FY2016 Second Quarter Financial Results

Toyota Motor Corporation November 5, 2015

All-new Prius (U.S.model)

Cautionary Statement with Respect to Forward-Looking Statements This presentation contains forward-looking statements that reflect Toyota’s plans and expectations. These forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause Toyota’s actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements. These factors include, but are not limited to: (i) changes in economic conditions, market demand, and the competitive environment affecting the automotive markets in Japan, North America, Europe, Asia and other markets in which Toyota operates; (ii) fluctuations in currency exchange rates, particularly with respect to the value of the Japanese yen, the U.S. dollar, the euro, the Australian dollar, the Russian ruble, the Canadian dollar and the British pound, and interest rates fluctuations; (iii) changes in funding environment in financial markets and increased competition in the financial services industry; (iv) Toyota’s ability to market and distribute effectively; (v) Toyota’s ability to realize production efficiencies and to implement capital expenditures at the levels and times planned by management; (vi) changes in the laws, regulations and government policies in the markets in which Toyota operates that affect Toyota’s automotive operations, particularly laws, regulations and government policies relating to vehicle safety including remedial measures such as recalls, trade, environmental protection, vehicle emissions and vehicle fuel economy, as well as changes in laws, regulations and government policies that affect Toyota’s other operations, including the outcome of current and future litigation and other legal proceedings, government proceedings and investigations; (vii) political and economic instability in the markets in which Toyota operates; (viii) Toyota’s ability to timely develop and achieve market acceptance of new products that meet customer demand; (ix) any damage to Toyota’s brand image; (x) Toyota’s reliance on various suppliers for the provision of supplies; (xi) increases in prices of raw materials; (xii) Toyota’s reliance on various digital and information technologies; (xiii) fuel shortages or interruptions in electricity, transportation systems, labor strikes, work stoppages or other interruptions to, or difficulties in, the employment of labor in the major markets where Toyota purchases materials, components and supplies for the production of its products or where its products are produced, distributed or sold; and (xiv) the impact of natural calamities including the negative effect on Toyota’s vehicle production and sales. A discussion of these and other factors which may affect Toyota’s actual results, performance, achievements or financial position is contained in Toyota’s annual report on Form 20-F, which is on file with the United States Securities and Exchange Commission.

2

Caution concerning Insider Trading Under Japanese securities laws and regulations (the "Regulations"), subject to certain exceptions, any person who receives certain material information relating to the business, etc. of Toyota which may be contained in this document is prohibited from trading in Toyota's shares or certain other transactions related to such shares (as set forth in the Regulations) until such material information is deemed to be made public. Under the Regulations, material information is deemed to be made public when (i) such material information is notified to a stock exchange and is disclosed by ways of electromagnetic means as prescribed by the ordinance of the Cabinet Office (posting on the TDnet (Timely Disclosure Network) information service ) or (ii) twelve (12) hours have elapsed since a listed company, such as Toyota, disclosed such material information to at least two (2) media sources as prescribed by the Regulations.

3

FY2016 Second Quarter Financial Results FY2016 Second Quarter Financial Performance (FY2016 First Half)

FY2016 Financial Forecasts

４

Consolidated Vehicle Sales (thousands of vehicles) FY2016 1H 5,000

4,000

4,477 1,030

FY2016 2Q

4,278 984

3,000

(-199)

2,235

(-46) 2,000

3,000

2,000

1,000

0

1,395 414

1,413

(+18)

2,164

(-71)

N. America

524

514

(-10)

685

684

(-1)

207

201

407

(-7)

755

654

(-101)

369

325

(-6) (-44)

883

820

(-63)

450

440

(-10)

’14/7-9

’15/7-9

Change

2,519

2,477

-42

’14/4-9

’15/4-9

Change

1,000

0

Japan

Europe Asia Other Central and South America, Oceania, Africa, The Middle East, etc.

