Toyota Motor Corporation (TM): Business Model Canvas [Dec-2025 Updated]

You're looking to see how the world's largest automaker is positioning itself for the next decade, and honestly, the numbers from fiscal year 2025 tell a clear story. Toyota Motor Corporation is still leaning hard on its core strength-that legendary operational excellence built on the Toyota Production System-while simultaneously pouring capital into the future, with planned Research and Development (R&D) hitting about ¥1.3 trillion and Capital Expenditures (CapEx) for electrification reaching ¥2.1 trillion against consolidated revenues of ¥48,036.7 billion. This canvas shows a company executing a pragmatic, multi-pathway approach to carbon neutrality, balancing unmatched vehicle reliability with necessary, expensive bets on batteries and software. Dive below to see exactly how the pieces fit together for this industrial giant.

Toyota Motor Corporation (TM) - Canvas Business Model: Key Partnerships

You're looking at the structure of Toyota Motor Corporation's external relationships as of late 2025, which is critical for understanding their multi-pathway strategy.

Global network of over 3,000 suppliers

Toyota Motor Europe emphasizes alignment with its suppliers, focusing on continuous improvement in safety, quality, delivery, and cost. This collaboration extends to sustainability goals.

• Toyota asks suppliers to commit to an annual carbon reduction of at least 2%.
• Toyota Motor Europe supports its network through events like the Annual Business Meeting (ABM).

Key component suppliers within the Toyota Group, like Aisin and Denso, are deeply integrated, for instance, through the joint venture BluE Nexus, where Toyota holds a 10 percent stake in the electric drive module developer, with Aisin and Denso each holding 45 percent as of July 2020.

Strategic alliances for autonomous driving

The push for next-generation autonomous vehicles heavily relies on semiconductor partnerships. Toyota is building its next-generation vehicles on NVIDIA's DRIVE AGX Orin™ platform, running the DriveOS operating system.

NVIDIA projects its automotive business, which includes this work, will expand to approximately $5 billion in revenue by fiscal year 2026.

Joint ventures for EV platforms and manufacturing

Toyota maintains significant equity stakes in key manufacturing partners, underpinning joint development efforts for both traditional and electrified powertrains.

Here's a look at the ownership structure in some of these key manufacturing alliances:

Separately, a Japanese joint venture, GAC Toyota, expects an annual production of 770,000 units by the end of 2025 in China.

Battery supply agreements

To meet accelerated electrification targets, Toyota has secured supply agreements with multiple battery producers. The company's goal was to expand sales of electrified vehicles to 5.5 million units by 2025, which was projected to be around 50% of its entire car sales for that year.

Specific supply commitments include:

• Agreements with Chinese producers like Contemporary Amperex Technology (CATL) and BYD for stable supplies.
• A long-term agreement with LG Energy Solution to supply battery modules at an annual capacity of 20 gigawatt-hours starting in 2025 for U.S.-made EVs.
• Toyota's North Carolina plant is set to produce enough cells for up to 1.2 million 'electrified vehicles' per year.

Research collaborations with top academic institutions

Foundational research in artificial intelligence and robotics is supported through long-term academic partnerships. Toyota initially announced an investment of approximately $50 million over five years to establish joint research centers at both institutions.

The commitment breakdown included:

• The SAIL-Toyota Center for AI Research at Stanford was funded by $25 million from Toyota.
• The overall five-year investment for both MIT and Stanford totaled $50 million.

Finance: review Q3 2025 CAPEX allocation to strategic partnerships by Friday.

Toyota Motor Corporation (TM) - Canvas Business Model: Key Activities

You're looking at the core engine room of Toyota Motor Corporation, the activities that keep the whole operation running and driving future growth. It's not just about assembling cars; it's about a deeply ingrained philosophy backed by serious capital allocation. Here's the quick math on what they are actively doing as of late 2025.

Lean manufacturing and continuous improvement (Kaizen) via TPS.

