Fiscal 2026 2Q (Jul–Sep) Earnings Presentation

Overview of Results

In 2Q FY2026, revenue was 1,115.5 billion yen, an increase of 13.6% year-over-year. Operating income was 135.1 billion yen, a decrease of -1.2% year-over-year, and operating margin declined 1.8 percentage points to 12.1%. Net income was 95.8 billion yen, up 13.3% year-over-year. By segment, Construction, Mining & Utility Equipment posted higher revenue but profit declined due to rising costs; Retail Finance recorded higher revenue and profit supported by yen depreciation effects; Industrial Machinery & Others offset declines to automotive with increased semiconductor demand, resulting in higher profit. First-half total revenue was 2,158.6 billion yen, operating income was 286.6 billion yen, and net income was 191.9 billion yen.

Outlook and Segment Trends

The full-year FY2026 outlook has been revised upward: revenue to 4,450.0 billion yen (raised from the July release), operating income to 585.0 billion yen (upward revision of 30.0 billion yen), and net income to 382.0 billion yen (upward revision of 33.0 billion yen). By segment, Construction, Mining & Utility Equipment remains the core driver with higher revenue and profit; Retail Finance is steady with asset expansion; Industrial Machinery & Others are expected to offset declines to automotive with increased semiconductor demand, resulting in higher profit. The outlook is based on stated foreign exchange assumptions and sensitivity.