Total retail vehicle sales in thousands

5,032

4,979

-53

5

Consolidated Financial Summary (FY2016 First Half) (billions of yen)

Net Revenues Operating Income

FY2015 1H

FY2016 1H

(’14/4-9)

(’15/4-9)

12,945.5 1,351.9

14,091.4 1,583.4

10.4%

11.2%

Operating margin

Change +1,145.8 +231.4

+8.9% +17.1%

-

-

Income before income taxes and equity in earnings of affiliated companies

1,509.1

1,675.1

+165.9

+11.0%

Net Income*1

1,126.8

1,258.1

+131.2

+11.6%

8.7%

8.9%

-

-

355.91 yen

397.75 yen

+41.84 yen

-

103 yen 139 yen

122 yen 135 yen

+19 yen -4 yen

-

Net margin* 1

Net income per share* 2 (diluted)

FOREX Rates

US$ €

*1 Net Income attributable to Toyota Motor Corporation *2 Net Income attributable to common shareholders

6

Analysis of Consolidated Operating Income (FY2016 First Half) (billions of yen) -60.0

+140.0

Effects of Marketing Activities *2

Cost Reduction Efforts

+305.0

-170.0

Increase in Expenses, etc. *3

1,351.9 Effects of FOREX Rates *1

’14/4-9

1,583.4

-35.5

Valuation Gains/Losses from Interest Rate Swaps, etc.

+51.9 Other *4

’15/4-9

Operating Income (+231.4)

*1. Details by currency

*2. Details

US$

Volume, M odel M ix

+360.0

€

-10.0

Financial Services

Other

-45.0

Other

*3. Details -115.0 ±0

+55.0

*4. Details

Labor Costs

-60.0

R&D Expenses

-40.0

Depreciation and CAPEX-related Expenses

-15.0

Translational FOREX impact concerning overseas subsidiaries

Expenses, etc.

-55.0

Other

+55.0

-3.1

7

Consolidated Financial Summary (FY2016 Second Quarter) (billions of yen)

Net Revenues Operating Income

FY2015 2Q

FY2016 2Q

(’14/7-9)

(’15/7-9)

6,554.9 659.2

7,103.8 827.4

10.1%

11.6%

Income before income taxes and equity in earnings of affiliated companies

737.3

Net Income*1

+548.9 +168.1

+25.5%

-

-

829.8

+92.5

+12.6%

539.0

611.7

+72.6

+13.5%

8.2%

8.6%

-

-

170.54 yen

192.51 yen

+21.97 yen

-

104 yen 138 yen

122 yen 136 yen

+18 yen -2 yen

-

Operating margin

Net margin* 1

Net income per share* 2 (diluted)

FOREX Rates

US$ €

Change

*1 Net Income attributable to Toyota Motor Corporation *2 Net Income attributable to common shareholders

+8.4%

8

Analysis of Consolidated Operating Income (FY2016 Second Quarter) (billions of yen) -30.0 +80.0

Effects of Marketing Activities *2

Cost Reduction Efforts

+160.0

-75.0

Increase in Expenses, etc. *3

659.2

827.4 +7.2

Valuation Gains/Losses from Interest Rate Swaps, etc.

+25.9 Other *4

Effects of FOREX Rates *1

’14/7-9 *1. Details by currency

*2. Details

US$

Volume, Model M ix Financial Services

-50.0

Other

+25.0

€ Other

’15/7-9

Operating Income (+168.1) +185.0 -5.0 -20.0

*3. Details -5.0

*4. Details

Labor Costs

-30.0

R&D Expenses

-20.0

Depreciation and CAPEX-related Expenses

-10.0

Translational FOREX impact concerning overseas subsidiaries

Expenses, etc.

-15.0

Other

+25.0

+0.9

9

Geographic Operating Income：Japan ●

Operating Income (billions of yen) Consolidated Vehicle Sales (thousands of vehicles)

FY2016 1H

1,030

984

FY2016 First Half Increased as a result of favourable foreign exchange rates and cost reduction efforts.

FY2016 2Q

(-46)

524

514

(-10)

958.2 718.7

482.3 352.8 +129.5

+239.4

Operating Income Margin

FY2015 1H

FY2016 1H

FY2015 2Q

FY2016 2Q

10.5%

13.3%

9.9%

13.0%

Sienta

10

Geographic Operating Income：North America Operating Income (billions of yen)

Excluding Valuation Gains/Losses from Interest Rate Swaps, etc. ●

FY2016 First Half Decreased mainly due to the impact of foreign exchange rates and an increase in expenses.

