Toyota expects a fiscal 2026 operating profit of about $26 billion, short of the Wall Street estimate for about $34 billion.

Danish shipping and logistics giant A.P. Moeller-Maersk and Japanese auto giant Toyota each sounded the alarm on tariffs on Thursday as both lowered their guidance.

Several companies have pulled their full-year outlooks for 2025, with many citing market uncertainty exacerbated by Trump’s tariffs.

The Japanese carmaker projected lower annual profit after reporting a drop in fourth-quarter earnings, with U.S. tariffs and higher material costs expected to cut into its bottom line.

The automaker’s somber forecast for the fiscal year underscored how quickly fortunes have turned for many companies reckoning with President Trump’s tariffs.

Toyota Motor Corp. said US President Donald Trump’s tariffs will result in a ¥180 billion ($1.3 billion) hit to operating income in just two months, with the Japanese carmaker joining a growing list of companies grappling with the fallout of trade turmoil.