Toyota has raised its full-year profit forecast, pointing to strong demand for hybrid vehicles and the weaker yen, despite intense competition from Chinese automakers. The company now expects net profit of 3.57 trillion yen ($22.6 billion) for the financial year ending March 31, 2027, up from its previous estimate of 3.25 trillion yen issued in August.
The revised outlook still represents a 7.2% decline in profit compared with the previous year. Toyota also increased its forecast for operating profit to 3.9 trillion yen, from 3.4 trillion yen.
The company said sales had remained resilient, supported by hybrid vehicles, particularly in the United States, and by the yen’s depreciation. The currency reached its weakest level in four decades this summer, according to the report.
Although Toyota’s new profit outlook was below the expectations of analysts surveyed by Bloomberg, its shares rose more than 15% after the announcement.
Sources: ANSA Economia.