02 05-14 komatsu results-q3-1

1 Business Results for Three and Nine Months ended December 31, 2013

Earnings Presentation for Three and Nine Months ended December 31, 2013

January 29, 2014

Komatsu Ltd. Participants

Tetsuji Ohashi President and CEO Mikio Fujitsuka Director and Senior Executive Officer, CFO Akira Sugiki Senior Executive Officer General Manager, Business Coordination Department

(Speaker)


1. Results for Three Months ended December 31, 2013


Oct.-Dec., 2012 (3Q FY12)

USD1 = JPY80.1 EUR1 = JPY103.5 RMB1 = JPY12.8

Oct.-Dec., 2013 (3Q FY13)


Changes

Increase (decrease) Change (%)

Net sales 419.7 464.3 44.6 +10.6% - Construction, mining & utility equipment - Industrial machinery & others

[367.9] 368.4 [51.7] 53.4

[420.0] 420.7 [44.3] 45.3

[52.0] 52.2 [(7.4)] (8.1)

[+14.2%] +14.2% [-14.4%] -15.2%

- Elimination (2.1) (1.6) 0.5 - Segment profit 39.7 54.6 14.8 +37.3% - Construction, mining & utility equipment - Industrial machinery & others

38.8 0.5

58.3 (3.6)

19.5 (4.2)

+50.3% -

- Corporate & elimination 0.4 (0.0) (0.4) - Other operating income (expenses) (0.5) 2.0 2.6 -

Operating income 39.2 56.6 17.4 +44.5% Other income (expenses) 0.9 0.9 0.0 - Income before income taxes 40.2 57.6 17.4 +43.4% Net income *2 24.9 36.5 11.5 +46.2%

10.5% 1.0%

9.5%

% : Profit ratio

9.3%

Sales and Profits for Three months (October-December, 2013)

*1 Including the loss of write-off of Komatsu NTC’s wire saw inventories in the amount of JPY 7.6 billion. *2 Upon adoption of ASC 810, “Net income” is equivalent to “Net income attributable to Komatsu Ltd.”

- Third quarter sales advanced by 10.6% from the corresponding period a year ago, to JPY464.3 billion, supported especially by increased sales in Japan where demand remained strong for construction equipment, and in China where demand upturned for recovery, which compensated for the effects of sluggish demand for mining equipment. - Third quarter operating income expanded by 44.5% from the corresponding period a year ago, to JPY56.6 billion, and net income by 46.2% to JPY36.5 billion.

*1 13.9% (8.1)%

11.8%

12.2%

[ ]: Sales after elimination of inter-segment transactions Billions of yen


Construction, Mining & Utility Equipment:Breakdown of Sales (to Outside Customers) for Three Months(Oct.-Dec.,2013)

Breakdown of sales by region

Oct.-Dec., 2012 (3Q FY12)

Oct.-Dec., 2013 (3Q FY13)

Changes Increase (decrease) Change (%)

Traditional Markets

Japan 76.0 95.6 19.5 +25.7% North America 56.0 65.2 9.1 +16.3% Europe 22.8 28.0 5.2 +22.9%

Strategic Markets

Latin America 62.9 62.6 (0.3) -0.5% CIS 24.4 16.1 (8.3) -34.0% China 20.4 39.5 19.1 +93.3% Asia 34.7 43.3 8.6 +24.8% Oceania 43.5 32.1 (11.4) -26.3% Middle East 4.4 9.0 4.6 +104.2% Africa 22.2 28.1 5.9 +26.5% Total 367.9 420.0 52.0 +14.2%

Mining equipment in total above 139.1 107.2 (31.9) -22.9%

While demand for mining equipment remained sluggish, good sales further expanded in Japan, and sales also increased in China where demand was recovering and in the Middle East and Africa where demand was growing. Third quarter sales of construction, mining and utility equipment increased by 14.2% from the corresponding period a year ago, to JPY420.0 billion.

Japan 21%

North America

15% Europe

6% Latin

America 17%

CIS 7%

China 6%

Asia 9%

Oceania 12%

Middle East 1% Africa

6%

Oct.-Dec., 2012

Traditional Markets

42% Strategic Markets

58%

Japan

23%

North

America

15% Europe

7% Latin

America

15%

CIS

4%

China

9%

Asia

10%

Oceania

8%

Middle

East

2% Africa

7%

Traditional Markets

45%

Strategic Markets

55% Oct.-Dec.,

2013

Billions of yen


2. Results for the Nine Months ended December 31, 2013


Apr.-Dec., 2012


Apr.-Dec., 2013


Changes

Increase (decrease) Change (%)

Net sales 1,350.5 1,389.5 38.9 +2.9%

- Construction, mining & utility equipment - Industrial machinery & others

[1,205.6] 1,207.6 [144.9] 150.6

[1,248.8] 1,250.7 [140.6] 144.9

[43.2] 43.1 [(4.2)] (5.7)

[+3.6%] +3.6% [-2.9%] -3.8%

- Elimination (7.6) (6.1) 1.4 - Segment profit 151.0 163.7 12.6 +8.4%

- Construction, mining & utility equipment - Industrial machinery & others

148.3 3.8

164.1 1.1

15.7 (2.7)

