November 28, 2025

TOYOTA MOTOR CORPORATION

Japanese-language First Half Securities Report for the period ended September 30, 2025, as filed with the Director of the Kanto Local Finance Bureau of the Ministry of Finance of Japan on November 13, 2025, and which includes the following:

 

I.

Corporate information

 

A.

Corporate overview

 

1.

History of changes in major business indices

 

2.

Overview of business

 

B.

Business

 

1.

Risk factors

 

2.

Management’s analysis of financial position, results of operations and cash flows

 

3.

Material contracts

 

C.

Company information

 

1.

Share information

 

2.

Directors and corporate auditors

 

D.

Financial information

 

1.

Condensed quarterly consolidated financial statements and notes

 

2.

Other

 

II.

Information on Guarantors

Auditors Report

Certificate

TOYOTA MOTOR CORPORATION

Unaudited Condensed Semi-Annual Consolidated Statement of Financial Position

 

						Yen in millions
		Notes				March 31, 2025				September 30, 2025
Assets
Current assets
Cash and cash equivalents							8,982,404				8,112,922
Trade accounts and other receivables							3,679,722				3,801,122
Receivables related to financial services							11,453,249				11,910,921
Other financial assets							6,935,759				8,805,350
Inventories							4,598,232				4,821,814
Income tax receivable							216,528				227,836
Other current assets							1,212,783				1,262,757
Total current assets							37,078,676				38,942,722
Non-current assets
Investments accounted for using the equity method							5,798,051				5,777,572
Receivables related to financial services							22,171,786				23,199,276
Other financial assets							9,882,841				10,148,449
Property, plant and equipment
Land							1,428,122				1,491,464
Buildings							6,170,063				6,467,191
Machinery and equipment							16,621,243				17,153,009
Vehicles and equipment on operating leases							8,051,945				8,647,282
Construction in progress							1,596,145				1,445,899
Total property, plant and equipment, at cost							33,867,518				35,204,845
Less - Accumulated depreciation and impairment losses							(18,533,826	)			(19,174,977	)
Total property, plant and equipment, net							15,333,693				16,029,868
Right of use assets							583,068				663,542
Intangible assets							1,363,266				1,367,271
Deferred tax assets							517,869				536,739
Other non-current assets							872,101				909,439
Total non-current assets							56,522,674				58,632,156
Total assets							93,601,350				97,574,878

The accompanying notes are an integral part of these condensed semi-annual consolidated financial statements.

 

1

 

TOYOTA MOTOR CORPORATION

Unaudited Condensed Semi-Annual Consolidated Statement of Financial Position

 

						Yen in millions
		Notes				March 31, 2025				September 30, 2025
Liabilities
Current liabilities
Trade accounts and other payables							5,527,347				5,764,146
Short-term and current portion of long-term debt							15,829,516				16,235,532
Accrued expenses							1,827,933				1,857,933
Other financial liabilities							1,869,117				2,677,163
Income taxes payable							505,500				574,797
Liabilities for quality assurance							1,965,748				1,998,031
Other current liabilities							1,909,059				1,923,591
Total current liabilities							29,434,220				31,031,192
Non-current liabilities
Long-term debt							22,963,363				23,628,745
Other financial liabilities							435,594				394,497
Retirement benefit liabilities							1,019,568				1,028,940
Deferred tax liabilities							1,659,433				1,744,667
Other non-current liabilities							1,210,260				1,289,883
Total non-current liabilities							27,288,217				28,086,732
Total liabilities							56,722,437				59,117,924
Shareholders’ equity
Common stock							397,050				397,050
Additional paid-in capital							492,368				493,414
Retained earnings							35,841,218				37,061,816
Other components of equity							3,610,133				3,995,233
Treasury stock							(4,415,943	)			(4,455,394	)
Total Toyota Motor Corporation shareholders’ equity							35,924,826				37,492,119
Non-controlling interests							954,088				964,835
Total shareholders’ equity							36,878,913				38,456,954
Total liabilities and shareholders’ equity							93,601,350				97,574,878

The accompanying notes are an integral part of these condensed semi-annual consolidated financial statements.

