Komatsu reported a strong start to its 2026 fiscal year, with construction, mining and utility equipment net sales and operating income up in North America and globally.
Global construction, mining and utility equipment net sales rose 14.4% in the first quarter to $5.9 billion, while global operating income rose 6.4% to $790 million. The Japanese manufacturer attributed the higher net sales and operating income to a weaker yen, which overrode the negative effects of rising costs and sales trending toward lower-margin machines.
For North America, net sales of construction, mining and utility equipment were up 29.5% in the fiscal quarter to $1.8 billion. Construction equipment net sales were the highlight this quarter, rising 34.8% to $1.2 billion.
In the second quarter, Komatsu sold 1,092 new financed machines in the U.S., according to Fusable’s EDA equipment finance data. Popular models included the WA320-8 wheel loader, the PC88MR-11 mini excavator and the WA270-8 wheel loader (EDA is owned by Fusable, parent company of Equipment World.)
Net sales for the first quarter, among all Komatsu’s business segments, was up 14.7% to $6.4 billion, while operating income in the quarter rose 8% to $930 million.
Powered byFor its full 2026 fiscal year, Komatsu now forecasts a net negative impact of $160 million from tariffs, down from its previous $240 million forecast. The company forecasts a $180 million refund from the U.S. government related to Trump's IEEPA tariffs being struck down by the U.S. Supreme Court.
Instability in the Middle East is now forecast to cost Komatsu $280 million in sales, though that is down from the previous forecast of $570 million. Komatsu did report it was using alternative transportation routes following the repeated closure of the Strait of Hormuz, but that transportation capacity had not returned to normal levels.
Net sales for the full fiscal year are now forecast to increase 4.1% to $26.3 billion, while operating income is expected to drop 2.2% to $3.1 billion. The company also forecasts a 3.4% rise in construction equipment sales in North America to $6.6 billion.
Currency conversions as of July 29.
