Toyota revises FY2026 outlook, cuts EV target and launches $1 trillion share buyback

Toyota Motor Corp announced an upward revision of its FY2026 (April 2026‑March 2027) revenue forecast to 54 trillion yen, up from 51 trillion yen, and lifted its profit outlook to 3.25 trillion yen, still below market expectations. The company reduced its electric‑vehicle (EV) sales target by about 10% to 53.3 k units, while modestly raising its hybrid‑vehicle (HV) target. It also unveiled a share‑repurchase programme of up to 1 trillion yen (5 billion shares) to run from August 2026 to August 2027.

In the latest quarter, Toyota reported revenue of 13.53 trillion yen, a 10.4% year‑on‑year increase, and net profit of 1.48 trillion yen, up 76% thanks largely to favorable exchange‑rate effects and non‑operating gains. Operating profit fell 8.8% to 1.06 trillion yen, pushing the core automotive operating margin below 6%. EV sales surged 141% YoY, but sales in China slumped 26.9% in June, marking the fifth consecutive month of decline and the first global dip in overall production and sales.

Toyota cited higher fuel prices, intensified competition in China’s new‑energy market, and external risks such as Middle‑East supply‑chain disruptions and the aftermath of the 2026 Kumamoto earthquake as factors influencing its outlook.