 

2

 

TOYOTA MOTOR CORPORATION

Unaudited Condensed Semi-Annual Consolidated Statement of Income and

Unaudited Condensed Semi-Annual Consolidated Statement of Comprehensive Income

 

Unaudited Condensed Semi-Annual Consolidated Statement of Income

 

						Yen in millions
		Notes				For the first half ended September 30, 2024				For the first half ended September 30, 2025
Sales revenues
Sales of products			VIII				21,263,215				22,324,109
Financial services			VIII				2,019,235				2,306,644
Total sales revenues			VIII				23,282,450				24,630,753
Costs and expenses
Cost of products sold							17,134,152				19,001,590
Cost of financial services							1,281,362				1,464,512
Selling, general and administrative							2,402,719				2,158,959
Total costs and expenses							20,818,233				22,625,061
Operating income							2,464,217				2,005,692
Share of profit (loss) of investments accounted for using the equity method							264,315				272,624
Other finance income							270,945				292,746
Other finance costs							(53,694	)			(25,010	)
Foreign exchange gain (loss), net							(226,811	)			(52,787	)
Other income (loss), net							13,097				(15,138	)
Income before income taxes							2,732,069				2,478,127
Income tax expense							866,418				632,993
Net income							1,865,651				1,845,135
Net income (loss) attributable to
Toyota Motor Corporation							1,907,113				1,773,426
Non-controlling interests							(41,462	)			71,709
Net income							1,865,651				1,845,135
						Yen
Earnings per share attributable to Toyota Motor Corporation
Basic and Diluted			IX				142.15				136.07

The accompanying notes are an integral part of these condensed semi-annual consolidated financial statements.

 

3

 

TOYOTA MOTOR CORPORATION

Unaudited Condensed Semi-Annual Consolidated Statement of Income and

Unaudited Condensed Semi-Annual Consolidated Statement of Comprehensive Income

 

Unaudited Condensed Semi-Annual Consolidated Statement of Comprehensive Income

 

						Yen in millions
		Notes				For the first half ended September 30, 2024				For the first half ended September 30, 2025
Net income							1,865,651				1,845,135
Other comprehensive income, net of tax
Items that will not be reclassified to profit (loss)
Net changes in revaluation of financial assets measured at fair value through other comprehensive income							58,283				391,463
Remeasurements of defined benefit plans							(5,209	)			(9,750	)
Share of other comprehensive income of equity method investees							(51,348	)			(13,531	)
Total of items that will not be reclassified to profit (loss)							1,726				368,181
Items that may be reclassified subsequently to profit (loss)
Exchange differences on translating foreign operations							(512,676	)			182,985
Net changes in revaluation of financial assets measured at fair value through other comprehensive income							83,151				27,957
Share of other comprehensive income of equity method investees							176,539				(76,123	)
Total of items that may be reclassified subsequently to profit (loss)							(252,986	)			134,819
Total other comprehensive income, net of tax							(251,260	)			503,001
Comprehensive income							1,614,391				2,348,135
Comprehensive income for the period attributable to
Toyota Motor Corporation							1,653,798				2,258,145
Non-controlling interests							(39,407	)			89,990
Comprehensive income							1,614,391				2,348,135

The accompanying notes are an integral part of these condensed semi-annual consolidated financial statements.

