Fiscal Year Ending March 2026, 3rd Quarter Financial Summary (US GAAP) (Consolidated)

Overview of Financial Results

For the consolidated cumulative period of the 3rd quarter of the fiscal year ending March 2026, net sales amounted to JPY 2,915,548 million (1.4% decrease YoY). The Construction Equipment and Vehicles segment experienced a decline in net sales due to the impact of a stronger yen and reduced sales volume despite efforts to improve sales prices. Conversely, the Industrial Machinery and Others segment saw an increase driven by higher sales of large presses for the automotive industry and growth in semiconductor-related maintenance sales. Operating income was JPY 419,015 million (10.1% decrease YoY), primarily due to increased costs, reduced sales volume in the Construction Equipment and Vehicles segment, and the impact of a stronger yen. Income before income taxes for the quarter was JPY 394,930 million (7.8% decrease YoY), and net income attributable to owners of parent for the quarter was JPY 269,809 million (13.0% decrease YoY).

Segment and Regional Performance

In the Construction Equipment and Vehicles segment, net sales totaled JPY 2,688 billion (2.2% decrease YoY), and segment income was JPY 362.6 billion (14.7% decrease YoY). The ICT penetration rate in construction machinery reached 29.5%, with 982 units of unmanned dump truck operation systems introduced. Efforts are underway to expand sales by converting the Southeast Asian sales agency business into a joint venture. Regionally, North America saw a 4.2% decrease due to a stronger yen and decreased sales of mining equipment; Latin America grew 9.0% driven by steady copper demand; Europe, Africa, and the Middle East increased 12.9% supported by infrastructure investments. Oceania, Asia, and CIS regions decreased 14.6%, while Japan declined 6.7%. The Retail Finance segment reported net sales of JPY 93.1 billion (1.1% increase YoY) and segment income of JPY 26.0 billion (19.1% increase YoY). The Industrial Machinery and Others segment recorded net sales of JPY 162.7 billion (10.9% increase YoY) and segment income of JPY 27.3 billion (81.1% increase YoY).