Consolidated Vehicle Sales (thousands of vehicles)

FY2016 1H

1,413

1,395

289.1

FY2016 2Q

(+18)

685

684

139.3

134.6

285.7

-3.3

Operating Income Margin

(-1)

-4.7

FY2015 1H

FY2016 1H

FY2015 2Q

FY2016 2Q

6.4%

5.2%

6.2%

5.0%

Valuation Gains/Losses from Interest Rate Swaps, etc. 23.5 billion yen -10.4 billion yen

7.7 billion yen

LEXUS ES Lexus NX

13.9 billion yen

11

Geographic Operating Income：Europe ●

Operating Income (billions of yen) Consolidated Vehicle Sales (thousands of vehicles)

FY2016 2Q

FY2016 1H

414

407

33.2

(-7)

207

201

22.3

22.3

(-6)

30.2

-2.9

Operating Income Margin

FY2016 First Half Decreased mainly as a result of fewer vehicle sales.

±0

FY2015 1H

FY2016 1H

FY2015 2Q

FY2016 2Q

2.4%

2.3%

3.1%

3.4%

AURIS

12

Geographic Operating Income：Asia ●

Operating Income (billions of yen) Consolidated Vehicle Sales (thousands of vehicles)

FY2016 First Half Increased mainly due to cost reduction efforts and favourable exchange rates.

FY2016 2Q

FY2016 1H

755 654 (-101)

369 325 144.0

244.1

212.9

102.5 +41.4

+31.2

Operating Income Margin

(-44)

FY2015 1H

FY2016 1H

FY2015 2Q

FY2016 2Q

8.9%

10.0%

8.7%

11.1%

FORTUNER

13

Central & South America, Oceania, Africa and The Middle East

Geographic Operating Income : ●

Operating Income (billions of yen) Consolidated Vehicle Sales (thousands of vehicles)

FY2016 1H

883

820

FY2016 2Q

(-63)

450

77.9

FY2016 First Half Decreased primarily due to the impact of foreign exchange rates and increased expenses.

66.8

440

(-10)

43.9 28.8 -15.0

-11.0

Operating Income Margin

FY2015 1H

FY2016 1H

FY2015 2Q

FY2016 2Q

6.5%

5.6%

7.1%

4.9%

CAMRY

14

Financial Services Operating Income (billions of yen) FY2016 1H

163.2

FY2016 2Q

180.0

Change

81.1

83.2

FY2015 2Q

FY2016 2Q

Change

FY2015 1H

FY2016 1H

184.5

165.8

-18.6

86.3

95.6

+9.3

Valuation Gains/Losses from Interest Rate Swaps, etc.

21.2

-14.2

-35.5

5.1

12.4

+7.2

Operating Income Excluding Valuation Gains/Losses from Interest Rate Swaps, etc.

163.2

180.0

+16.8

81.1

83.2

+2.0

Operating Income

Improved mainly due to an increase in both lending balance and lending margins.

15

Equity in Earnings of Affiliated Companies (billions of yen) FY2016 1H

FY2016 2Q 100 1,000

200 2,000

165.8

161.6

(-4.2)

150 1,500

60.5 101.1

100 1,000

50 500

0

105.2

(+4.0)

49.0

39.5

(-9.4)

15.6

16.8

(+1.1)

’14/4-9

’15/4-9

Change

50 500

32.4

24.5

(+0.1) (-7.8)

Japan China Other

27.1

(+6.1)

7.0

8.9

(+1.9)

’14/7-9

’15/7-9

’14/4-6

’15/4-6

238

285

21.0 0

60.7

Change

Retail Sales Results in China (thousands of vehicles)

’14/1-6

’15/1-6

466

513

+47

+47 16

Shareholder Return Interim Dividend ： 100 yen per common share (Total Amount of Payout：311.3 billion yen, Payout Ratio 25.0%)

