Mitsubishi Motors (7211) Q1 2027 earnings summary

Executive summary

• Achieved year-over-year increases in net sales and operating profit in Q1 FY2026, progressing in line with plan despite challenging market conditions and geopolitical impacts, including the Middle East situation.

• Net sales rose by 2% year-over-year to ¥619.9 billion, with operating profit up 80% to ¥10.1 billion.

• Net income attributable to owners was ¥1.4 billion, up 100% year-over-year, supported by profit improvement initiatives.

• Shipments to the Middle East resumed in June after securing alternative transportation routes.

• Global vehicle sales declined 8% year-over-year to 179,000 units due to weaker demand and competition.

Financial highlights

• Net sales: ¥619.9 billion (up 2% year-over-year); operating profit: ¥10.1 billion (up 80%); ordinary profit: ¥9.7 billion; net income: ¥1.4 billion.

• Retail sales volume: 179,000 units, down 8% year-over-year.

• Operating profit margin improved to 1.6% (up 0.7pp year-over-year).

• Forex gains from a weaker yen contributed ¥11.3 billion positively.

• Basic earnings per share: ¥1.05 (up from ¥0.55 year-over-year).

Outlook and guidance

• Full-year FY2026 forecast maintained: net sales ¥3,260.0 billion (+13%), operating profit ¥90.0 billion (+19%), net income ¥25.0 billion (+150%), EPS ¥18.68.

• Retail sales volume forecast: 857,000 units (+8%).

• Dividend per share forecast: ¥10.00.

• Plans to expand destination markets and launch new models, including the all-new Pajero in H2 FY2026.

• Focus on increasing sales mix of higher-margin ASEAN strategic models and improving profit per unit.