+10.6% -70.7%

- Corporate & elimination (1.1) (1.5) (0.4) - Other operating income (expenses) (0.5) 1.9 2.5 -

Operating income 150.4 165.6 15.1 +10.1% Other income (expenses) (4.9) 4.4 9.4 - Income before income taxes 145.5 170.1 24.5 +16.9% Net income 91.0 115.3 24.2 +26.6%

12.3% 2.5%

11.2%

11.1%

13.1% 0.8%

11.8%

11.9%

For the nine-month period, consolidated sales increased by 2.9% from the corresponding period a year ago, to JPY1,389.5 billion, mainly supported by increased sales of construction equipment in Japan and China, which compensated for the effects of sluggish demand for mining equipment. Similarly, operating income advanced by 10.1% to JPY165.6 billion, and net income by 26.6% to JPY115.3 billion.

*1

*2

Sales and Profits for Nine Months (April-December, 2013)

% : Profit ratio [ ]: Sales after elimination of inter-segment transactions Billions of yen

*1 Including the loss of write-off of Komatsu NTC’s wire saw inventories in the amount of JPY 7.6 billion. *2 Upon adoption of ASC 810, “Net income” is equivalent to “Net income attributable to Komatsu Ltd.”


207.1 208.5 245.7

172.2 181.9 201.5 89.9 73.8

85.3 149.4 195.7 183.7 57.2 65.6 51.9 149.8 82.9 112.3

235.4 165.6 135.3

110.7 142.7 119.3

28.3 18.7 36.2

64.7 69.7 77.4

0

400

800

1,200

1,600

Apr.-Dec., 2011 Apr.-Dec., 2012 Apr.-Dec., 2013

AfricaMiddle EastOceaniaAsiaChinaCISLatin AmericaEuropeNorth AmericaJapan

1,248.8 1,265.1

While the percentage of sales in Oceania, Asia and Latin America declined in total sales against the backdrop of declined demand for mining equipment, that of Traditional Markets increased, driven by expanded sales in Japan with strong demand.

Japan North America Europe Latin

America CIS China Asia Oceania Middle East Africa Total

Apr.-Dec.,2012 +0.7% +5.7% -17.9% +31.0% +14.8% -44.6% -29.6% +28.9% -33.9% +7.8% -4.7% Apr.-Dec.,2013 +17.8% +10.8% +15.6% -6.1% -20.9% +35.3% -18.3% -16.4% +93.7% +10.9% +3.6%

+3.6%

1,205.6

- 4.7 %

Japan

17%

North

America

15%

Europe

6% Latin

America

16%

CIS

5%

China

7%

Asia

14%

Oceania

12%

Middle

East

2% Africa

6%

Strategic Markets 62％

Traditional Markets 38％

Japan 20%

North America

16% Europe

7% Latin

America 15%

CIS 4%

China 9%

Asia 11%

Oceania 9%

Middle East 3% Africa

6%

Apr.-Dec., 2013

Strategic Markets 57％

Traditional Markets 43％

Year-on-year growth rate of sales by region




Sales by region (To outside customers) Billions of yen

: Year-on-year growth rate

Breakdown (%)

Construction, Mining & Utility Equipment: Sales (to Outside Customers) by Region (Apr. – Dec., 2013)

Apr.-Dec., 2012


Construction, Mining & Utility Equipment: Causes of Difference in Segment Profit (Apr.-Dec., 2013)

Total : +15.7 bn yen

148.3 164.1

0

50

100

150

200

Apr.-Dec.,2012

Apr.-Dec.,2013

Positive factor Negative factor

13.1% 12.3%

USD1= JPY98.5 EUR1= JPY130.5 RMB1= JPY16.1


+15.7 bn

Segment profit ratio

Foreign exchange

rates +47.6

Fixed costs +6.0

Selling prices +13.7

Volume difference &

others (51.6)

Changes in segment profit (Apr.-Dec., 2012 vs. Apr.-Dec., 2013)

<Positive factors> - Selling prices :+13.7 bn yen - Fixed costs : +6.0 bn yen - Foreign exchange rates: +47.6 bn yen <Negative factor> - Volume difference & others : (51.6) bn yen

- A negative difference of JPY51.6 billion in volume and others caused by the declines in demand and sales was compensated for by the positive differences in selling prices, fixed costs and foreign exchange rates, resulting in a net positive difference of JPY15.7 billion in segment profit for the nine-month period. - Segment profit ratio increased by 0.8 percentage points to 13.1% for the nine-month period.

