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The world’s biggest carmaker now sees ¥3.2 trillion in operating income for the fiscal year ending in March 2026, it said Thursday. That’s down from its initial forecast of ¥3.8 trillion, and also missed analyst expectations.
Toyota Motor Corp lowered its annual guidance as it warned of a ¥1.4 trillion (USD 9.5 billion) hit to its bottom line from US tariffs that have rattled the global automotive industry.
The world’s biggest carmaker now sees ¥3.2 trillion in operating income for the fiscal year ending in March 2026, it said Thursday. That’s down from its initial forecast of ¥3.8 trillion, and also missed analyst expectations.
The carmaker reported operating income of ¥1.17 trillion in the first quarter, down 11% from a year earlier, beating analysts’ predictions for ¥890 billion. While price hikes in some regions helped that metric, the tariff impact was ¥450 billion for the period.
The outlook, which coincides with the start of President Donald Trump’s sweeping new tariffs, marks the carmaker’s most comprehensive account of its likely impact beyond a previous estimate that it faced a ¥180 billion hit in April and May alone.
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Toyota’s estimate dwarfs’ recent forecasts from global heavyweights as the auto industry contends with fast-changing policies that are seeing costs balloon. Ford Motor Co said last week that it sees a net tariff impact of USD 2 billion, about USD 500 million more than the company expected previously. Meanwhile, Stellantis NV sees tariffs setting back earnings by about €1.5 billion, and General Motors Co said its exposure is USD 4 billion to USD 5 billion.
