Toyota Motor Corporation (7203) Earnings Call Transcript & Summary

[Presentation] Good afternoon, everyone. Thank you. Well, today marks a very special moment for a car at the very pinnacle of the Toyota portfolio, the Century. Century is a singular automobile representing the height of Japanese sensibilities. Born as the pride of Toyota, Century has become the pride of Japan. It takes a nation to build a Century. And that nation is changing. And to understand the future, we must first understand the past. Every great product is created by great people. And through those products, they inspire ever greater accomplishments. Century was named in honor of one of those individuals. First introduced in 1967, Century commemorated the centenary of the birth of Sakichi Toyoda, Founder of the Toyota Group. The principles of disciplined creativity that Sakichi lived and works by remained the core principles of Toyota to this day. During the first development of the first Century in the 1960s, Japan was still a rising economy. Toyota was yet to compete with the exotic imported luxury cars. And when Shoichiro Toyoda commissioned Century, it was a huge gamble. For over a year, Shoichiro worked day and night embedded in the Century team led by Chief Engineer, Kenya Nakamura. A cutting-edge technology alone, it wasn't enough. They needed to embrace Japan's heritage and cultural values to create something completely new and unique. The philosophy that gave birth to Century was handed down from generation to generation. And throughout this time, Shoichiro remained personally involved in the development of all 3 generations of Century. And for the most recent Sedan in 2018, I was fortunate to witness that attention to detail firsthand. Over 90 years old at the time, his single-minded vision for Century was unclouded. I remember being taken aback by the detail of his questions right down to the exact position of the rear seats. But millimeter by millimeter, degree by degree, he led us to see what he saw. And to explain this focus, I need you to imagine a day in the life of a Century customer. Often an individual for whom public service extends to every movement in every moment that they are seeing, where arrival and departure are the first and last impressions that they imbue. The elegance of the transition from public to private realms is an art in itself. Century's role was to make that transition as natural and as seamless as possible. And his greatest lesson to us was, whether they're key to the finest attention to detail in car making is to show the finest attention to detail in customer understanding. And that customer is changing. New generations are leading new industries with new ways of thinking and new ways of working, Akio Toyoda was acutely aware of this. He knew the Century had to change. But he also believed that it have the potential to move with the times without sacrificing what it stood for. He inspired us to embrace those changing times and take a more adventurous path, a Century that was dignified but bold. Be thoughtful but confident and subtle but expressive. Century's phoenix motif could not be more fitting. The opening of a new era. Ladies and gentlemen, a Century for the next century. [Presentation]

Thank you. Well, I think you'll agree that this is a bold addition to the Century legacy. I remember when we first showed the car to Akio his reaction was a very, very simple wow. A completely new direction, but still very much a Century. And together with the Sedan, the new vehicle was worthy to stand at the apex of Toyota, the 2 wings of the Phoenix. So how do we get to this answer? Well it all revolves around the requirements of a unique group of customers, they need space to work but also to rest. They want space to converse, but also to escape. They seek space to think, but also be inspired and they value privacy, but at the same time, they embrace public life. That is, we needed to create a car that allowed the customer to curate their own personal experiences, both practically and emotionally. And the result is a flagship like no other. It's uniquely Japanese. This architecture allows customers to seamlessly move between experiences by the minute and in the moment. And at the center of this world is the rear seat. When concentration and productivity or a necessity, everything you need is at your fingertips, but it's never in your way, and not only practical elements but also creating just the right distance for privacy between passenger and driver. But productivity also requires inspiration and creativity, space to think and relax. As the quietest car we've ever made, Century is the perfect environment. At any speed, occupants who converse naturally without raising their voice. With a plug-in powertrain, the majority of everyday journeys will be silent and 0 emission. And this, together with 4-wheel steering, 4-wheel drive, will allow professional drivers even greater control over vehicle dynamics, providing an even smoother ride for all passengers. Within this serene environment, you can freely choose the lighting and acoustics to suit your mood, from electrochromatic glass to an audio system that taps into Japan's experience in creating some of the world's finest musical instruments. But there are times when sleep is the only answer. Take off your shoes, fully stretch out and recline into a cocoon-like environment, your own private oasis. And these features are just the start. Naturally, every Century can be tailor-made to your requirements, whether that's color or materials or seat configurations or even down to how you choose to a light from the vehicle arrival. In other words, you can even choose your own door, whether that's the ultra wide swing door or maybe something a little bit more dramatic. How about that for an entrance? Rest assured, when your journey comes to an end, you'll step out a Century refreshed. The opportunities are only limited by your imagination. If you want to drive the vehicle yourself at the weekend, the GRMN will certainly not disappoint. The possibilities are endless and open to discussion. At Toyota, we believe in the value of freedom of motion for everyone, whatever their situation or position. Within this, the role of chauffeur-driven mobility, it can't be underestimated. The car is an expression and an extension of customers' values. Whether that be the sleek elegance of the zero-emission fuel cell crowns Sedan or the ultimate power and space of the Alphard Vellfire, we provide the opportunity for people to choose how they wish to express themselves. Century sits at the tip of Toyota's vision for chauffeur-driven mobility. It's bold and dynamic but still retains its discerning taste. It's inherently simple, but it also has great depth. It's modern, but still has a connection to its heritage. Century embodies everything that's good about Japanese sensibilities, both aesthetically and conceptually. The heritage of tomorrow is the innovation of today. Let's change the future of cars. [Foreign Language] Thank you very much for your time.