billion yen | – | – |
| Capital expendituresother | 410.5 billion yen | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| AutomotiveOperating income decreased mainly due to the increase in expenses and others. | 12,012.7 billion yen | – | 8.8% |
| Financial servicesOperating income increased mainly due to increase in loan balance. | 1,400.6 billion yen | – | 23.3% |
| All otherOperating income increased by 44.2 billion yen, or 118.0%. | 469.9 billion yen | – | 37.0% |
| JapanOperating income decreased mainly due to the increase in expenses and others. | 5,824.5 billion yen | – | 11.8% |
| North AmericaOperating income increased mainly due to the decrease in expenses and expense reduction efforts. | 6,105.7 billion yen | – | 14.9% |
| EuropeOperating income increased mainly due to marketing efforts. | 1,879.8 billion yen | – | 20.4% |
| AsiaOperating income decreased mainly due to the increase in expenses and others. | 2,336.3 billion yen | – | 9.5% |
| OtherOperating income decreased mainly due to the effects of marketing activities. | 1,272.1 billion yen | – | 12.8% |
FY2027 full-year forecast outlook
- Revenue54,000,000 million yen
- NoteOperating income: 3,400,000 million yen
- NoteIncome before income taxes: 4,570,000 million yen
- NoteNet income attributable to Toyota Motor Corporation: 3,250,000 million yen
- NoteBasic earnings per share attributable to Toyota Motor Corporation: 272.17 yen
- NoteVehicle sales: 9,700 thousand units
- NoteVehicle sales in Japan: 2,070 thousand units
- NoteOverseas vehicle sales: 7,630 thousand units
- NoteVehicle sales in North America: 3,020 thousand units
- NoteVehicle sales in Europe: 1,220 thousand units
- NoteVehicle sales in Asia: 1,780 thousand units
- NoteVehicle sales in Central and South America: 550 thousand units
- NoteVehicle sales in Oceania: 310 thousand units
- NoteVehicle sales in Africa: 280 thousand units
- NoteVehicle sales in the Middle East: 470 thousand units
- NoteTotal retail unit sales: 11,180 thousand units
- NoteYen to U.S. dollar rate as premise: 160
- NoteYen to Euro rate as premise: 181
- NoteCash dividends per share: 100 yen
- NoteR&D expenses: 1,600.0 billion yen
- NoteDepreciation expenses: 1,650.0 billion yen
- NoteCapital expenditures: 2,300.0 billion yen
Capital returns
- Repurchase of treasury stock: (3,656,884) million yen
- Value of shares repurchased [actual purchase]: 3,656.8 billion yen
- Value of shares repurchased [based on resolution]: 1,000.0 billion yen
- Dividends paid to Toyota Motor Corporation common shareholders: (651,697) million yen
- Dividends paid to non-controlling interests: (25,281) million yen
- FY2027 forecast annual cash dividends per common share: 100.00 yen
- FY2027 forecast interim cash dividend per common share: 50.00 yen
- FY2027 forecast year-end cash dividend per common share: 50.00 yen
- Revisions to the forecast of cash dividends since the latest announcement: none
What drove it
- Marketing efforts increased operating income by 70.0 billion yen.
- Effects of changes in exchange rates increased operating income by 345.0 billion yen.
- Cost reduction efforts decreased operating income by 85.0 billion yen.
- Increase or decrease in expenses and expense reduction efforts decreased operating income by 190.0 billion yen.
- Other decreased operating income by 242.6 billion yen.
- Non-operating income increased net income attributable to Toyota Motor Corporation by 814.3 billion yen.
- Vehicle unit sales in Japan increased by 43 thousand units, or 8.9%, to 524 thousand units.
- Overseas vehicle unit sales decreased by 60 thousand units, or 3.1%, to 1,870 thousand units.
Concerns
- Consolidated vehicle unit sales decreased by 17 thousand units, or 0.7%, to 2,395 thousand units.
- Operating income decreased by 102.6 billion yen, or 8.8%, despite sales revenue growth.
- Automotive operating income decreased by 191.4 billion yen, or 21.0%, to 719.9 billion yen.
- Operating income decreased in Japan, Asia and Other geographic regions.
- FY2027 full-year operating income forecast is 3,400,000 million yen, a decrease of 9.7% from FY2026.
- FY2027 full-year net income attributable to Toyota Motor Corporation forecast is 3,250,000 million yen, a decrease of 15.5% from FY2026.
- Hino Motors, Ltd. and its consolidated subsidiaries, totaling 70 companies, were excluded from consolidation during the period.
What to watch
- Delivery against the revised FY2027 full-year forecast of 54,000,000 million yen in sales revenues and 3,400,000 million yen in operating income.
- Whether automotive operating income recovers after the first-quarter decrease to 719.9 billion yen.
- The durability of North America operating income, which increased to 185.4 billion yen from an operating loss of 21.1 billion yen in FY2026 first quarter.
- The effect of exchange rates, with FY2027 planning assumptions of 160 yen to the U.S. dollar and 181 yen to the euro.
- Progress toward FY2027 vehicle sales of 9,700 thousand units, following first-quarter consolidated vehicle unit sales of 2,395 thousand units.
