Who owns Lexus?
This question often comes up among luxury car enthusiasts and curious buyers. Lexus is known for its performance, craftsmanship, and reliability. While many see Lexus as a standalone luxury brand, it has deep roots in one of the largest car manufacturers in the world.
History of Lexus
Lexus was launched by Toyota in 1989. It was created to compete in the global luxury vehicle market. The idea started in the 1980s when Toyota wanted to enter the premium car segment. The project was internally called “Flagship One” or “F1”.
Toyota invested heavily in research and design. The first model, the Lexus LS 400, was introduced in the U.S. in 1989. It was praised for its quiet ride, build quality, and competitive price. Over time, Lexus expanded its lineup. Today, it includes sedans, SUVs, hybrids, and electric vehicles.
Lexus is Toyota’s luxury division. It has grown into one of the best-selling luxury car brands in the world.
Who Owns Lexus?
Lexus is fully owned by Toyota Motor Corporation. It is not an independent company. Instead, it is a division under the larger Toyota umbrella. Toyota created Lexus to cater to high-end markets, especially in North America and Europe.
As a division, Lexus does not have separate shareholders or a unique stock listing. All ownership ties back to Toyota. Anyone who owns shares of Toyota indirectly holds a stake in Lexus.
Below is an overview of the major shareholders of Toyota (the parent company of Lexus):
| Shareholder | Ownership (%) | Shares Held (Approx.) | Role / Description |
|---|---|---|---|
| The Master Trust Bank of Japan, Ltd. | 15.5% | 2.53 billion | Trust bank holding shares for institutional investors and pension funds |
| Toyota Industries Corporation | 8.4% | 1.37 billion | Original parent of Toyota; supplies key components; strategic partner |
| Custody Bank of Japan, Ltd. | 5.5% | 0.90 billion | Custodian for various institutional and corporate investors |
| Nippon Life Insurance Company | 3.2% | 0.52 billion | Long-term strategic investor; major Japanese life insurer |
| JP Morgan Chase Bank | 2.2% | 0.36 billion | Nominee for foreign institutional investors and global funds |
| Denso Corporation | 2.1% | 0.34 billion | Automotive parts supplier; strong operational and strategic ties to Toyota |
| Tokio Marine & Nichido Fire Insurance | 1.6% | 0.26 billion | Japanese insurance firm with long-term equity interests in Toyota |
| Sumitomo Mitsui Banking Corporation (SMBC) | 1.3% | 0.21 billion | Leading Japanese bank; financial partner and investor |
| State Street Bank and Trust Company | 1.1% | 0.18 billion | U.S.-based custodian for index funds and institutional clients |
| Toyota Motor Corporation (Treasury Stock) | 10.0% | 1.63 billion | Shares held by Toyota itself; used for financial flexibility |
| Retail & Other Institutional Investors | 24.1% | 3.93 billion | Global mutual funds, pension funds, ETFs, and individual shareholders |
The Master Trust Bank of Japan, Ltd. – Approx. 15.5%
This is the largest single shareholder of Toyota Motor Corporation. It acts as a trust bank, managing assets on behalf of pension funds, insurance companies, and institutional investors. While it holds shares in its name, it does not exercise direct control. Voting rights are typically passed through to the beneficial owners they represent.
Toyota Industries Corporation – Approx. 8.4%
Toyota Industries, the original parent of Toyota Motor Corporation, still owns a large stake in the company. The two companies are tightly linked, both historically and operationally. Toyota Industries supplies key components like engines and vehicle compressors. Its significant shareholding helps maintain strong strategic alignment with Toyota’s goals, including the growth of Lexus.
Custody Bank of Japan, Ltd. – Approx. 5.5%
This is another major Japanese trust bank. Like The Master Trust Bank, Custody Bank holds shares for various institutional clients. Its role is custodial, not managerial. However, its large shareholding reflects the strong base of institutional investment in Toyota from across Japan.
Nippon Life Insurance Company – Approx. 3.2%
As one of Japan’s largest life insurers, Nippon Life holds a strategic long-term stake in Toyota. This reflects a broader pattern in Japanese corporate culture, where financial institutions maintain close ties with key industrial companies. Nippon Life supports Toyota through both capital and corporate governance alignment.
JP Morgan Chase Bank – Approx. 2.2%
JP Morgan Chase acts as a nominee holder for many foreign institutional investors, especially in North America. Its shareholding shows Toyota’s appeal to global investors. While the bank itself doesn’t influence corporate decisions, the underlying funds it represents often vote on shareholder matters.
Denso Corporation – Approx. 2.1%
Denso is a leading auto parts manufacturer that was spun off from Toyota. It remains a key supplier for both Toyota and Lexus vehicles. Denso’s shareholding reflects the strong supply chain and technological partnership between the two companies.