 

4

 

TOYOTA MOTOR CORPORATION

Unaudited Condensed Semi-Annual Consolidated Statement of Changes in Equity

 

For the first half ended September 30, 2024

 

						Yen in millions
		Notes				Common stock				Additional paid-in capital				Retained earnings				Other components of equity				Treasury stock				Toyota Motor Corporation shareholders’ equity				Non-controlling interests				Total shareholders’ equity
Balances at April 1, 2024							397,050				491,802				32,795,365				4,503,756				(3,966,982	)			34,220,991				1,018,347				35,239,338
Comprehensive income
Net income							—				—				1,907,113				—				—				1,907,113				(41,462	)			1,865,651
Other comprehensive income, net of tax							—				—				—				(253,316	)			—				(253,316	)			2,055				(251,260	)
Total comprehensive income							—				—				1,907,113				(253,316	)			—				1,653,798				(39,407	)			1,614,391
Transactions with owners and other
Dividends paid			VII				—				—				(606,338	)			—				—				(606,338	)			(94,686	)			(701,024	)
Repurchase of treasury stock							—				—				—				—				(903,464	)			(903,464	)			—				(903,464	)
Reissuance of treasury stock							—				1,356				—				—				866				2,222				—				2,222
Retirement of treasury stock							—				(1,953	)			(727,264	)			—				729,217				—				—				—
Equity transactions and other							—				1,303				—				—				—				1,303				13,896				15,200
Total transactions with owners and other							—				707				(1,333,602	)			—				(173,381	)			(1,506,276	)			(80,790	)			(1,587,065	)
Reclassification to retained earnings							—				—				248,256				(248,256	)			—				—				—				—
Balances at September 30, 2024							397,050				492,509				33,617,132				4,002,185				(4,140,363	)			34,368,513				898,150				35,266,663
For the first half ended September 30, 2025
						Yen in millions
		Notes				Common stock				Additional paid-in capital				Retained earnings				Other components of equity				Treasury stock				Toyota Motor Corporation shareholders’ equity				Non-controlling interests				Total shareholders’ equity
Balances at April 1, 2025							397,050				492,368				35,841,218				3,610,133				(4,415,943	)			35,924,826				954,088				36,878,913
Comprehensive income
Net income							—				—				1,773,426				—				—				1,773,426				71,709				1,845,135
Other comprehensive income, net of tax							—				—				—				484,719				—				484,719				18,281				503,001
Total comprehensive income							—				—				1,773,426				484,719				—				2,258,145				89,990				2,348,135
Transactions with owners and other
Dividends paid			VII				—				—				(652,446	)			—				—				(652,446	)			(95,069	)			(747,515	)
Repurchase of treasury stock							—				—				—				—				(39,959	)			(39,959	)			—				(39,959	)
Reissuance of treasury stock							—				1,358				—				—				508				1,866				—				1,866
Equity transactions and other							—				(312	)			—				—				—				(312	)			15,826				15,514
Total transactions with owners and other							—				1,046				(652,446	)			—				(39,451	)			(690,852	)			(79,242	)			(770,095	)
Reclassification to retained earnings							—				—				99,619				(99,619	)			—				—				—				—
Balances at September 30, 2025							397,050				493,414				37,061,816				3,995,233				(4,455,394	)			37,492,119				964,835				38,456,954

The accompanying notes are an integral part of these condensed semi-annual consolidated financial statements.

 

5

 

TOYOTA MOTOR CORPORATION

Unaudited Condensed Semi-Annual Consolidated Statement of Cash Flows

 

