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Toyota announces financial results; product line-up is a key driver of sales growth

On 8 May 2024, Toyota announced its full-year results for the year ending 31 March 2024.

Consolidated sales (operating revenue) increased by 21.4% year-on-year to JPY 45,953 billion and operating profit almost doubled to JPY 5,352.9 billion, both of which were significantly higher than the previous year. Of this, sales in the automobile segment increased by 22.0% to JPY 41,266.2 billion, with sales per vehicle sold reaching JPY 4,374,000, surpassing the JPY 4 million mark for the first time.

Looking at the past five years, sales per unit have risen sharply from JPY 2,993,000 in FY 2019 to JPY 3,230,000 in FY 2020, JPY 3,475,000 in FY 2021 and JPY 3,831,000 in FY 2022. The rise in sales per vehicle is largely due to the impact of foreign exchange rates, but the upward shift in Toyota’s line-up is also a major factor.

The most recent results of product launches/discontinuations in 2023 show that while models with vehicle prices far exceeding JPY 4 million, such as Crown, Century, Alphard/Vellfire, Lexus LM and Lexus LBX, were completely upgraded and newly launched, the Passo and Pixis Joy were discontinued and the C -HR and Camry were discontinued in Japan, and the discontinued models are all in the 1-3 million yen class across the board.

In 2024, a number of new models are expected to be launched in excess of JPY 4 million, including several Lexus models, the Land Cruiser Prado, the bZ3X and the Alphard/Vellfire PHEVs. This is expected to contribute significantly to Toyota’s profit growth.