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Following the high-profile allegations earlier this year, a new report from the Japanese Ministry of Transport found that Toyota had falsified data to certify selected vehicles. The news caused the carmaker's share price to plummet by $15 billion within a week.
Toyota lost an estimated 5.3 percent after the June 3 report was released, posting a loss of 2.45 trillion Japanese yen, or just over $15 billion.
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Based on the inspection and the subsequent report, Toyota stopped deliveries of three vehicles (Corolla Fielder, Corolla Axio and Yaris Cross). Four other models were discontinued because the data turned out to be incorrect.
The fake tests were reportedly conducted in 2014, 2015 and 2020.
“As the head of the Toyota Group, I would like to sincerely [apologize] We would like to thank our customers, car fans and everyone involved,” said Akio Toyoda, CEO of Toyota and grandson of the company's founder, at a press conference last week.
Related: Who is Shoichiro Toyoda? The first heir to the Toyota empire and father of current CEO Akio Toyoda has died
Nevertheless, the car manufacturer's market capitalization is around $280 billion.
The scandal began in January 2024 after Japanese officials raided a Toyota factory after Toyota executives admitted that the company had falsified the results of certain engine tests.
Meanwhile, the company reported a strong fiscal year 2024 (which began in April 2023 and ended in March 2024) with revenue of 45,095.3 billion yen, an increase of 21.4% from fiscal year 2023.
The results of the investigation are likely to have a negative impact on the company's future earnings. Toyota is expected to release its report for the first quarter of fiscal 2025 in August.
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