The Toyota Production System (TPS), centered on concepts like Kaizen (continuous improvement), remains a foundational activity. While hard numbers for Kaizen events aren't typically public, the efficiency and quality it underpins are reflected in the financial results. For the fiscal year ended March 31, 2025 (FY2025), Toyota Motor Corporation achieved an operating income of 4,795,586 million yen on sales revenues of 48,036,704 million yen, yielding an operating income to sales revenues ratio of 10.0%. Furthermore, Toyota's focus on value chain earnings-strengthening relationships with existing customers-contributed 2 trillion yen in earnings for the fiscal year ending March 2025. This operational excellence helps keep costs in check, which is vital when facing high R&D costs.

Massive R&D in electrification and autonomous driving.

Toyota Motor Corporation is channeling significant resources into future mobility. For the fiscal year ending March 31, 2025, the company's R&D spending was reported at JPY 1.3 trillion (USD 9.1 billion). Investments in growth areas like battery electric vehicles (BEVs), hydrogen, and software were explicitly noted as part of the FY2025 operating income structure, amounting to 700 billion yen. Looking ahead, Toyota expects its R&D spending to rise to 1.37 trillion yen for the fiscal year ending March 2026. Separately, a major strategic partnership with Nippon Telegraph and Telephone Corp. (NTT) was announced, involving an investment of around $33 billion aimed at advancing artificial intelligence and autonomous driving capabilities. The Toyota Research Institute (TRI) also has a history of significant investment, including an initial $1 billion for AI and robotics, plus an additional $50 million for joint research at institutions like MIT and Stanford.

You see this commitment reflected in product mix, too. For FY2025, the proportion of electrified vehicles across Toyota and Lexus sales reached 46.2%.

Global supply chain management and logistics optimization.

Managing a global footprint requires constant logistical activity. For the first half of 2025, Toyota Motor Corporation reported global production rising 5.8% to 4.9 million vehicles. The company continues to localize production in major markets; for instance, in fiscal 2025, 76.0% of vehicles sold in North America were produced locally. The overall scale of the operation is vast, with consolidated vehicle sales for FY2025 reaching 9,362 thousand units.

Here's a snapshot of where the vehicles were sold in FY2025:

Vehicle design, engineering, and quality assurance.

This activity is the translation of R&D into tangible products, heavily influenced by quality control and market responsiveness. Toyota Motor North America reported offering 32 total electrified vehicles between the Toyota and Lexus brands in Q1 2025, the most among any automaker. This breadth of offering supports the high adoption rate. Furthermore, in North America during Q1 2025, Toyota maintained the lowest incentives among full-line manufacturers. The company's ability to manage pricing and incentives is a direct output of its engineering and quality focus.

Providing financial services and vehicle leasing via TFS.

Toyota Financial Services (TFS) is a significant revenue and profit contributor. For the full fiscal year 2025, sales revenues for the financial services operations increased 28.6% year-over-year, reaching 4,481.1 billion yen. Operating income from these services also saw a strong increase of 19.9%, totaling 683.5 billion yen for FY2025. This growth was largely attributed to an increase in financing volume. For the first quarter of the subsequent fiscal year (Q1 FY2026, ended June 30, 2025), financial services operating income was 188.0 billion yen.

The scale of the financing operations is substantial, as evidenced by the growth in receivables and leases:

• Total receivables related to financial services increased during fiscal 2025.
• Vehicles and equipment on operating leases increased during fiscal 2025, driven by more operating leases in North American finance subsidiaries.

Short-term funding for these activities relies on markets; for the quarter ended December 31, 2024, commercial paper outstanding under certain programs ranged from approximately $17.2 billion to $17.9 billion, with an average outstanding balance of $17.6 billion.

Toyota Motor Corporation (TM) - Canvas Business Model: Key Resources

You're looking at the core assets that keep Toyota Motor Corporation running at this scale, the things that really underpin their market position as of late 2025. It's not just about the factories; it's about the systems and the intangible value they've built over decades.

