Nearly 20% decline in second-quarter operating profit reported by Toyota, falling short of estimates.

• The automaker with the highest sales volume worldwide experienced a 20% decrease in annual operating profit.
• The company maintained its full-year operating profit forecast of 4.3 trillion yen.
• Toyota increased its full-year dividend projection to 90 yen, an increase from 75 yen the previous year.

Toyota Motor reported its first quarterly operating profit decline in nearly two years as it tries to adapt to the growing demand for electric vehicles.

LSEG compiled the results of Toyota compared to analysts' estimates.

• Revenue: 11.44 trillion yen vs. 11.41 trillion yen
• Operating profit: 1.16 trillion yen vs. 1.24 trillion yen

During the quarter, the world's largest automaker by sales volume experienced a 20% decrease in operating profit compared to the previous year.

The net profit attributable to the company decreased by more than half from 1.28 trillion yen to 573.7 billion yen.

The automaker's sales volume decreased to 2.3 million units in the second quarter from 2.42 million units in the previous year.

Toyota increased its full-year dividend forecast to 90 yen from 75 yen in the previous year.

Akio Toyoda, chairman of Toyota, has expressed concerns about the impact of fully battery-powered electric vehicles on the automotive industry, stating that an "electric-vehicle only future" could lead to job losses.

According to Reuters, Toyoda stated that there are 5.5 million individuals involved in the automotive industry in Japan, including those who have been performing engine-related work for an extended period.

"If electric vehicles become the sole option, even for our suppliers, it would result in the loss of jobs for those individuals."

The company maintained a full-year operating profit of 4.3 trillion yen.

This year, Toyota has been under scrutiny due to several vehicle recalls, including the one in September.

The National Highway Traffic Safety Administration announced a recall of 42,000 vehicles due to a loss of power brake assist that can increase the distance needed to stop, affecting certain 2023-2024 Corolla Cross Hybrid vehicles.

In June, Toyota suffered a significant loss of over $15 billion in market value following the revelation that Japanese automakers, including Toyota, had submitted false data to the Transport Ministry for model certification.

The Ministry of Land, Infrastructure, Transport and Tourism discovered irregularities in certification applications by automakers Honda, Suzuki, and Yamaha during a comprehensive inspection.