Komori
Earnings Presentation6294OKADA AIYON CORPORATIONMachinery

Supplementary Materials for the Financial Results for the Second Quarter of the Fiscal Year Ending March 2027

For the cumulative second quarter of the fiscal year ending March 2027, revenue increased on growth in overseas sales, while operating profit and below declined due to lower domestic revenue and higher selling, general and administrative expenses. In July–September alone, sales, operating profit, and profitability improved on a recovery in Japan and growth overseas, and the full-year forecast was left unchanged.

Worth reading
76Important
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
439
¥ million (year-on-year change in net sales)
Wording
Conditional
How definitive the wording is.

Contents of this document

Supplementary materials to the earnings summarySecond quarter of FY2027/314 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥13,330 million+3.4%
Operating profit¥1,218 million-2.6%
Ordinary income¥1,104 million-11.8%
Net income¥731 million-13.9%
Gross Profit Margin32.6 %
Operating profit margin12 %
Selling, general and administrative expenses¥3,008 million
Results for the three months of the current quarter
Net Sales
73.5 Hundred million yen+9.3%
Operating profit
8.8 Hundred million yen+19.8%
Operating profit margin
12 %
yoy_change_pt1
Gross Profit Margin
32.6 %
yoy_change_pt1.7
Full-year earnings forecast
Net Sales
¥28,500 million
Operating profit
¥2,500 million
Ordinary income
¥2,500 million
Net income
¥1,700 million
Capital expenditures
¥1,000 million
Annual Dividend
¥76
Progress against full-year forecast　通期の予想に対して、いまどこまで進んだかの割合です。
Net Sales46.8
Operating profit48.7
Ordinary income44.2
Net income43
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
The full-year forecast is unchanged. The company will work to achieve its plan.
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • Change in domestic sales¥-94 million
  • Crushers¥-275 million
  • Hydraulic breakers¥-17 million
  • Grapples¥46 million
  • Environmental attachments¥-18 million
  • Other attachments¥1 million
  • Forestry, large environmental machinery, and other businesses¥-81 million
  • Aftermarket business (replacement parts and repairs)¥249 million
  • Change in overseas sales¥534 million
  • North America¥476 million
  • Outside North America¥58 million
  • Domestic gross profit¥-84 million
  • Domestic SG&A expenses¥-86 million
  • Overseas gross profit¥339 million
  • Overseas selling, general and administrative expenses¥-200 million
  • Adjustments¥-1 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
  • Average USD exchange rate used¥150
  • Average EUR exchange rate used¥170
New initiatives
  • Successive revisions to selling prices
  • Strengthening collaboration with designated service centers and considering repair and maintenance packages
  • Established 4 growth strategies in North America and began visualizing performance by strategy and region on a monthly basis
  • Changed some models to build-to-order production and reset appropriate inventory levels
  • Established M&A evaluation criteria and began operating under them
  • Investment in land adjacent to the Hiroshima Sales Office, the core system, pulverizer demonstration machines, and facilities at operating sites
Key KPIsA metric the company considers important as a management benchmark.
  • Domestic share of core products (large crushers)50% range
  • Domestic share of core products (small crushers)In the 40% range
  • Domestic share of core products (steel cutters)In the 60% range
  • Overseas sales ratio27.1 %
  • Number of units in order backlogApproximately 40% increase from the end of the previous fiscal year
  • Domestic replacement-parts sales¥1,086 million
    Year on year against the same period last year+15.2%
  • Domestic repair sales¥679 million
    Year on year against the same period last year+18.5%
Segment results
  • Japan
    Net Sales¥9,718 million
    Operating profit¥893 million
  • Overseas
    Net Sales¥3,612 million
    Operating profit¥331 million
Medium-term management plan targets
Plan nameOnyx
Target fiscal yearFiscal years ending March 2027 to March 2029
Target
Fiscal year ending March 2027
Net Sales28,500
Operating profit2,500
Operating profit margin8.8
ROE9.1
Fiscal year ending March 2028
Net Sales31,000
Operating profit2,900
Operating profit margin9.3
ROE9.9
Fiscal year ending March 2029
Net Sales34,000
Operating profit3,400
Operating profit margin10
ROE10.8
Comparison with actual resultsReported fiscal 2026 results of ¥26,991 million in net sales, ¥2,261 million in operating profit, an operating margin of 8.4%, and ROE of 8.5%.
Financial targets
ROE
Actual results for the fiscal year ending March 20268.5 %
Plan, fiscal year ending March 20279.1 %
Plan for the fiscal year ending March 20289.9 %
Plan for the fiscal year ending March 202910.8 %
Operating profit margin
Actual results for the fiscal year ending March 20268.4 %
Plan, fiscal year ending March 20278.8 %
Plan for the fiscal year ending March 20289.3 %
Plan for the fiscal year ending March 202910 %
Market Size / Share
Domestic market share of core products
Large-size crusher50% range
Small-size crusherIn the 40% range
Structural steel cutterIn the 60% range
RankingNo. 1 domestic market share for its core products
Orders received and order backlog
Order backlogApproximately 40% increase from the end of the previous fiscal year
Capital expenditures
¥1,000 million
Annual Dividend
Annual¥76
InterimScheduled to begin this fiscal year (amount: Not disclosed)
Payout ratio
30 %
DetailsTarget of 30% or higher
Acquisition of treasury shares
Maximum number of shares200,000 shares
DetailsScheduled to be implemented within the acquisition limit resolved in August
Contents of this document
ItemDetails
Document typeSupplementary materials to the earnings summary
Fiscal Period CoveredSecond quarter of FY2027/3
Net Sales¥13,330 million (YoY +3.4%)