						Yen in millions
		Notes				For the first half ended September 30, 2024				For the first half ended September 30, 2025
Cash flows from operating activities
Net income							1,865,651				1,845,135
Depreciation and amortization							1,127,964				1,131,414
Interest income and interest costs related to financial services, net							(392,225	)			(392,440	)
Share of profit (loss) of investments accounted for using the equity method							(264,315	)			(272,624	)
Income tax expense							866,418				632,993
Changes in operating assets and liabilities, and other							(1,011,456	)			(232,255	)
Interest received							1,324,780				1,339,585
Dividends received							492,691				295,880
Interest paid							(747,311	)			(805,043	)
Income taxes paid, net of refunds							(1,445,020	)			(598,035	)
Net cash provided by (used in) operating activities							1,817,177				2,944,609
Cash flows from investing activities
Additions to fixed assets excluding equipment leased to others							(848,071	)			(957,692	)
Additions to equipment leased to others							(1,944,559	)			(1,405,941	)
Proceeds from sales of fixed assets excluding equipment leased to others							21,125				15,008
Proceeds from sales of equipment leased to others							1,169,262				686,709
Additions to intangible assets							(140,020	)			(151,495	)
Additions to public and corporate bonds and stocks							(2,331,054	)			(1,233,188	)
Proceeds from sales of public and corporate bonds and stocks and upon maturity of public and corporate bonds							2,156,345				1,919,732
Other, net			X				(1,168,778	)			(2,390,660	)
Net cash provided by (used in) investing activities							(3,085,752	)			(3,517,528	)
Cash flows from financing activities
Increase (decrease) in short-term debt							(27,289	)			(249,899	)
Proceeds from long-term debt							6,559,072				6,061,836
Payments of long-term debt							(5,232,659	)			(5,404,003	)
Dividends paid to Toyota Motor Corporation common shareholders			VII				(606,338	)			(652,446	)
Dividends paid to non-controlling interests							(94,686	)			(95,069	)
Reissuance (repurchase) of treasury stock							(903,464	)			(39,959	)
Other, net							15,611				17,474
Net cash provided by (used in) financing activities							(289,752	)			(362,065	)
Effect of exchange rate changes on cash and cash equivalents							(222,277	)			65,502
Net increase (decrease) in cash and cash equivalents							(1,780,603	)			(869,482	)
Cash and cash equivalents at beginning of period							9,412,060				8,982,404
Cash and cash equivalents at end of period							7,631,457				8,112,922

The accompanying notes are an integral part of these condensed semi-annual consolidated financial statements.

 

6

 

TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

I.	Reporting entity

Toyota Motor Corporation (“TMC”) is a limited liability, joint-stock company located in Japan, and TMC’s principal executive offices are registered in Toyota City, Aichi Prefecture. For the first half ended September 30, 2025, the condensed semi-annual consolidated financial statements of the group consist of TMC, its consolidated subsidiaries (collectively, “Toyota”) and their interests in associates and joint ventures.

Toyota and its associates are primarily engaged in the design, manufacture, and sale of sedans, minivans, compact cars, SUVs, trucks and related parts and accessories throughout the world. In addition, Toyota and its associates provide financing, vehicle leasing and certain other financial services primarily to its dealers and their customers to support the sales of vehicles and other products manufactured by Toyota and its associates.

 

II.	Basis of preparation

1. Compliance with IFRS Accounting Standards

Toyota’s condensed semi-annual consolidated financial statements have been prepared in accordance with IAS 34 “Interim Financial Reporting”. The condensed semi-annual consolidated financial statements should be read in conjunction with Toyota’s consolidated financial statements for the fiscal year ended March 31, 2025, since the condensed semi-annual consolidated financial statements do not include all the information required in the annual consolidated financial statements, which have been prepared in accordance with International Financial Reporting Standards (“IFRS”).

The condensed semi-annual consolidated financial statements were approved on November 5, 2025 by the Board of Directors.

2. Basis of measurement

Toyota’s condensed semi-annual consolidated financial statements have been prepared on a historical cost basis, except for certain financial assets and liabilities measured at fair value and assets and liabilities associated with defined benefit plans.

3. Functional currency and presentation currency

The condensed semi-annual consolidated financial statements are presented in Japanese yen, which is the functional currency of TMC. All financial information presented in Japanese yen has been rounded to the nearest million Japanese yen, except when otherwise indicated. Amounts may not sum to totals due to rounding.

 

III.	Material accounting policies

Toyota’s condensed semi-annual consolidated financial statements are prepared based on the same accounting policies as those applied and described in the consolidated financial statements for the fiscal year ended March 31, 2025.

