Toyota reports profit surge on weak yen, boosts outlook and unveils buyback

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Toyota reported a significant increase in first-quarter net profit, which nearly doubled to $8.9 billion for the period ending in June. The carmaker saw a 76% surge in profit, driven by solid demand in the United States, Japan, and India, though the result followed five straight months of year-on-year declines.

The results were heavily influenced by a favorable exchange rate, as a weak yen added $2.2 billion to the quarterly profit. Strong sales of hybrid electric vehicles also played a key role, helping the company offset rising costs, tariffs, and supply disruptions, even as some vehicle sales dipped.

In response to these results, Toyota has announced a ¥1 trillion ($6.3 billion) share buyback and raised its profit outlook and annual earnings forecasts. Despite these gains, the company's full-year profit is still forecast to fall.

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