Tokio Marine & Nichido Fire Insurance – Approx. 1.6%
This major Japanese insurance company holds shares in Toyota as a stable, long-term investment. It participates in shareholder votes and aligns with Toyota’s long-term management direction, reinforcing trust-based corporate relationships in the Japanese business environment.
Sumitomo Mitsui Banking Corporation (SMBC) – Approx. 1.3%
SMBC is one of Japan’s top three megabanks and maintains a financial relationship with Toyota. Its equity investment supports ongoing lending, credit facilities, and joint ventures. The shareholding is symbolic of deeper banking-industry ties.
State Street Bank and Trust Company – Approx. 1.1%
State Street is a major U.S. financial institution that holds shares on behalf of index funds and institutional clients. Like JP Morgan, its role is custodial. Still, its presence highlights Toyota’s significant U.S. investor base and inclusion in global index funds.
Toyota Motor Corporation (Treasury Stock) – Approx. 10%
Toyota holds a portion of its own shares as treasury stock. These shares have no voting power and are not included in dividend payments. Treasury stock allows Toyota to support share price stability and conduct future financial operations such as stock-based compensation or buybacks.
Retail and Other Institutional Investors – Approx. 24%
The rest of Toyota’s shares are held by a wide mix of institutional investors, mutual funds, ETFs, and individual shareholders across the globe. While individually small, collectively they represent a significant portion of Toyota’s equity. Many of these shareholders gain indirect exposure to Lexus through Toyota’s stock performance.
Who Controls Lexus: Decision-Making Power
Lexus is not an independent company. It is a luxury division fully owned and managed by Toyota Motor Corporation. As such, Lexus is controlled through Toyota’s executive leadership and board of directors. The brand has its own design and marketing teams, but all key decisions, strategies, and corporate governance are overseen by Toyota’s top executives.
Executive oversight by Toyota Motor Corporation
All strategic direction for Lexus is determined by Toyota’s executive committee. This includes long-term planning, product development, investment decisions, and global positioning. While Lexus has some autonomy in operations, it remains tightly integrated with Toyota’s corporate structure.
Major decisions such as entering new markets, launching new models, or investing in electrification come from Toyota headquarters. Lexus aligns its innovation, safety, and design goals with Toyota’s company-wide priorities.
Toyota’s board of directors, consisting of internal executives and external advisors, approves and supervises strategic plans for all divisions—including Lexus.
CEO of Toyota: Koji Sato
As of 2025, Koji Sato serves as the President and CEO of Toyota Motor Corporation. He assumed the role in April 2023, succeeding Akio Toyoda.
Koji Sato has a strong engineering background and deep experience in both luxury and hybrid vehicle development. Before becoming CEO, he was the President of Lexus International and the Chief Branding Officer at Toyota. His tenure at Lexus gave him direct insight into the luxury brand’s needs and growth strategy.
Under Sato’s leadership, Toyota has prioritized carbon neutrality, hybrid technology, and the global expansion of premium offerings like Lexus. His focus includes accelerating Lexus’ shift toward electric vehicles (EVs) and enhancing its position in the global luxury car market.
Sato leads a team of senior executives, including regional managers and product development heads, who oversee different aspects of Lexus operations. Although Lexus doesn’t have its own CEO, its top executives report directly to Sato and Toyota’s board.
Lexus International Division
To streamline operations and branding, Lexus International was established as a dedicated division within Toyota. This group handles product planning, design, sales strategy, and brand direction for Lexus globally.
While this division has some freedom in execution, it ultimately follows Toyota’s governance policies and budget approvals. It operates under the direction of the Toyota Executive Vice President in charge of global sales and marketing.
Regional leadership and control
Lexus also has regional leadership teams. These teams manage localized operations, including distribution, marketing, and dealer relations. For example, Lexus USA has its own president and management team but is accountable to both Lexus International and Toyota North America.
Annual Revenue and Net Worth of Lexus
Lexus realized global revenue of $21.0 billion in 2022. By 2024, that figure is estimated to have grown to approximately $26.4 billion, driven by strong demand for SUVs and electrified models. Lexus revenue is then projected to reach $27.0 billion in 2025, reflecting a compound annual growth rate as the brand expands its luxury and EV offerings.