Operating profit¥1,218 million (YoY -2.6%)
Ordinary income¥1,104 million (YoY -11.8%)
Net income¥731 million (YoY -13.9%)
Gross Profit Margin32.6 %
Operating profit margin12 %
Selling, general and administrative expenses¥3,008 million
Results for the three months of the current quarterNet Sales 73.5 Hundred million yen (YoY +9.3%) / Operating profit 8.8 Hundred million yen (YoY +19.8%) / Operating profit margin 12 % / Gross Profit Margin 32.6 %
Full-year earnings forecastNet Sales ¥28,500 million / Operating profit ¥2,500 million / Ordinary income ¥2,500 million / Net income ¥1,700 million / Capital expenditures ¥1,000 million / Annual Dividend ¥76
Progress against full-year forecastNet Sales 46.8 / Operating profit 48.7 / Ordinary income 44.2 / Net income 43
Self-assessment against the planThe full-year forecast is unchanged. The company will work to achieve its plan.
Segment resultsSegment Japan / Net Sales ¥9,718 million / yoy_pct -1 / Operating profit ¥893 million, Segment Overseas / Net Sales ¥3,612 million / yoy_pct 17.4 / Operating profit ¥331 million
Breakdown of Factors Affecting the ChangeChange in domestic sales ¥-94 million, Crushers ¥-275 million, Hydraulic breakers ¥-17 million, Grapples ¥46 million, Environmental attachments ¥-18 million, Other attachments ¥1 million, Forestry, large environmental machinery, and other businesses ¥-81 million, Aftermarket business (replacement parts and repairs) ¥249 million, Change in overseas sales ¥534 million, North America ¥476 million, Outside North America ¥58 million, Domestic gross profit ¥-84 million, Domestic SG&A expenses ¥-86 million, Overseas gross profit ¥339 million, Overseas selling, general and administrative expenses ¥-200 million, Adjustments ¥-1 million
Key KPIsIndicator name Domestic share of core products (large crushers) / Value 50% range / Year on year against the same period last year Not disclosed, Indicator name Domestic share of core products (small crushers) / Value In the 40% range / Year on year against the same period last year Not disclosed, Indicator name Domestic share of core products (steel cutters) / Value In the 60% range / Year on year against the same period last year Not disclosed, Indicator name Overseas sales ratio / Value 27.1 % / Year on year against the same period last year Not disclosed, Indicator name Number of units in order backlog / Value Approximately 40% increase from the end of the previous fiscal year / Year on year against the same period last year Not disclosed, Domestic replacement-parts sales ¥1,086 million, Domestic repair sales ¥679 million
Assumptions Underlying the Business OutlookItem Average USD exchange rate used / Value ¥150, Item Average EUR exchange rate used / Value ¥170
Medium-term management plan targetsPlan name Onyx / Target fiscal year Fiscal years ending March 2027 to March 2029 / Target Fiscal year ending March 2027 Net Sales 28,500 / Operating profit 2,500 / Operating profit margin 8.8 / ROE 9.1 / Fiscal year ending March 2028 Net Sales 31,000 / Operating profit 2,900 / Operating profit margin 9.3 / ROE 9.9 / Fiscal year ending March 2029 Net Sales 34,000 / Operating profit 3,400 / Operating profit margin 10 / ROE 10.8 / Comparison with actual results Reported fiscal 2026 results of ¥26,991 million in net sales, ¥2,261 million in operating profit, an operating margin of 8.4%, and ROE of 8.5%.
Financial targetsROE Actual results for the fiscal year ending March 2026 8.5 % / Plan, fiscal year ending March 2027 9.1 % / Plan for the fiscal year ending March 2028 9.9 % / Plan for the fiscal year ending March 2029 10.8 % / Operating profit margin Actual results for the fiscal year ending March 2026 8.4 % / Plan, fiscal year ending March 2027 8.8 % / Plan for the fiscal year ending March 2028 9.3 % / Plan for the fiscal year ending March 2029 10 %
Annual DividendAnnual ¥76 / Interim Scheduled to begin this fiscal year (amount: Not disclosed) / End of period Not disclosed
Payout ratio30 %
Acquisition of treasury sharesMaximum number of shares 200,000 shares / Period Not disclosed / Details Scheduled to be implemented within the acquisition limit resolved in August
Capital expenditures¥1,000 million
Orders received and order backlogOrder backlog Approximately 40% increase from the end of the previous fiscal year / Orders received Not disclosed
Market Size / ShareDomestic market share of core products Large-size crusher 50% range / Small-size crusher In the 40% range / Structural steel cutter In the 60% range / Ranking No. 1 domestic market share for its core products
New initiativesSuccessive revisions to selling prices, Strengthening collaboration with designated service centers and considering repair and maintenance packages, Established 4 growth strategies in North America and began visualizing performance by strategy and region on a monthly basis, Changed some models to build-to-order production and reset appropriate inventory levels, Established M&A evaluation criteria and began operating under them, Investment in land adjacent to the Hiroshima Sales Office, the core system, pulverizer demonstration machines, and facilities at operating sites
Items this document does not state (5)
Unit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookKey points of the Q&A

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

In Japan, lower revenue from pulverizers could not be offset by growth in the aftermarket business and grapple machines, resulting in lower profit due to a decline in gross profit accompanying the revenue decrease and higher selling, general and administrative expenses, including personnel expenses, depreciation, and real estate acquisition tax. Overseas, revenue and profit increased, led by North America, with growth also in Europe and Asia.

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Supplementary Materials for the Financial Results for the Second Quarter of the Fiscal Year Ending March 2027 | OKADA AIYON CORPORATION (6294) timely disclosure | Komori