TOKYO (AP) — Toyota this week reported a 7 percent year-on-year drop in profit for April-September as President Donald Trump’s tariffs impacted Japanese automakers.

Net profit for the April-September period at Toyota Motor Corp. totaled $11.5 billion, down from $12.4 billion a year earlier.

Yet the maker of the Camry sedan and Lexus luxury models lifted its profit forecast for the full fiscal year ending in March 2026 to $19 billion, citing better vehicle sales and cost-cutting efforts.

The forecast would represent a 38.5 percent drop from the $28.6 billion profit Toyota reported for the last fiscal year. It had earlier forecast $17 billion in profit for this year.

Although tariffs are hurting its business, Toyota said its sales grew in the United States and its home market of Japan.

American tariffs on Japanese automobiles and auto parts fell to 15 percent in September from the 27.5 percent rate Trump initially ordered after returning to the White House. That’s higher than the original 2.5 percent.

Japan’s exports to the United States, including vehicles, recently have declined.

Toyota said its efforts, such as bigger sales, better model mix and cost cuts will add more than $5.8 billion to the company’s bottom line in this fiscal year.

“Despite the impact of U.S. tariffs, we have continued to build upon our improvement efforts such as increasing sales volume, improving costs and expanding value chain profits,” Toyota said in a statement.

During the six months through September, Toyota sold more than 1.5 million vehicles in North America and 970,000 vehicles in Japan.

First half sales grew 5.8 percent to $160 billion. For the latest quarter through September, Toyota reported a 62 percent rise in profit to $6 billion on $80 billion in sales, up 8 percent on year.