LKQ vs Toyota: Revenue, Profit and Business Model
LKQ had $13.7B of annual revenue in FY2025 and $608M of net income. Toyota had ~$339.6B of annual revenue in FY2026 and ~$25.8B of net income.
Latest financial snapshot
Financial summary
LKQ
LKQ's revenue has been flat for four years: $13.27B in 2023, $13.82B in 2024 (restated) and $13.65B in 2025. FY2025 operating income was $993 million and net income attributable to stockholders was $607 million, while free cash flow was $847 million, of which $469 million was returned to shareholders. 2026 started weaker. Q1 diluted EPS fell to $0.30 from $0.61, and Q2 revenue fell 3.0% to $3.41 billion with net income of $134 million ($0.52 per share) versus $185 million a year earlier. Adjusted Q2 EPS was $0.67 versus $0.84. Free cash flow for the first half of 2026 was negative $36 million, total debt was $4.0 billion, and the company paid $154 million of dividends in the first half. LKQ Corporation is a massive American global provider of alternative and specialty parts to repair automobiles, commanding a market valuation typically over $12 billion.
Toyota
Toyota's fiscal 2026 showed record revenue alongside sharply lower profit. Sales revenues reached ~$340 billion (¥50.68 trillion) while operating margin narrowed to about 7.4% from 10.0% a year earlier, mostly because of roughly $9.25 billion (¥1.38 trillion) in U.S. tariff costs. North America swung to a much weaker profit, Japan remained the largest profit contributor, and financial services kept growing. For fiscal 2027, Toyota's August 2026 forecast calls for ~$362 billion (¥54.0 trillion) in revenue, ~$22.8 billion (¥3.4 trillion) in operating income and ~$21.8 billion (¥3.25 trillion) in net income, assuming 160 yen per dollar. Toyota is consistently the top-selling automaker globally and sustains a massive market valuation often exceeding $300 billion.
Revenue and profit by year
LKQ
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $13.7B | $608M | 4.5% | -1.2% | Source |
| FY2024 | $13.8B | $693M | 5.0% | +4.2% | Source |
| FY2023 | $13.3B | $938M | 7.1% | +3.7% | Source |
| FY2022 | $12.8B | $1.1B | 9.0% | -2.3% | Source |
| FY2021 | $13.1B | $1.1B | 8.3% | +12.6% | Source |
| FY2020 | $11.6B | $638M | 5.5% | -7.0% | Source |
| FY2019 | $12.5B | $541.3M | 4.3% | +5.3% | Source |
| FY2018 | $11.9B | $480.1M | 4.0% | +22.0% | Source |
| FY2017 | $9.7B | $533.7M | 5.5% | +13.4% | Source |
| FY2016 | $8.6B | $464M | 5.4% | — | Source |
Toyota
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2026 | ~$339.6B | ~$25.8B | 7.6% | +5.5% | Source |
| FY2025 | ~$321.8B | ~$31.9B | 9.9% | +6.5% | Source |
| FY2024 | ~$302.1B | ~$33.1B | 11.0% | +21.4% | Source |
| FY2023 | ~$248.9B | ~$16.4B | 6.6% | +18.4% | Source |
| FY2022 | ~$210.2B | ~$19.1B | 9.1% | +15.3% | Source |
| FY2021 | ~$182.3B | ~$15B | 8.3% | -9.1% | Source |
| FY2020 | ~$200.5B | ~$13.9B | 6.9% | -1.0% | Source |
| FY2019 | ~$202.5B | ~$12.6B | 6.2% | +2.9% | Source |
| FY2018 | ~$196.8B | ~$16.7B | 8.5% | +6.5% | Source |
| FY2017 | ~$184.9B | ~$12.3B | 6.6% | -2.8% | Source |
| FY2016 | ~$190.3B | ~$15.5B | 8.1% | — | Source |
Where the revenue comes from
LKQ
- Europe Segment - Aftermarket Parts and Services~46.2%
The Europe segment generated $6.31 billion in FY2025, down 1.5% from $6.41 billion in FY2024. This segment provides alternative vehicle replacement and maintenance products in over 20 European countries, built on four key acquisitions: Euro Car Parts (UK), Sator/Fource (Netherlands/Belgium/France), Rhiag (Italy/Eastern Europe), and Stahlgruber (Germany/Central Europe). Segment EBITDA was $584 million (9.3% margin).
- North America Segment - Collision, Mechanical, and Recycled Parts~41.4%
The North America segment generated $5.65 billion in FY2025, down 2.5% from $5.76 billion in FY2024. This segment provides aftermarket collision replacement products, paint and body repair products, alternative mechanical replacement products, and recycled parts through a network of distribution centers and processing facilities across the U.S. and Canada. Segment EBITDA was $814 million (14.4% margin).