 

7

 

TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

IV.	Significant accounting judgments and estimates

The preparation of the condensed semi-annual consolidated financial statements in conformity with IFRS requires management to make judgments, estimates, and assumptions that affect the application of accounting policies, the reported amounts of assets, liabilities, revenue and expenses, and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates. These estimates and underlying assumptions are reviewed on a continuous basis. Changes in these accounting estimates are recognized in the period in which the estimates were revised and in any future periods affected.

The condensed semi-annual consolidated financial statements are prepared based on generally the same judgments and estimations as those applied and described in Toyota’s consolidated financial statements for the fiscal year ended March 31, 2025.

 

8

 

TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

V.	Segment information

1. Outline of reporting segments

The operating segments reported below are the segments of Toyota for which separate financial information is available and for which operating income/loss amounts are evaluated regularly by executive management in deciding how to allocate resources and in assessing performance.

The major portions of Toyota’s operations on a worldwide basis are derived from the Automotive and Financial services business segments. The Automotive segment designs, manufactures and distributes sedans, minivans, compact cars, SUVs, trucks and related parts and accessories. The Financial services segment consists primarily of financing and vehicle leasing operations to assist in the merchandising of Toyota’s products as well as other products. The All other segment includes telecommunications and other businesses.

2. Segment operating results

For the first half ended September 30, 2024:

 

		Yen in millions
		Automotive				Financial services				All other				Inter-segment Elimination/ Unallocated Amount				Consolidated
Sales revenues
Revenues from external customers			20,986,201				2,019,235				277,014				—				23,282,450
Inter-segment revenues and transfers			105,979				23,777				376,325				(506,081	)			—
Total			21,092,180				2,043,012				653,339				(506,081	)			23,282,450
Operating expenses			19,024,419				1,710,524				579,260				(495,969	)			20,818,233
Operating income			2,067,761				332,488				74,080				(10,112	)			2,464,217
For the first half ended September 30, 2025:
		Yen in millions
		Automotive				Financial services				All other				Inter-segment Elimination/ Unallocated Amount				Consolidated
Sales revenues
Revenues from external customers			22,000,056				2,306,644				324,053				—				24,630,753
Inter-segment revenues and transfers			100,504				23,689				411,793				(535,985	)			—
Total			22,100,559				2,330,333				735,846				(535,985	)			24,630,753
Operating expenses			20,615,083				1,879,874				666,986				(536,882	)			22,625,061
Operating income			1,485,476				450,459				68,861				896				2,005,692

Accounting policies applied by each segment are in conformity with those of Toyota’s condensed semi-annual consolidated financial statements. Transfers between industry segments are made in accordance with terms and conditions in the ordinary course of business.

 

9

 

TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

3. Geographic information

For the first half ended September 30, 2024:

 

		Yen in millions
		Japan				North America				Europe				Asia				Other				Inter-segment Elimination/ Unallocated Amount				Consolidated
Sales revenues
Revenues from external customers			5,112,835				9,352,535				2,795,866				3,921,657				2,099,556				—				23,282,450
Inter-segment revenues and transfers			5,428,655				172,854				93,251				548,410				20,906				(6,264,076	)			—
Total			10,541,491				9,525,389				2,889,117				4,470,067				2,120,463				(6,264,076	)			23,282,450
Operating expenses			9,019,053				9,411,613				2,673,166				3,979,639				1,979,862				(6,245,100	)			20,818,233
Operating income			1,522,438				113,776				215,951				490,428				140,601				(18,977	)			2,464,217
For the first half ended September 30, 2025:
		Yen in millions
		Japan				North America				Europe				Asia				Other				Inter-segment Elimination/ Unallocated Amount				Consolidated
Sales revenues
Revenues from external customers			5,155,251				10,284,525				3,039,153				3,895,951				2,255,874				—				24,630,753
Inter-segment revenues and transfers			5,358,041				183,985				107,361				555,573				71,331				(6,276,291	)			—
Total			10,513,292				10,468,510				3,146,514				4,451,524				2,327,204				(6,276,291	)			24,630,753
Operating expenses			9,396,132				10,536,375				2,945,768				4,007,238				2,125,276				(6,385,728	)			22,625,061
Operating income (loss)			1,117,161				(67,865	)			200,746				444,285				201,928				109,436				2,005,692

“Other” consists of Central and South America, Oceania, Africa and the Middle East.

