Shares of a Japanese automaker rise after a buyback announcement.
As the company’s new CEO, Koji Sato, tries to keep his pledge to swiftly expand the production of electric vehicles, Toyota Motor Corp.’s conservative earnings prediction for the current fiscal year was in line with analysts’ expectations.
Following the company’s announcement of a 150 billion yen ($1.1 billion) share repurchase, Toyota stock increased by 2.5%.
Net sales for the company should reach 38 trillion yen.
“Carbon neutrality will serve as the cornerstone for Toyota’s shift from a car company to a mobility company,” Sato declared.
With just 38,000 electric vehicles sold in its most recent fiscal year, the business has high goals for 2026: to sell 1.5 million battery-electric vehicles annually and introduce 10 new models.
“Since the company has a new CEO, forecasts will probably be cautious and will concentrate on raising revenue and earnings.” Although there are still numerous issues, they are not as bad as they were in the previous quarter, and Toyota has a manufacturing division to handle fixed expenses, according to Hiroki Ihara, an analyst at Tachibana Securities Co.