Komatsu (6301) Q3 2025 earnings summary

Executive summary

• Q3 FY24 net sales rose 1.8% year-on-year to JPY 989.2 billion, with operating income up 4% to JPY 162.6 billion and net income up 9.7% to JPY 108.3 billion, all marking record highs for a third quarter.

• Cumulative nine-month net sales increased 5.8% year-on-year to JPY 2,957.3 billion, operating income up 2.8% to JPY 466.1 billion, and net income up 1.9% to JPY 310.1 billion, all at record levels.

• Segment performance was mixed, with Retail Finance and Industrial Machinery showing strong growth, while Construction, Mining & Utility Equipment saw flat or modest sales increases but lower segment profit due to higher costs.

• Comprehensive income for the nine months fell 17.4% year-on-year to JPY 381.7 billion, mainly due to lower foreign currency translation gains.

Financial highlights

• Q3 operating income margin improved by 0.3 points to 16.4%; nine-month margin declined by 0.4 points to 15.8%.

• Net income per share (basic) was JPY 333.25, up from JPY 321.71 year-on-year.

• Total assets increased by JPY 282.6 billion to JPY 5,919.2 billion, mainly due to working capital and yen depreciation.

• Shareholders' equity ratio at 52.8%, down 1.0 point from March 2024.

• Cash and cash equivalents at period-end were JPY 406.7 billion, up JPY 3.5 billion from March 2024.

Outlook and guidance

• FY24 full-year guidance remains unchanged: net sales JPY 3,988.0 billion (+3.2%), operating income JPY 573.0 billion (-5.6%), net income JPY 376.0 billion (-4.4%).

• Global equipment demand forecast to decrease 5–10% year-on-year, with Japan (0% to -5%), North America (-5% to -10%), Europe (-10% to -15%), China (+10% to +20%), and Southeast Asia (0% to +5%).

• Mining equipment sales forecast for FY24 unchanged at JPY 1,845.7 billion, up 7% year-on-year.

• Projected annual dividend unchanged at JPY 167 per share.