The Toyota Production System (TPS) for operational excellence

The Toyota Production System (TPS) remains a foundational resource, driving efficiency across the entire organization. This methodology, focused on eliminating waste (muda) and achieving just-in-time (JIT) production, translates directly into financial performance metrics.

Here are some key operational figures from the fiscal year ended March 31, 2025 (FY2025):

That operating margin, even with increased expenses, shows the underlying strength of their process discipline. It's a tough benchmark to hit.

Strong global brand equity built on reliability and durability

Brand equity is a massive, often understated, resource for Toyota Motor Corporation. Consumer trust, built on decades of perceived reliability, allows for premium pricing and resilient demand even in volatile markets. Different consultancies provide slightly different valuations, but both show significant scale.

The brand value estimates for 2025 include:

• $74.2 billion, according to Interbrand's Best Global Brands 2025 report, representing a growth of around 2% from the previous year.
• $64.7 billion, as reported by Brand Finance's Global 500 report, marking a 23% surge.

This strength is reflected in external recognition; Toyota was named the No. 1 Motor Vehicle company in Fortune's "World's Most Admired Companies" for the fourth consecutive year.

Extensive intellectual property in hybrid and fuel cell technology

Toyota Motor Corporation's deep investment in powertrain diversification is secured by its intellectual property portfolio. This is a hedge against a purely Battery Electric Vehicle (BEV) future. The proportion of electrified vehicles, primarily Hybrids (HEVs), reached 46.2% of total sales in FY2025, a significant increase from the prior year.

Key IP statistics related to this technology include:

• The Toyota Group has accumulated over 12,000+ patented inventions related to fuel cells over 20 years, currently the largest worldwide portfolio.
• In 2015, Toyota offered royalty-free use of approximately 5,680 global fuel cell patents, including 1,970 patents for fuel cell stacks and 3,350 for fuel cell system software control.

This IP is actively being deployed beyond passenger cars; for instance, a 1 megawatt power-generation system using Toyota hydrogen fuel cells is operating at the National Renewable Energy Lab in Colorado.

Global manufacturing footprint across 170+ countries

The physical network supporting sales and production is vast, enabling Toyota Motor Corporation to serve customers in over 170+ countries. The 2025 global production target was confidently raised to approximately 10 million units, up from a prior target of 9.9 million.

Focusing on the North American production base, the Japan Automobile Manufacturers Association (JAMA) outlines the scale of the integrated network:

Domestically, Toyota aims to maintain production of around 3.3 million vehicles in Japan for 2025.

Toyota Financial Services (TFS) capital and loan portfolio

The captive finance arm, Toyota Financial Services (TFS), provides crucial support for vehicle sales and acts as a significant revenue stream. For the fiscal year ended March 31, 2025, the financial services segment generated substantial activity.

Financial Services segment results for FY2025:

• Sales Revenues: 4,481.1 billion yen, a 28.6% increase year-over-year.
• Operating Income: 683.5 billion yen (including valuation gains/losses), up 19.9%.

In specific regional operations, Toyota Financial Services India Limited reported an auto loan portfolio containing 182,876 active contracts as of March 2025. For the TMCC consolidated portfolio as of December 2024, the Receivables Principal Balance stood at approximately $78 billion.

Finance: draft 13-week cash view by Friday.

Toyota Motor Corporation (TM) - Canvas Business Model: Value Propositions

Unmatched vehicle reliability, durability, and high resale value.

Toyota regained the top spot in Consumer Reports' list of the most reliable car brands in 2025. The brand is ranked #1 in Value Retention in 2025 based on a U.S. News analysis of 3-year depreciation for 2022 models. Low ownership costs contribute to this value retention, with the Corolla's first five years' upkeep averaging $1,436, which is about $362 per year.

For the Toyota Highlander Hybrid, the estimated value retention score is 9.8 out of 10.