As for net worth, Lexus is treated as a division under Toyota and is not separately valued in major brand‐valuation rankings. Interbrand’s Best Global Brands 2024 and Brand Finance’s Global 500 2025 reports do not list Lexus among the top standalone brands—each sets a minimum brand‐value threshold (around $19 billion) for inclusion. This absence suggests Lexus’s brand equity, while substantial, falls just below those thresholds
The following table outlines Lexus’s global sales, estimated revenue, and brand value over the past decade:
| Year | Global Sales (Units) | Estimated Revenue (USD Billion) | Brand Value (USD Billion) |
|---|---|---|---|
| 2015 | 652,000 | ~$40.0 | $4.0 |
| 2016 | 677,000 | ~$41.5 | $4.2 |
| 2017 | 698,000 | ~$43.0 | $4.5 |
| 2018 | 698,000 | ~$43.5 | $4.7 |
| 2019 | 698,000 | ~$44.0 | $5.0 |
| 2020 | 718,000 | ~$42.0 | $4.8 |
| 2021 | 760,000 | ~$44.5 | $5.2 |
| 2022 | 760,000 | ~$46.0 | $5.5 |
| 2023 | 824,258 | ~$50.0 | $6.0 |
| 2024 | 851,214 | ~$52.0 | $6.5 |
Brands Owned by Lexus
While Lexus is primarily known for its luxury vehicles, it also encompasses a variety of brands and initiatives that support its premium image, contribute to its technological advancement, and enhance its performance and sustainability.
Here’s a breakdown of the key brands and sub-brands associated with Lexus:
| Brand/Sub-brand | Description | Key Models/Initiatives |
|---|---|---|
| Lexus F Performance | A performance sub-brand focused on high-performance luxury vehicles with enhanced driving capabilities. | Lexus IS F, Lexus RC F, Lexus LS F (expected) |
| Lexus F SPORT | A sportier trim package available on many Lexus models, offering performance enhancements like sportier suspensions, aggressive styling, and performance tires. | Lexus RX F SPORT, Lexus ES F SPORT, Lexus NX F SPORT, Lexus LS F SPORT |
| Lexus Hybrid | A line of hybrid vehicles combining Lexus luxury with Toyota’s hybrid technology to provide fuel efficiency and environmental sustainability. | Lexus RX 450h, Lexus ES 300h, Lexus NX 350h |
| Lexus Electrified | A sub-brand focusing on electric vehicles (EVs) and sustainable, zero-emission options. | Lexus UX 300e, Lexus LF-Z Electrified Concept |
| Lexus Design | A global initiative dedicated to luxurious and innovative design, using Japanese craftsmanship and human-centered design principles. | Spindle Grille, LFA sports car interior, minimalist approach to luxury interiors |
| Lexus International | The global arm of Lexus that oversees product planning, global marketing, and branding strategies to maintain a unified approach across all markets. | Product strategy, global operations management, Lexus brand direction |
Lexus F Performance
Lexus F is the performance sub-brand of Lexus, introduced in 2007. The F badge signifies Lexus’s focus on high-performance vehicles, offering a more aggressive design and enhanced driving capabilities compared to standard Lexus models. The F models are designed for those who seek a balance between luxury and sporty performance.
Notable F models include:
- Lexus IS F: A high-performance version of the IS sedan.
- Lexus RC F: A performance-oriented version of the RC coupe.
- Lexus LS F (expected): A rumored performance version of Lexus’s flagship sedan, the LS.
These vehicles feature upgraded engines, sportier suspensions, and unique design elements to cater to driving enthusiasts looking for a luxury sports car.
Lexus F SPORT
The F SPORT sub-brand is an option package available on many of Lexus’s mainstream models. Unlike the F performance models, F SPORT versions do not represent a full-on performance upgrade, but instead, they offer enhancements such as sportier suspensions, performance tires, sportier interior trims, and more aggressive styling.
Lexus F SPORT models include:
- Lexus RX F SPORT
- Lexus ES F SPORT
- Lexus NX F SPORT
- Lexus LS F SPORT
F SPORT models allow customers to enjoy a more dynamic driving experience without stepping into the extreme performance territory of the F models.
Lexus Hybrid
As part of Toyota’s broader push for sustainability, Lexus has heavily invested in hybrid technology, producing a range of hybrid models under the Lexus Hybrid line. These models combine the luxury and performance expected of Lexus with Toyota’s renowned hybrid technology, designed to reduce fuel consumption and environmental impact.
Notable Lexus Hybrid vehicles include:
- Lexus RX 450h: A luxury hybrid SUV offering a balance of power and efficiency.
- Lexus ES 300h: A hybrid version of the ES sedan, offering advanced fuel economy and a smooth ride.
- Lexus NX 350h: A hybrid SUV providing advanced features and high fuel efficiency.
The Lexus Hybrid lineup represents the brand’s commitment to reducing its carbon footprint while still providing exceptional driving performance.
Lexus Electrified
Lexus Electrified is the brand’s initiative to expand its electric vehicle (EV) offerings, aiming to create a more sustainable future for luxury driving. This sub-brand is focused on integrating electric powertrains, hybrid technologies, and zero-emission options into Lexus’s lineup.
