Komatsu said sales in the quarter ending December 31, 2019, were down 12.4 percent compared to Q3 2018, to about $6.4 billion (700.568 billion yen). Fiscal year to date, sales were down 9.5 percent, the company said.
It projected total FY sales to be down 9.3 percent, to about $22.7 billion (2.472 trillion yen). The company said demand for construction, mining, and utility equipment has been steady in its “traditional markets,” such as Japan and the United States, but said demand declined in “strategic markets,” such as Asia.
Sales for the first three quarters of the fiscal year were down 10.2 percent for the construction, mining, and utility equipment segment. Profit declined by 32.9 percent.
Sales to North America were down 2.8 percent for the period, with sales to China down 20.7 percent and to Asia (excluding Japan and China) down 40 percent. The company said although North American demand on the rental side remained steady, it was offset by “inventory adjustment of its distributors.”
Source: Komatsu