Multi-pathway approach to carbon neutrality (HEV, PHEV, BEV, FCEV).

For the fiscal year ended March 31, 2025 (FY2025), the proportion of electrified vehicles in consolidated sales reached 46.2%. For the first half of the fiscal year ending September 2025, the electrified vehicle ratio rose to 46.9% of total sales, primarily led by Hybrid Electric Vehicles (HEVs). The company stated that by around 2025, every model in the Toyota and Lexus line-up globally would be available either as a dedicated electrified model or have an electrified option. Toyota plans to raise the share of Plug-in Hybrid Electric Vehicles (PHEVs) in its US sales to around 20% by 2030, up from 2.4% in 2024.

The forecast for the fiscal year ending March 31, 2026, projects electrified vehicle sales to total 5,014,000 units, representing 49.8% of total sales.

Wide product range from economy sedans to luxury (Lexus) and trucks.

Consolidated vehicle unit sales for FY2025 (ended March 31, 2025) were 9,362,000 units. Toyota and Lexus vehicle sales for the same period totaled 10,274,000 units. Sales revenues for automotive operations in FY2025 increased by 4.7% to 43,199.8 billion yen compared with FY2024. For the second quarter of 2025, the company sold 4,783,000 vehicles.

The product portfolio includes:

• Economy/Compact Sedans like the Corolla.
• Luxury vehicles under the Lexus brand.
• Trucks such as the Tacoma.
• SUVs like the Highlander Hybrid.

Fuel efficiency and low ownership costs for mass-market buyers.

The Toyota Prius holds an excellent 5-year resale value of 64.4%, making it one of the cheapest used hybrid cars to buy in 2025 under $15,000. The Corolla's low maintenance cost for the first five years averages $1,436.

Advanced safety features and smart cockpit systems.

The 2025 lineup features Toyota Safety Sense (TSS) across many models, such as the Camry, Grand Highlander, and Prius, which is often the TSS 3.0 suite. The 2025 Highlander earned a 5-star overall safety rating from NHTSA. The 2025 Corolla received a 5-star NHTSA rating and an IIHS Top Safety Pick award.

Key standard and available safety technologies include:

• Pre-Collision System with Pedestrian Detection.
• Full-Speed Range Dynamic Radar Cruise Control.
• Lane Departure Alert with Steering Assist.
• Lane Tracing Assist.
• Automatic High Beams.
• Proactive Driving Assist (PDA) on newer models.
• Advanced Rear Seat Reminder in the 2025 Sienna, utilizing a 60GHz millimeter-wave radar sensor.

The 2025 Tacoma received a 4-star overall safety rating from NHTSA.

Toyota Motor Corporation (TM) - Canvas Business Model: Customer Relationships

Long-term relationship management via the global dealer network.

Toyota vehicles and related services are sold in more than 170 countries and territories. In the U.S. market for the second quarter of 2025, Toyota stores ended with about 12 days' supply, averaging just 62 units on the ground. The brand's hybrid-first strategy continues to deliver strong results for its dealer network.

Dedicated after-sales service and genuine parts support.

Financial services operating income for the six months ended September 30, 2025, was 377.3 billion yen (approximately $2.58 billion). For the full Fiscal Year 2025, financial services sales revenues increased by 28.6% to 4,481.1 billion yen, with operating income increasing by 19.9% to 683.5 billion yen. Net sales for Toyota Industries Automobile Segment in FY2025 reflected an increase in sales of parts.

• Financial services operating income (April-September 2025): 377.3 billion yen.
• Financial services operating income (April-June 2025): 188.0 billion yen.

Digital showrooms and online configuration/booking platforms.

In North America for the first quarter of 2025, electrified vehicle sales represented 50.6% of total sales volume. For the second quarter of 2025, electrified vehicle sales represented 48.1% of total sales volume. Toyota and Lexus brands offered 32 total electrified vehicle options available in dealerships as of Q1 2025.