- Completion of the planned sale of part of Toyota’s ARCHION CORPORATION shares, which were reclassified as assets held for sale.
Balance sheet and cash flow
- Total assets: 102,635,116 million yen as of June 30, 2026; 105,522,331 million yen as of March 31, 2026
- Total liabilities: 64,406,184 million yen as of June 30, 2026; 64,502,263 million yen as of March 31, 2026
- Total shareholders’ equity: 38,228,932 million yen as of June 30, 2026; 41,020,068 million yen as of March 31, 2026
- Toyota Motor Corporation shareholders’ equity: 37,308,828 million yen as of June 30, 2026; 39,918,854 million yen as of March 31, 2026
- Ratio of Toyota Motor Corporation shareholders’ equity: 36.4%; 37.8% at FY2026
- Cash and cash equivalents: 10,343,085 million yen as of June 30, 2026; 12,659,622 million yen as of March 31, 2026
- Total liquid assets: 14,727.6 billion yen
- Short-term and current portion of long-term debt: 17,868,651 million yen
- Long-term debt: 26,084,517 million yen
- Net cash provided by operating activities: 536,551 million yen; 1,876,481 million yen in the first quarter ended June 30, 2025
- Net cash provided by investing activities: 1,427,456 million yen; net cash used in investing activities of (1,802,002) million yen in the first quarter ended June 30, 2025
- Net cash used in financing activities: (4,339,099) million yen; (803,284) million yen in the first quarter ended June 30, 2025
- Net decrease in cash and cash equivalents: (2,316,536) million yen; (771,548) million yen in the first quarter ended June 30, 2025
Analysis
Toyota reported a mixed FY2027 first quarter under IFRS. Sales revenues increased 10.4% to 13,525,400 million yen, while consolidated vehicle unit sales declined 0.7% to 2,395 thousand units. Japan vehicle unit sales increased 8.9% to 524 thousand units, but overseas unit sales decreased 3.1% to 1,870 thousand units. The revenue result therefore came despite a modest contraction in consolidated volume.
Operating performance weakened below the revenue line. Operating income decreased 8.8% to 1,063,473 million yen and the operating income ratio was 7.9%, compared with 9.5% in the prior-year quarter. Toyota identified a 345.0 billion yen positive effect from changes in exchange rates and a 70.0 billion yen positive effect from marketing efforts, offset by 85.0 billion yen from cost reduction efforts, 190.0 billion yen from expenses and expense reduction efforts, and 242.6 billion yen from other factors.
Business mix was uneven. Automotive revenue increased 8.8% to 12,012.7 billion yen, but automotive operating income decreased 21.0% to 719.9 billion yen, mainly due to increased expenses and others. Financial services revenue increased 23.3% to 1,400.6 billion yen and operating income increased 24.0% to 275.6 billion yen, mainly due to increased loan balance. North America moved to operating income of 185.4 billion yen from an operating loss of 21.1 billion yen, while Japan, Asia and Other recorded operating-income declines.
Below operating income, other finance income rose to 850,594 million yen and foreign exchange moved to a gain of 112,378 million yen from a loss of 212,375 million yen. Income before income taxes increased 56.8% to 1,963,862 million yen, and net income attributable to Toyota Motor Corporation increased 75.6% to 1,477,044 million yen. Basic and diluted earnings per share were both 120.69 yen, compared with 64.56 yen in the prior-year quarter.
Cash generation and capital allocation were notable. Net cash provided by operating activities decreased to 536,551 million yen from 1,876,481 million yen, while net cash used in financing activities was 4,339,099 million yen, including 3,656,884 million yen of treasury-stock repurchases. Cash and cash equivalents declined to 10,343,085 million yen. Toyota forecasts FY2027 sales revenues of 54,000,000 million yen but operating income of 3,400,000 million yen, down 9.7% from FY2026, and net income attributable to Toyota Motor Corporation of 3,250,000 million yen, down 15.5%.
Not in the filing
stated, not guessed- Gross profit and gross margin
- Non-GAAP measures
- Free cash flow
- Quarter-over-quarter percentage changes for reported income-statement metrics
- Prior guidance comparison, because no previous outlook was provided
- Forward gross-margin guidance
- Forward operating-expense guidance
- Forward tax-rate guidance
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Toyota filed a Form 6‑K with the SEC, providing its FY2027 first‑quarter financial results in Japanese yen.
Ticker impact
Toyota Motor Corp released its FY2027 Q1 earnings with revenue of ¥13.5T and EPS of ¥120.69, up from ¥64.56 a year ago.
Potential upside of 2‑4% in the near term as investors digest the beat.
First‑hand earnings data from a primary SEC 6‑K filing; large‑cap with material beat on revenue and EPS.
Market effects
Automotive sector may see broader lift as Toyota signals demand strength across regions.
Japanese market likely to rally on the earnings beat.
Toyota's performance influences global auto supply chains and currency dynamics.
Counterpoint
If the beat is already priced in, a pull‑back could occur on profit‑taking.
Key entities
- companyToyota Motor Corporation
Japanese automotive manufacturer listed on NYSE as TM.