The above amounts are aggregated by region based on the location of the country where TMC or consolidated subsidiaries are located. Transfers between geographic areas are made in accordance with terms and conditions in the ordinary course of business.

 

10

 

TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

4. Sales revenues by location of external customers

 

		Yen in millions
		For the first half ended September 30,
		2024				2025
Japan			3,674,817				3,739,050
North America			9,366,010				10,321,494
Europe			2,717,418				3,004,242
Asia			3,955,029				3,865,728
Other			3,569,176				3,700,239
Total			23,282,450				24,630,753

“Other” consists of Central and South America, Oceania, Africa and the Middle East, etc.

 

11

 

TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

VI.	Fair value measurements

1. Definition of fair value hierarchy

In accordance with IFRS Accounting Standards, Toyota classifies fair value measurement into the following three levels based on the observability and significance of the inputs used.

 

2. Method of fair value measurement

The fair value of assets and liabilities is determined using relevant market information and appropriate valuation methods.

The methods and assumptions for measuring the fair value of assets and liabilities are as follows:

(1) Cash and cash equivalents -

Cash equivalents include money market funds and other investments with original maturities of three months or less. In the normal course of business, substantially all cash and cash equivalents and time deposits are highly liquid and are carried at amounts which approximate fair value due to their short duration.

(2) Trade accounts and other receivables and Trade accounts and other payables -

These receivables and payables are carried at amounts which approximate fair value due to their short duration.

(3) Receivables related to financial services -

The fair value of receivables related to financial services is estimated by discounting expected cash flows to present value using internal assumptions, including prepayment speeds, expected credit losses and collateral value.

As unobservable inputs are utilized, the fair value of receivables related to financial services is classified as Level 3.

(4) Other financial assets -

(Public and corporate bonds)

Public and corporate bonds include government bonds. Japanese bonds and foreign bonds, including U.S., European and other bonds, represent 32% and 68% (as of March 31, 2025) and 36% and 64% (as of September 30, 2025) of public and corporate bonds, respectively. Toyota primarily uses quoted market prices for identical assets to measure the fair value of these securities.

 

12

 

TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

(Stocks)

Listed stocks on the Japanese stock markets represent 79% (as of March 31, 2025) and 69% (as of September 30, 2025) of stocks that Toyota holds. Toyota primarily uses quoted market prices for identical assets to measure fair value of these securities. Therefore, stocks with an active market are classified as Level 1.

Fair value of stocks with no active market is measured by using the market approach or other appropriate methods. Therefore, stocks with no active market are classified as Level 3.

Price book-value ratios (“PBR”) of comparable companies, discount ratios of discounted cash flow valuation method and others are the significant unobservable inputs relating to the fair value measurement of stocks classified as Level 3. The fair value increases (decreases) as PBR of a comparable company rises (declines) or the discount rate declines (rises). The estimated increase or decrease in fair value of stocks if the unobservable inputs were to be replaced by other reasonable alternative assumptions are not significant.

These estimates are based on valuation methods that are considered appropriate in each case. The significant assumptions involved in the estimations include the financial condition and future prospects and trends of the investees and the outcome of the referenced transactions. Due to the uncertain nature of these assumptions or by using different assumptions and estimates, the fair value may be impacted materially.

The shares classified as Level 3 are measured by the responsible department using quarterly available information in accordance with Toyota’s consolidated financial accounting policies and reported to the supervisors along with the basis of the change in fair value.

(Investment trusts)

Marketable investment trusts are measured using market prices. Therefore, marketable investment trusts are classified as Level 1. Other investment trusts are calculated based on the quoted price obtained from the financial institutions with which Toyota has transactions. Therefore, other investment trusts are classified as Level 2.

