TOKYO, Feb 8, 2026, 04:58 JST — The market has closed.
Toyota Motor (7203.T) finished Friday’s session at 3,780 yen, gaining 2%. The automaker bumped up its profit forecast and unveiled a CEO succession plan—details likely to get close attention from investors once Tokyo trading resumes. 1
Japan’s market is closed for the weekend, so the next session will be telling—not just because of the headlines, but to see if capital really moves. Lately, Toyota stands as the go-to ticker for gauging sentiment on how the auto sector weathers tariffs, cost pressures, and the unpredictable pace of the EV transition.
Toyota announced that CEO Koji Sato will step down on April 1, handing the reins to CFO Kenta Kon. Sato is shifting to vice chairman and picking up a newly created chief industry officer title. “Three years isn’t a very long time,” Morningstar analyst David Whiston remarked, calling the move unexpected. Asked about his background, Kon said, “I am a finance guy now.” Toyota, for its part, has put the estimated cost of potential U.S. tariffs this fiscal year at roughly $9 billion. 2
Toyota’s third-quarter update showed net revenues climbing 6.8% to 38.087 trillion yen for April through December 2025. But operating profit eased back to 3.196 trillion yen, with net income also down at 3.03 trillion yen. The company is projecting consolidated vehicle sales of 9.75 million and operating profit of 3.8 trillion yen for the fiscal year finishing March 31, 2026, using an exchange rate assumption of 150 yen to the dollar. For North America, the nine-month stretch ended in an operating loss of 5.6 billion yen on an adjusted basis. 3
Toyota’s ADRs (TM) ended the day in the U.S. at $244.22, climbing 2.9%. These ADRs serve as tradeable certificates tied to foreign-listed shares.
Toyota now expects full-year operating profit to reach 3.8 trillion yen, bumping its outlook up 11.8% on the back of cost reductions and a softer yen. The company highlighted operating profit as its main gauge of underlying business strength, stripping out taxes and financing. 4
The CEO switch comes just as Toyota finds itself under the microscope over its bid to take Toyota Industries private—a crucial supplier and affiliate. According to Reuters Breakingviews, Toyota, chairman Akio Toyoda, and Toyota Fudosan all maintain there’s “no intention” of sweetening their already increased 5.65 trillion yen offer. Elliott Investment Management, for its part, is pressing shareholders to hold out, with the tender deadline set for Thursday. 5
Still, Friday’s gains could vanish in a hurry—a stronger yen, escalating trade tensions, or investors souring on the governance battle might tip the balance. Guidance has to come through in a fourth quarter that’s got plenty of ways to go off track.
The week starts with Tokyo markets reopening Monday, while Toyota Industries’ tender offer for its own shares remains on the clock through Feb. 12. This fixed-price takeover bid asks shareholders to tender their stock, and how this wraps up may shape views on Toyota’s broader corporate setup. 6
