Persistent Chip Shortage Forces Toyota to Revise Output Target
- Carmaker raised sales outlook, despite lower output target
- Company to buy back as much as ¥150 billion of its shares
This article is for subscribers only.
Toyota Motor Corp. lowered its production target while sticking to a conservative profit outlook because of a persistent shortage of chips, disappointing analysts who were anticipating an upward revision in the forecast by the world’s biggest carmaker.
Shares fell the most in a month after the manufacturer cut its output target to 9.2 million vehicles from 9.7 million for the fiscal year through March. Operating profit is on track to be ¥2.4 trillion ($16.2 billion) for the period, Toyota said in a statement Tuesday, below analysts’ average estimate of ¥2.98 trillion.