Building brand trust through consistent quality and safety ratings.

Toyota Motor Corporation ranked third in the mass market segment of the J.D. Power 2025 U.S. Vehicle Dependability Study (VDS) with a score of 162 PP100. Toyota Motor Corporation and General Motors Company received the most model-level awards with six each in the 2025 VDS. The Toyota Avalon was the top overall model in the 2025 VDS.

• 2025 Toyota Corolla: 5-star NHTSA rating, IIHS Top Safety Pick.
• 2025 Toyota Highlander: 5-star NHTSA rating, 'Good' in all IIHS crash tests.
• 2025 Toyota Camry: 5-star NHTSA rating, 'Good' in all IIHS crashworthiness categories.
• 2025 Toyota Prado ANCAP Scores: Adult Occupant Protection 85%, Child Occupant Protection 89%, Vulnerable Road User Protection 84%, Safety Assist 82%.

Toyota Motor Corporation (TM) - Canvas Business Model: Channels

You're looking at how Toyota Motor Corporation gets its vehicles and services to you, the customer, as of late 2025. It's a mix of old-school physical presence and modern digital support.

Extensive global independent dealership network for sales and service.

The primary route for Toyota Motor Corporation vehicles remains the physical dealership. While the exact number of independent dealerships globally isn't a publicly stated figure for the latest period, the sheer volume of sales underscores the network's scale. For instance, in the first half of fiscal year 2026 (April through September 2025), consolidated vehicle sales totaled approximately 4,783,000 units. This volume moves through the established dealer footprint.

The dealer channel is also the point of sale for electrified vehicles. In the U.S. during the second quarter of 2025, electrified vehicles represented 48.1 percent of total sales volume for Toyota Motor North America, with 32 total electrified vehicles available in dealerships between the Toyota and Lexus brands. Even in November 2025 U.S. sales, hybrids alone accounted for nearly 44 percent of Toyota's U.S. volume.

Toyota Financial Services (TFS) for financing and leasing.

Toyota Financial Services is a massive channel supporting sales conversion. For the full fiscal year 2025 (ending March 31, 2025), sales revenues for the financial services operations reached 4,481.1 billion yen, marking a 28.6 percent increase compared to fiscal year 2024. Operating income for that same period was 683.5 billion yen, up 19.9 percent year-over-year, driven partly by an increase in financing volume.

Looking at the more recent half-year results for fiscal year 2026 (April through September 2025), financial services operating income (including valuation gains/losses) was 450.4 billion yen (approximately $3.08 billion), with the figure excluding valuation gains/losses at 377.3 billion yen (approximately $2.58 billion). This division definitely helps move metal.

Online platforms for digital sales and customer engagement.

While direct online sales volume is often bundled into overall figures, digital engagement is critical for driving traffic to the physical channel. The search interest data for Toyota vehicle types from November 2024 to November 2025 shows SUVs consistently attract the highest search interest, peaking at an index of 100 in August 2025. This digital interest feeds the physical sales pipeline.

The channel structure includes digital touchpoints for customer interaction, such as:

• Online configurators and inventory look-up tools.
• Digital pre-qualification for financing applications.
• Customer relationship management (CRM) integration with dealers.
• Digital service scheduling portals.

Corporate and fleet sales channels (B2B).

Toyota Motor Corporation serves large organizational buyers through dedicated B2B channels, separate from the retail dealer network. While specific revenue or unit figures for the corporate and fleet segment for late 2025 aren't explicitly isolated in the latest reports, the overall scale of the business implies significant B2B activity. Total consolidated vehicle sales for fiscal year 2025 were 9,362 thousand units. The North American operations, for example, saw a decrease in operating income in Q2 2025, partly due to factors like supply constraints, which would affect all sales channels, including fleet.

