JAPANESE

Consolidated Business Results for the Fiscal Year Ended March 31, 2014 (U.S. GAAP)

Komatsu Ltd. today disclosed its consolidated business results (U.S. GAAP) for the fiscal year ended March 31, 2014 (FY2013) and announced a projection for the current fiscal year ending March 31, 2015 (FY2014). See below for a summary.


1. Results for the Fiscal Year Ended March 31, 2014 (FY2013)

For the fiscal year ended March 31, 2014, consolidated net sales increased by 3.6% from the previous fiscal year, to JPY1,953.6 billion, and operating income improved by 13.7% to JPY240.4 billion, which translated into an operating income ratio of 12.3%, up 1.1 percentage points.
In the construction, mining and utility equipment business, while demand for mining equipment remained slack, that for construction equipment increased in Japan, China and some other regions. In addition, reflecting the Japanese yen's depreciation, sales and segment profit increased from the previous fiscal year.
With respect to the industrial machinery and others business, while sales of sheet-metal and press machines were firm mainly in the automobile manufacturing industry, those of wire saws further declined. As the loss of the inventories of wire saws was realized, sales and segment profit decreased from the previous fiscal year.


2. Projections for the Fiscal Year Ending March 31, 2015 (FY2014)

In the construction, mining and utility equipment business, while demand for construction equipment is steady in North America and some other regions of the world, Komatsu expects to meet a market environment which is more challenging than FY2013. Such market environment is attributable to demand in rental companies having run its course in Japan as well as a decline in demand for mining equipment resulting from the conservative mindset of mining customers for capital investment against the backdrop of sluggish commodity prices. In the industrial machinery and others business, while demand for wire saws should remain depressed, Komatsu anticipates steady sales of press and sheet-metal machines as well as machine tools, especially to the automobile manufacturing industry. Komatsu will step up its group-wide efforts to reinforce business models designed to offer comprehensive merits to customers, and strive to expand sales in the entire value chain which includes not only sales of new equipment but also parts and service, rental-to-used equipment, and retail finance businesses. At the same time, Komatsu will also make continuous efforts to improve selling prices, production costs and the like. As a result, Komatsu projects consolidated business results for the fiscal year ending March 31, 2015 as follows.




3. Cash Dividends

Komatsu Ltd. is planning to set the fiscal year-end cash dividend at JPY29 per share. As a result, annual cash dividends for the year under review, including the interim cash dividend of JPY29 per share, amount to JPY58 per share. (Komatsu Ltd. is planning to propose the fiscal year-end dividend amount to the 145th ordinary general meeting of shareholders scheduled for June 18, 2014.)
Regarding annual cash dividends for the fiscal year ending March 31, 2015, Komatsu Ltd. plans to set the annual cash dividends per share at JPY58, the same amount for the fiscal year ended March 31, 2014.




Information in the news releases is current on the date of the announcement and is subject to change without notice.

2014/04/25

KOMATSU Corporate Communications
TEL: 03(5561)2616