- Specialty Segment - Aftermarket Equipment and Accessories~12.4%
The Specialty segment generated $1.69 billion in FY2025, up 2.1% from $1.66 billion in FY2024. This segment distributes aftermarket equipment and accessories for specialty vehicles including trucks, off-road vehicles, and RVs, built on Keystone Automotive Operations and later Meyer Distributing. Segment EBITDA was $111 million (6.5% margin). The company is exploring a potential sale of this segment.
- Other Revenue - Scrap Metals and Commodities~2.5%
Other revenue generated $345 million in FY2025, up 8.2% from $318 million in FY2024. This includes scrap and other metals sales, precious metals (platinum, palladium, rhodium) from catalytic converters, bulk sales to mechanical manufacturers, and aluminum ingots from furnace operations. This revenue is commodity-price dependent and varies significantly.
Toyota
- Automotive~89%
Toyota, Lexus, Daihatsu and Hino vehicles, plus parts and service
- Financial services~9%
Retail loans, leases and dealer financing
- All other~2%
Housing-related, telecommunications and other businesses
Business model and strategy
LKQ
How it makes money
LKQ is a B2B distributor with three reporting segments. North America ($5.65B FY2025 revenue) sells aftermarket collision parts, recycled OEM parts harvested from salvage vehicles, paint and body supplies, and remanufactured engines and transmissions to collision and mechanical repair shops, with much of the demand steered by auto insurers seeking lower claim costs.
Growth strategy
LKQ's current strategy is less about acquisitions and more about productivity: cutting costs in Europe, raising alternative-parts utilization in North America, expanding private-label parts, and selling non-core assets such as Self Service (2025) and potentially Specialty. Capital returns continue, with $207 million returned to shareholders in the first half of 2026.
Competitive advantage
LKQ's advantage is scale in a fragmented market. Its salvage and distribution network gives it the broadest recycled and aftermarket collision inventory in North America, and its estimating-system and insurer relationships mean its parts are often the default alternative on a repair estimate. In Q2 2026 management said alternative-parts utilization in North America reached a record above 40%.
Toyota
How it makes money
Toyota makes most of its money building and selling vehicles under the Toyota and Lexus brands (plus Daihatsu and Hino), led by high-volume models such as the RAV4, Corolla, Camry and Hilux. A large financial services arm earns interest and lease income on loans and leases to Toyota buyers and dealers, and parts, service and other value-chain businesses add recurring revenue from the installed base of vehicles.
Growth strategy
Toyota's strategy centers on hybrid leadership, battery EV scaling, software improvement, localized manufacturing, Lexus and truck/SUV profitability, financial services, and disciplined capital allocation.
Competitive advantage
Toyota's advantage is manufacturing discipline, hybrid technology, global supplier relationships, brand trust, reliability, and scale. Those strengths are durable, but they must be paired with faster software and EV execution.
Questions about LKQ vs Toyota
Which company has higher revenue — LKQ Corporation or Toyota Motor Corporation?
LKQ Corporation had $13.7B (FY2025), while Toyota Motor Corporation had ~$339.6B (FY2026). By latest annual revenue, Toyota Motor Corporation is the larger business, with LKQ Corporation showing a smaller revenue base. Note: these are from different fiscal years and are not a direct like-for-like comparison.
What is the market cap of LKQ Corporation vs Toyota Motor Corporation?
LKQ Corporation's market capitalisation stands at $5.9B, while Toyota Motor Corporation's is $258.0B. Toyota Motor Corporation carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to LKQ Corporation.
How does revenue per employee compare for LKQ Corporation and Toyota Motor Corporation?
LKQ Corporation has $310k / employee in revenue per employee, while Toyota Motor Corporation has $905k / employee. Headcounts may use different dates, so the ratio alone does not establish which business operates more efficiently.
How do LKQ Corporation and Toyota Motor Corporation make money?
LKQ Corporation and Toyota Motor Corporation generate revenue in fundamentally different ways. LKQ Corporation: LKQ is a B2B distributor with three reporting segments. Toyota Motor Corporation: Toyota makes most of its money building and selling vehicles under the Toyota and Lexus brands (plus Daihatsu and Hino), led by high-volume models such as the RAV4, Corolla, Camry and Hilux.
Which company is valued higher relative to revenue — LKQ Corporation or Toyota Motor Corporation?
On a price-to-sales (P/S) basis, LKQ Corporation trades at 0.4x P/S and Toyota Motor Corporation at 0.8x P/S. Toyota Motor Corporation commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to LKQ Corporation. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is LKQ Corporation bigger than Toyota Motor Corporation?
By last reported revenue, Toyota Motor Corporation (~$339.6B (FY2026)) is the larger company compared to LKQ Corporation ($13.7B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the LKQ vs Toyota overview