For immediate release
                                                                  August 3, 2005


                Toyota Announces First Quarter Operating Results
               Net revenues Increase as Sales Grow in All Regions
  (All consolidated financial information has been prepared in accordance with
         accounting principles generally accepted in the United States)


Tokyo--TOYOTA MOTOR CORPORATION (TMC) today announced operating results for the
first quarter ended June 30, 2005.

On a consolidated basis, net revenues for the first quarter totaled 4.98
trillion yen, an increase of 10.5 percent compared to the same period last
fiscal year. Operating income decreased 9.7 percent to 405.1 billion yen, while
income before income taxes, minority interest and equity earnings of affiliated
companies were 421.8 billion yen. Net income decreased 6.9 percent to 266.8
billion yen.

Positive contributions to operating income totaled 60.0 billion yen and included
cost reduction efforts of 30.0 billion yen and marketing efforts of 30.0 billion
yen. Negative factors totaled 103.5 billion yen, including an increase in R&D
and other expenses of 86.8 billion yen, foreign exchange losses of 10.0 billion
yen and a decrease in the gains recognized on transfer of the substitutional
portion of the employee pension fund to the government of 6.7 billion yen.

Commenting on the results, TMC Senior Managing Director Takeshi Suzuki said, "In
the past year, the operating income ratio has gradually declined. One reason is
due to the effect of the model cycle in which new vehicles are introduced. We
expect, however, that the first half of this fiscal year represents the lowest
point of the model cycle. We expect improvement from the latter half of this
fiscal year through next year, with the planned introduction of the Lexus and
other models. In order to realize future growth, annual expenses of 770 billion
yen in R&D and 1.25 trillion yen in capital investment has been made
continuously and strategically."

Consolidated vehicle sales in the first quarter grew in all regions to a total
of 1.95 million units, recording an increase of 157 thousand units compared with
the previous period of the last fiscal year.

In Japan, unit sales increased by 12 thousand units to 550 thousand units
compared with the first quarter of the last fiscal year. This was due mainly to
favorable sales of the new Vitz, which was fully redesigned in February. The
Passo and Isis also continued to show strong sales. As a result, the market
share of Toyota brand vehicles (excluding minivehicles) was 45.0 percent.

Sales in North America reached 641 thousand vehicles, an increase of 69 thousand
vehicles due to the strong popularity of the new Avalon, Prius and the Scion
lineup. In addition, the RX 400h and Highlander Hybrid SUVs also showed strong
sales.


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In Europe, locally-built models such as the Corolla and Yaris contributed to a
sales increase of nine thousand vehicles to 256 thousand vehicles.

TMC decided to report Asia results as an independent geographic segment for the
first time beginning this quarter. The company reported that sales in Asia rose
to 229 thousand vehicles, an increase of 27 thousand vehicles, mainly due to
successful launch of IMV (Innovative international Multi-purpose Vehicle)
project.

Sales in other regions including Africa and Central and South America reached
272 thousand vehicles, an increase of 40 thousand vehicles.

TMC estimates that consolidated vehicle sales for the fiscal year ending March
31, 2006 will be 7.97 million vehicles, and accordingly, revises the forecast
announced in May 2005 upwards by 120 thousand vehicles.

Suzuki concluded by commenting on the consolidated profit outlook for the fiscal
year ending March 31, 2006. "As production and sales of vehicles have been
increasing steadily, and with the current levels of exchange rates, we will
strive to achieve an increase in revenues and profit compared with last year."

(Please see attached information for details on financial results. Further
information is also available on the Internet at www.toyota.co.jp)
                                                 ----------------

   Cautionary Statement with Respect to Forward-Looking Statements

   This release 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: (i) changes in
   economic conditions affecting, and the competitive environment in, the
   automotive markets in Japan, North America, Europe 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 and the British pound; (iii) Toyota's ability to realize
   production efficiencies and to implement capital expenditures at the levels
   and times planned by management; (iv) changes in the laws, regulations and
   government policies affecting Toyota's automotive operations, particularly
   laws, regulations and policies relating to environmental protection, vehicle
   emissions, vehicle fuel economy and vehicle safety, as well as changes in
   laws, regulations and government policies affecting Toyota's other
   operations, including the outcome of future litigation and other legal
   proceedings; (v) political instability in the markets in which Toyota
   operates; (vi) Toyota's ability to timely develop and achieve market
   acceptance of new products; and (vii) fuel shortages or interruptions in
   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. 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.


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