The Lexus Electrified initiative includes models such as:
- Lexus UX 300e: Lexus’s first fully electric vehicle, available in select markets.
- Lexus LF-Z Electrified Concept: A future-oriented electric vehicle concept that showcases Lexus’s vision for a sustainable, fully-electric lineup.
This sub-brand highlights Lexus’s strategy to make a significant push into the electric vehicle market, providing cutting-edge technology and luxurious features.
Lexus Design
Lexus Design is a global initiative that represents Lexus’s commitment to outstanding design in every vehicle. It focuses on both exterior and interior styling, using elements inspired by Japanese craftsmanship (known as “Takumi craftsmanship”) and the philosophy of “Lexus’s Human-Centered Design”.
Lexus Design features have a reputation for blending bold, elegant aesthetics with advanced technology. Notable innovations include:
- Spindle Grille: The iconic front grille that represents Lexus’s bold design language.
- LFA Sports Car Interior: The highly detailed and performance-oriented interior design of the Lexus LFA supercar, which influenced subsequent Lexus interiors.
- Minimalist Approach: Lexus interiors use high-quality materials and emphasize a serene, calming atmosphere, combining luxury with intuitive usability.
Lexus International
While Lexus International is not a separate brand in the conventional sense, it functions as the global arm of Lexus, managing product planning, global marketing, and branding for the brand. Based in Japan, Lexus International ensures a unified approach to product strategy and maintains the Lexus brand’s reputation worldwide.
Lexus International oversees global operations, from designing new models and ensuring quality control to spearheading marketing campaigns and guiding the luxury division’s brand direction.
Conclusion
So, who owns Lexus? The answer is simple. Lexus is a luxury division of Toyota Motor Corporation. It was established to enter the premium car market. While it operates with some independence, it is fully controlled and owned by Toyota. Lexus continues to be a strong player in the luxury vehicle segment, backed by Toyota’s legacy and innovation.
FAQs
Who founded Lexus?
Lexus was founded by Toyota in 1989. It was developed internally by Toyota’s engineers and executives.
Is Lexus an American company?
No. Lexus is a Japanese brand. It was created by Toyota, a Japanese multinational automotive company.
Can you buy Lexus stock?
No, Lexus is not publicly traded. However, you can invest in its parent company, Toyota, which is listed on stock exchanges in Japan and the U.S.
Does Lexus operate independently?
Lexus has its own management and design teams. But it is still under the full ownership and control of Toyota.
What makes Lexus different from Toyota?
Lexus focuses on luxury, premium materials, and advanced technology. Toyota focuses more on affordability, efficiency, and mass appeal.
Is a Lexus basically a Toyota?
Lexus is a luxury division of Toyota, but it is not just a Toyota with a different badge. Lexus vehicles are designed with a focus on luxury, performance, and advanced features, distinguishing them from Toyota’s mainstream models. While Lexus shares technology and platforms with Toyota, it offers a higher level of craftsmanship, refinement, and performance.
Does Toyota own 100% of Lexus?
Yes, Toyota owns 100% of Lexus. Lexus is a division under the umbrella of Toyota Motor Corporation, which controls its operations, branding, and vehicle development.
Do Lexus use Toyota engines?
Yes, many Lexus models use engines developed by Toyota. Lexus often uses Toyota’s engines, especially in hybrid and some conventional models. However, Lexus may also fine-tune or modify these engines to provide more performance-oriented characteristics, especially in high-performance models like the Lexus F series.
What is the difference between Lexus and Toyota engines?
Lexus engines are typically designed for higher performance, refinement, and efficiency compared to Toyota’s standard engines. For example, Lexus engines are often quieter, more responsive, and provide a smoother driving experience. Additionally, Lexus vehicles often incorporate more advanced features and higher-grade materials to enhance performance and durability.
Who manufactures Lexus?
Lexus vehicles are manufactured by Toyota Motor Corporation. They are produced in several plants globally, including Japan, where the majority of Lexus models are assembled.
Who owns Lexus in the USA?
Lexus in the USA is owned and operated by Toyota Motor Sales, USA, Inc., which is a subsidiary of Toyota Motor Corporation. Lexus dealerships across the country are independently owned but are part of the broader Lexus network under Toyota’s oversight.
Who makes Lexus brand cars?
Toyota Motor Corporation makes Lexus brand cars. Lexus is the luxury division of Toyota, and while Toyota oversees the design and engineering, Lexus focuses on luxury, performance, and advanced technology for its vehicles.
Who owns Lexus of Wayzata?
Lexus of Wayzata, a Lexus dealership in Minnesota, is owned by The Boyd Group, which operates a network of automotive dealerships across the U.S. The dealership is part of their portfolio, offering Lexus vehicles and services in the Wayzata area.