Here's a look at the scale of the overall sales that flow through all channels in the most recent full fiscal year:

Toyota Motor Corporation (TM) - Canvas Business Model: Customer Segments

The customer segments for Toyota Motor Corporation are broad, reflecting its global scale and multi-pathway approach to mobility, spanning from the core mass market to specialized luxury and business users.

Mass-market consumers seeking reliable, affordable transportation.

This segment forms the foundation of Toyota Motor Corporation's volume, driven by high-demand models known for reliability. Global sales figures show the sheer scale of this base.

• Toyota Motor Corporation's consolidated vehicle unit sales for FY2025 (ending March 31, 2025) totaled approximately 9,362,000 units.
• For the first half of the fiscal year (ending September 30, 2025), the company sold a record 5.27 million vehicles, up 5% compared to the same period in 2024.
• The Toyota RAV4 secured global sales of 1.187 million units in 2025.
• The Corolla sedan earned the fifth spot globally in 2025 best-selling cars.

Here's a look at the regional sales volume for the April through September 2025 period:

Eco-conscious buyers prioritizing fuel efficiency (hybrid leadership).

Toyota Motor Corporation leverages its long-standing hybrid technology to capture buyers focused on fuel economy and lower emissions, a strategy that remains highly effective in 2025.

• Toyota Motor Corporation has expanded its hybrid portfolio to more than 15 models in 2025.
• The company has sold over 15 million hybrids since the launch of the Prius in 1997.
• In the first half of the fiscal year (ending September 30, 2025), the company sold 2.27 million hybrid electric vehicles (HEVs).
• Total electrified vehicles (including BEVs, PHEVs, FCEVs) accounted for 47% of total sales in the first half of the fiscal year ending March 31, 2026.
• In U.S. sales for September 2025, electrified vehicles represented 45.8% of total sales volume, totaling 85,092 units.
• For the third quarter of 2025 in the U.S., electrified vehicles represented 44.9% of total sales volume, at 282,794 units.

The strength of this segment is clear in the U.S. Q1 2025 performance, where electrified vehicle sales surged 44% year-over-year to 255,915 units. Still, the pace varies; in November 2025 U.S. sales, overall electrified sales fell 6% to 93,082 units, though hybrids still accounted for nearly 44% of volume.

Luxury vehicle segment customers (Lexus brand).

Lexus serves the premium and luxury end of the market, often showing different sales dynamics than the core Toyota brand. You see this in the U.S. monthly results.

• For the third quarter of 2025 in the U.S., the Lexus division reported sales of 91,609 vehicles, up 13.1% on a volume basis versus Q3 2024.
• In U.S. sales for September 2025, Lexus posted sales of 26,789 vehicles, up 19.4% volume-wise.
• In U.S. sales for November 2025, Lexus sales were 31,782 units, a decrease of 6.2% compared to November 2024.
• Lexus electrified vehicle sales in the U.S. for September 2025 were 8,896 units, an increase of 11.2%.

The combined sales of Toyota and Lexus brands accounted for nearly 92.9% of total vehicle sales in the first nine months of 2025, growing at a rate of 4.7%.

Corporate fleets and commercial vehicle operators (B2B).

Toyota Motor Corporation supplies vehicles to businesses through its fleet operations, which often involves specific ordering guidelines and allocations for high-volume customers.

• Ordering guidelines for the 2025 model year included open ordering for the 2025 Sienna with a 100-unit maximum per customer until sold out.
• The popular Tacoma model is noted as potentially having an immense amount of its volume attributed to fleet sales.

The B2B segment utilizes models like the Sienna and Tacoma, with Toyota Motor Corporation issuing specific ordering updates for the 2025 commercial fleet sales.

Toyota Motor Corporation (TM) - Canvas Business Model: Cost Structure

You're looking at the core expenses that keep Toyota Motor Corporation running and driving its future strategy, especially as it navigates the shift to new mobility. Honestly, the cost structure is massive, reflecting a global manufacturing footprint and heavy future bets.