 

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TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

(5) Derivative financial instruments -

Toyota employs derivative financial instruments, including foreign exchange forward contracts, foreign currency options, interest rate swaps, interest rate currency swap agreements and interest rate options primarily to manage its exposures to fluctuations in interest rates and foreign currency exchange rates. Toyota primarily estimates the fair value of derivative financial instruments using industry-standard valuation models that require observable inputs including interest rates and foreign exchange rates, and the contractual terms. The usage of these models does not require significant judgment to be applied. These derivative financial instruments are classified as Level 2. In other certain cases when market data are not available, key inputs to the fair value measurement include quotes from counterparties, and other market data. Toyota assesses the reasonableness of changes of the quotes using observable market data. These derivative financial instruments are classified as Level 3. Toyota’s derivative fair value measurements consider assumptions about counterparty and Toyota’s own non-performance risk, using such as credit default probabilities.

(6) Short-term and long-term debt -

The fair values of short-term and long-term debt including the current portion, except for certain secured loans provided by securitization transactions using special-purpose entities (“Loans Based on Securitization”), are estimated based on the discounted amounts of future cash flows using Toyota’s current borrowing rates for similar liabilities. As these inputs are observable, the fair value of these debts is classified as Level 2.

The fair values of certain Loans Based on Securitization are primarily estimated based on current market rates and credit spreads for debt with similar maturities. Internal assumptions including prepayment speeds and expected credit losses are used to estimate the timing of cash flows to be paid on the underlying securitized assets. In cases where these valuations utilize unobservable inputs, the fair value of the Loans Based on Securitization is classified as Level 3.

 

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TOYOTA MOTOR CORPORATION

Notes to Unaudited Condensed Semi-Annual Consolidated Financial Statements

 

3. Financial instrument measured at fair value on recurring basis

The following table summarizes the fair values of the assets and liabilities measured at fair value on a recurring basis. Transfers between levels of the fair value are recognized at the date of the event or change in circumstances that caused the transfer:

 

		Yen in millions
		March 31, 2025
		Level 1				Level 2				Level 3				Total
Other financial assets:
Financial assets measured at fair value through profit or loss
Public and corporate bonds			110,516				110,488				10,710				231,713
Stocks			—				—				46,215				46,215
Investment trusts			286,799				331,429				—				618,228
Derivative financial instruments			—				458,579				24,800				483,378
Total			397,315				900,495				81,724				1,379,534
Financial assets measured at fair value through other comprehensive income
Public and corporate bonds			4,487,174				4,571,862				19,401				9,078,437
Stocks			3,054,754				—				192,131				3,246,885
Other			10,947				—				—				10,947
Total			7,552,875				4,571,862				211,532				12,336,269
Other financial liabilities:
Financial liabilities measured at fair value through profit or loss
Derivative financial instruments			—				(319,881	)			—				(319,881	)
Total			—				(319,881	)			—				(319,881	)
		Yen in millions
		September 30, 2025
		Level 1				Level 2				Level 3				Total
Other financial assets:
Financial assets measured at fair value through profit or loss
Public and corporate bonds			128,015				111,656				12,782				252,453
Stocks			—				—				58,697				58,697
Investment trusts			324,338				290,587				—				614,925
Derivative financial instruments			—				419,200				39,557				458,757
Total			452,352				821,443				111,036				1,384,832
Financial assets measured at fair value through other comprehensive income
Public and corporate bonds			4,627,972				3,895,368				19,669				8,543,009
Stocks			3,428,302				—				232,894				3,661,195
Other			11,222				—				—				11,222
Total			8,067,495				3,895,368				252,563				12,215,426
Other financial liabilities:
Financial liabilities measured at fair value through profit or loss
Derivative financial instruments			—				(312,333	)			—				(312,333	)
Total			—				(312,333	)			—				(312,333	)

 

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