Komatsu Ltd. last week disclosed its full-year 2011 consolidated business results for the fiscal year ended March 31, 2012. Net sales increased 7.5 percent to JPY 1,981.7 billion (about U.S. $24.4 billion) from JPY 1,843.1 billion (U.S. $22.7 billion) for full-year 2010. Operating income jumped 15 percent to JPY 256.3 billion (U.S. $3.13 billion) from JPY 222.9 billion (U.S. $2.75 billion) in the same period a year ago.
In the construction, mining and utility equipment business, the adverse effects of plunged demand in China and the Japanese yen’s appreciation were compensated for by expanded sales of construction equipment in other regions and of mining equipment and parts, as well as improved selling prices and reduced costs. As a result, the company increased both sales and profits.
For the fiscal year ending March 31, 2013, Komatsu projects a consolidated net sales increase of 6 percent and an operating income increase of nearly 23 percent, which would allow the company to achieve an operating income ratio of 15 percent, the target figure of the ongoing mid-range management plan. The company expects sales and profits to continue improving in the construction, mining and utility equipment business in Japan and North America.