Komatsu (6301) Q2 2027 earnings summary

Executive summary

• H1 FY2027 net sales rose 14.1% YoY to ¥2,158.6B; operating income increased 3.5% to ¥286.6B and attributable net income rose 9.2% to ¥191.9B.

• Growth reflected higher equipment volumes and selling prices, yen depreciation, and stronger semiconductor-related sales; operating margin declined 1.3 percentage points to 13.3%.

Financial highlights

• H1 net sales were ¥2,158.6B versus ¥1,891.6B YoY; income before taxes and affiliated-company earnings rose 4.9% to ¥271.0B.

• H1 attributable net income increased 9.2% to ¥191.9B; basic and diluted EPS were ¥215.06, up ¥23.26 YoY.

• Q2 net sales increased 13.6% YoY to ¥1,115.5B, while operating income fell 1.2% to ¥135.1B; attributable net income rose 13.3% to ¥95.8B.

Outlook and guidance

• FY2027 guidance was raised: net sales ¥4,450B, operating income ¥585B, pretax income ¥548B, attributable net income ¥382B and basic EPS ¥429.63.

• Versus prior guidance, sales rose 3.4%, operating income 5.4%, pretax income 7.9% and net income 9.5%; demand is expected to stay above initial expectations for the full year.

• Full-year exchange assumptions changed to USD/JPY 154.5, EUR/JPY 179.1 and AUD/JPY 109.2; H2 assumptions remained unchanged at 150.0, 174.0 and 106.0, respectively.