Repurchase (max) ： 150.0 billion yen 23 million shares Dividend per Share

1株当たり配当金と当期純利益の推移 Dividend per share and Net Income

(yen)

250 250

Net Income (Right axis)

Interim Dividend

Year- End Dividend

100 100

120 70

50 50 50

00 -50

’07/3

140

65

’08/3

2,500 25,000

200

35 65

’09/3

2,000 20,000 1,500 15,000

125

100 75

(billions of yen)

165

200 200 150 150

Net Income

90 45

50

50

25 20

30

30

20

20

’10/3

’11/3

’12/3

100

1,000 10,000

60 30

’13/3

65

’14/3

75

’15/3

100

’16/3

500 5,000 0 -500 -5,000

17

Shareholder Return Improving the balance between the Interim and the Year-End dividends Improving flexibility through a resolution to repurchase shares in interim period ＜Resolved matters＞ Interim Dividend Interim Period

Year-End

FY2016 (plan)

75 yen per share

100 yen per share

21.1%

25.0%

Repurchase (max)

-

150 billion yen 23 million shares

Year-End Dividend

125 yen per share

Payout Ratio

Payout Ratio Repurchase (max)

Full-year

FY2015

Payout Ratio

Will be considered 37.6% based on full-year return 300 billion yen/ level * 40 million shares 29.0%

around 30%*

(The above shows resolved matters regarding common stock)

18

Shareholder Return ＜Repurchase schedule＞ 1. Resolved at the Meeting of the Board of Directors on May 8, 2015 Period

Total number of shares

Total purchase price

from November 16, 2015 to January 29, 2016

40 million shares (max)

300 billion yen (max)

2. Resolved at today’s(November 5, 2015) Meeting of the Board of Directors Period

Total number of shares

Total purchase price

from February 1, 2016 to March 31, 2016

23 million shares (max)

150 billion yen (max)

◇ Repurchase plan for fiscal year ending March 2016 (1+2) Period

Total number of shares

Total purchase price

from November 16, 2015 to March 31, 2016

63 million shares (max)

450 billion yen (max)

In addition to the above, we have already repurchased 47.1 million shares of 348.2 billion yen to avoid dilution of the common shares from the issuance of First Series Model AA Class shares.

19

Shareholder Return Cancellation of shares of treasury stock ： 80 million shares (The cancellation is expected to take place on November 30, 2015.) (billions of shares)

Balance of shares of treasury stock

Repurchase for the purpose of shareholder return

+0.06

0.38 +0.05

0.27

-0.08

Cancellation

0.30

Repurchase in connection with issuance of First Series Model AA Class shares

End of March 2015 Actual Results

End of March 2016 As is

End of March 2016 Planned

20

FY2016 Second Quarter Financial Results FY2016 Second Quarter Financial Performance (FY2016 First Half)

FY2016 Financial Forecasts

21

FY2016 Forecasts: Consolidated Vehicle Sales (thousands of vehicles) 10,000

8,950

8,750

8,000

2,170

2,120

(-50)

2,850

2,850

(±0)

(-200)

6,000

4,000

8,972 2,154

2,715

859

840

840

(±0)

1,420

1,320

(-100)

1,489

1,670

1,620

(-50)

1,755

Previous Forecasts (’15/4-’16/3)

New Forecasts (’15/4-’16/3)

2,000

Japan N. America Europe Asia Other Central and South America, Oceania, Africa, The Middle East, etc.

0

Total retail vehicle sales in thousands

10,150

10,000

Change

-150

FY2015 Results (’14/4-’15/3)

10,168

22

FY2016 Forecasts: Consolidated Financial Summary (billions of yen)

Previous Forecasts

New Forecasts

(’15/4-’16/3)

(’15/4-’16/3)

Change

Net Revenues 27,800.0 Operating Income 2,800.0

27,500.0 2,800.0

-300.0 ±0

10.1%

10.2%

2,980.0

2,980.0

±0

2,892.8

330.0

310.0

-20.0

308.5

2,250.0

2,250.0

±0

2,173.3

8.1%

8.2%

Operating margin Income before income taxes and equity in earnings of affiliated companies Equity in earnings of affiliated companies *1