Manufacturing and raw material costs are heavily influenced by the Toyota Production System (TPS), which is all about eliminating waste to keep variable costs low. Still, even with TPS discipline, raw material costs are a major driver. For the fiscal year ended March 2025, the impact of raw material costs was a significant factor, and Toyota noted efforts to manage cost increases from suppliers.

High Research and Development (R&D) expenses show the commitment to future technology, particularly electrification and Software Defined Vehicles (SDVs). For fiscal year 2025, Toyota Motor Corporation led Japan's R&D spending with a planned expenditure of ¥1.37 trillion in R&D spending. This marks the 24th consecutive year Toyota has led in this area.

Capital expenditures (CapEx) for new plants/electrification are substantial as Toyota transforms. While the exact consolidated CapEx for new plants/electrification for FY2025 wasn't explicitly stated as the requested ¥2.1 trillion, the company did factor in significant investment for its operational foundation and future pillars. For example, 470 billion yen was added for comprehensive investment to steadily strengthen the management foundation and develop new profit pillars. This is part of a broader push where Toyota announced a $3.4 billion (approximately 380 billion yen) investment in U.S. automotive battery production through 2030, with production aiming to start in 2025.

Global distribution, marketing, and advertising expenses are baked into the Selling, General and Administrative (SG&A) line. For the fiscal year ended March 2025, the Selling, general and administrative expenses for Toyota Motor Corporation were reported at 4,782,452 million yen.

Employee compensation and labor costs support a vast global workforce. As of March 31, 2025, Toyota Motor Corporation had 383,853 employees. Labor costs are a fixed component that the company actively manages, with labor costs being a noted factor in operating income changes between fiscal years.

Here's a quick look at some of the major cost components for Toyota Motor Corporation for the fiscal year ended March 2025, based on reported figures (amounts in millions of yen unless otherwise noted):

The company also manages costs through specific efforts like cost reduction initiatives, which contributed an estimated 510.0 billion yen output in the fiscal year ended March 2025.

You'll see that the structure heavily relies on managing the variable costs through TPS, while the fixed costs like R&D and employee compensation are strategically high to secure future market position. Finance: draft 13-week cash view by Friday.

Toyota Motor Corporation (TM) - Canvas Business Model: Revenue Streams

You're looking at the core ways Toyota Motor Corporation brings in cash as of late 2025. It's a mix, but one area clearly dominates the top line. Here's the quick math on the money coming in for the fiscal year ended March 31, 2025.

Toyota Motor Corporation's consolidated sales revenues for FY2025 reached ¥48,036.7 billion (approx. $314.0 billion).

The primary driver remains the sale of vehicles across its brands, which is a massive component of the total take. Honestly, the scale of their manufacturing and sales operation dictates the revenue structure.

Here is the breakdown of the consolidated sales revenues by major segment for FY2025:

Note that the sum of the segments exceeds 100% due to rounding or the way segments are reported relative to the total, but the Automotive segment clearly contributes over 80% of the total revenue, aligning with expectations.

Beyond direct sales, other streams add to the bottom line, though they are smaller in the revenue total:

• Financial services operating income increased by ¥113.4 billion, reaching ¥683.5 billion for FY2025.
• Share of Profit (Loss) of Investments Accounted for Using the Equity Method was ¥591.2 billion in FY2025.
• Automotive operations sales revenues increased by 4.7% compared to the previous year.

The revenue from financial services operations saw significant growth, increasing by 28.6% year-over-year, largely driven by an increase in financing volume. This shows the importance of the captive finance arm in supporting vehicle sales and generating profit.

The revenue from after-sales services, maintenance, and genuine parts sales is embedded within the Automotive segment's ¥43,199.8 billion figure. Technology licensing and joint venture income would likely be captured within the 'All Other' segment revenue of ¥1,447.1 billion or the equity method income of ¥591.2 billion.

Finance: review the Q1 FY2026 report for the split between parts/service revenue and pure vehicle sales within the Automotive segment by next Tuesday.