Net Income Net margin*1

FOREX Rates

US$ €

117 yen 127 yen

118 yen*2 133 yen*2

-

FY2015 Results (’14/4-’15/3)

27,234.5 2,750.5 10.1%

-

+1 yen +6 yen

8.0%

110 yen 139 yen

*1 Net Income attributable to Toyota Motor Corporation *2 FOREX Rate assumptions: 115 yen against the U.S. dollar and 130 yen against the Euro from October 2015 to March 2016

23

Analysis of FY2016 Forecasts: Consolidated Operating Income (vs. Previous Forecasts) (billions of yen)

+45.0

2,800.0

+65.0 Effects of FOREX Rates

Cost Reduction Efforts

-65.0 Volume/ Model Mix

±0

Other Marketing Efforts

Effects of Marketing Activities -65.0

Previous Forecasts (’15/4-’16/3)

Operating Income (±0)

-45.0

2,800.0

Increase in Expenses, etc.

New Forecasts (’15/4-’16/3)

24

25

◇

Toyota Environmental Challenge 2050

26

◇ Development of Automated Driving

Safety

Efficiency

Freedom

Reducing congestion

Driving Intelligence

Connected Intelligence

Interactive Intelligence

27

◇ Artificial Intelligence Research •

Establishment of a collaborative research centers with MIT and Stanford

•

Total investment of USD $50 million to accelerate AI research

•

AI industry expert Dr. Gill A. Pratt invited to reinforce research into artificial intelligence

Professor Daniela Rus, Dr. Gill A.Pratt Professor Fei-Fei Li, Kiyotaka Ise, Senior Managing Officer MIT Stanford

MIT

28

FY2016 Consolidated Forecasts: R&D, CAPEX, Depreciation (billions of yen)

Capital Expenditures

R&D Expenses ●

Depreciation Expenses

12,000 1,200 732.9

1,100 11,000

727.3

880.0 806.2

775.9

1,000 10,000 900 9,000 800 8,000

1,004.5

700 7,000

807.4

1,060.0

910.5

852.7

779.8 00

FY2012

1,177.4

1,210.0

FY2015

FY2016 Forecast

1,000.7

706.7 FY2013

FY2014

FY2015

FY2016 Forecast

FY2012

Change from Previous Forecasts: R&D Expenses +10.0 billion yen Capital Expenditures ±0 billion yen

FY2013

FY2014

Depreciation Expenses ±0 billion yen

29

FY2016 Second Quarter Financial Results

Toyota Motor Corporation November 5, 2015

LEXUS RX

(Reference) FY2016 Forecasts: Vehicle Production and Retail Sales (thousands of vehicles)

T o y o t a

Vehicle 1 Production*

& L e x u s

Vehicle 2 Retail Sales*

Previous Forecasts

New Forecasts

(’15/4-’16/3)

(’15/4-’16/3)

Japan

3,250

3,250

±0

Overseas

5,850

5,750

-100

Total

9,100

9,000

-100

Japan

1,450

1,500

+50

Overseas

7,700

7,600

-100

Total

9,150

9,100

-50

1,800

1,800

±0

10,150

10,000

-150

Exports

Total Vehicle Retail Sales*2 (Including Daihatsu- & Hino- brand)

*1 Including vehicle production by Toyota’s affiliates outside consolidation *2 Including vehicle sales by Toyota’s affiliates outside consolidation

Change

31

(Reference) Definitions of Consolidated and Retail Vehicle Sales

*There are a limited number of exceptional cases where sales are made other than in accordance with the flowchart above.

Customers

Number of vehicles produced for wholesale by Toyota’s affiliates outside consolidation (e.g. JV affiliates in China, etc)

Total Retail Vehicle Sales

P5,22

Toyota and Lexus Vehicle Sales

Number of vehicles produced for wholesale by Toyota Motor Corporation and its consolidated subsidiaries

Distributors or Dealers outside consolidation

Toyota- and Lexus- brand vehicles

Consolidated Vehicle Sales

Daihatsu- and Hino- brand vehicles

P5 P22 P31 (in bottom part)

P22

32