Segment profit

: Segment profit ratio

Sales before elimination of inter-segment transactions

178.9

148.3 164.1

0

5

10

15

20

0

50

100

150

200

Apr.-Dec.,2011

Apr.-Dec.,2012

Apr.-Dec.,2013

13.1%

％

14.1%

12.3%

Billions of yen

Billions of yen


0

20

40

60

80

FY11

/3 6 9 12

FY12

/3 6 9 12

FY13

/3 6 9 12

Backlog orders

Orders received (quarterly)

189.4

150.6 144.9

0

50

100

150

200

Apr.-Dec.,2011

Apr.-Dec.,2012

Apr.-Dec.,2013

16.7

3.8

1.1

0

5

10

15

0

6

12

18

Apr.-Dec.,2011

Apr.-Dec.,2012

Apr.-Dec.,2013

2.5%

%

0.8%

8.8%

Apr.-Dec.,2012 Apr.-Dec.,2013 Increase (decrease)

Komatsu Industries Corp., etc. [total of press and sheet-metal machines]

33.4 37.6 4.2

Komatsu NTC Ltd. [represented by wire saws]

56.5 [6.1]

47.3 [2.8]

(9.2) [(3.2)]

Others [represented by Gigaphoton ] [represented by Komatsu House]

60.6 [15.5] [10.6]

59.9 [17.2] [10.7]

(0.7) [1.7] [0.1]

Total 150.6 144.9 (5.7)

- While sales of machine tools, as well as sheet-metal and press machines remained firm, especially to the automobile manufacturing industry, nine-month sales slightly declined from the corresponding period a year ago. - Komatsu realized write-off of Komatsu NTC’s inventories of wire saw parts in the amount of JPY7.6 billion for the third quarter period. - Backlog orders remained stable.

0

20

40

60

80

FY11

/3 6 9 12

FY12

/3 6 9 12

FY13

/3 6 9 12

Backlog orders

Orders received (quarterly)

Industrial Machinery & Others: Sales, and Segment Profit and Backlog Orders

Sales Segment profit


Backlog orders Komatsu Industries Corp.

Komatsu NTC Ltd. (excl. wire saws)

Billions of yen

Billions of yen

Billions of yen

Billions of yen

Breakdown of sales Billions of yen


Japan Japan Japan Europe Europe Europe

China China China

Oceania Oceania Oceania

Others Others Others

North America

North America

North America

0

100

200

300

400

500

600

700

Retail Finance Business

37.6

49.8

9.2 10.7

0

10

20

30

40

50

60

Apr.-Dec., 2012 Apr.-Dec., 2013

Revenues

Pretax income

2. Revenues 1. Assets Billions of yen

- Total assets at December 31, 2013 increased from the previous fiscal year-end, affected by the Japanese yen’s depreciation and increased new transactions, mainly in North America. - Both nine-month revenues and pretax income increased from the corresponding period a year ago.

455.2

Consolidated retail finance subsidiaries

579.9

Dec. 31, 2012 USD1= JPY86.6 EUR1= JPY114.7 RMB1= JPY13.9

524.9

Mar 31, 2013 USD1= JPY94.1 EUR1= JPY120.7 RMB1= JPY15.2

Dec. 31, 2013 USD1= JPY105.4 EUR1= JPY145.1 RMB1= JPY17.4

Billions of yen


USD1= JPY98.5 EUR1=JPY130.5 RMB1= JPY16.1


Consolidated Balance Sheets - Total assets at December 31, 2013 increased by JPY203.4 billion from the previous fiscal year-end, mainly due to the Japanese yen’s depreciation. - Shareholders’ equity ratio improved to 49.8%, and net debt-to-equity ratio to 0.44, from the previous fiscal year-end.

Mar.31,2013 USD1 = JPY94.1 EUR1 = JPY120.7 RMB1 = JPY15.2

Dec.31,2013 USD1 = JPY105.4 EUR1 = JPY145.1 RMB1 = JPY17.4

Increase (decrease)

Cash & deposits (incl. time deposits) [a] Accounts receivable (incl. long-term trade receivables) <Excl. those of consolidated retail finance subsidiaries> Inventories Tangible fixed assets Other assets

93.8 842.7 <414.3> 633.6 585.2 362.4

111.0 843.2 <393.2> 728.2 645.9 392.8

17.1 0.5 <(21.0)> 94.5 60.7 30.4

Total assets 2,517.8 2,721.3 203.4 Accounts payable 226.2 234.8 8.6 Interest-bearing debt [b] 679.7 704.6 24.8 <Excl. those of consolidated retail finance subsidiaries> <298.1> <291.3> <(6.7)> Other liabilities 359.1 364.1 5.0 Total liabilities 1,265.1 1,303.7 38.5 [Shareholders’ equity ratio] Komatsu Ltd. shareholders’ equity

(47.4%) 1,193.1

(49.8%) 1,354.5

(+2.4 points) 161.3

Non controlling interests 59.5 63.0 3.5 Liabilities & Equity 2,517.8 2,721.3 203.4

Interest-bearing debt, net [b-a] 585.9 593.6 7.7 Net D/E ratio (excl. cash and interest-bearing debt of consolidated retail finance subsidiaries)

0.44

0.16

0.49

0.20

Billions of yen : Net debt-to-equity ratio


3. Current Demand for Construction and Mining Equipment by Region and Business

Segment and Our Business Outlook


+22%

+13%

+16%

+13%

+15%

-20% -20%

+45%

+5%

-7%

-60%

-40%

-20%

0%

20%

40%

60%

0

100,000

200,000

300,000

400,000

500,000

600,000

FY03

FY04

FY05

FY06

FY07

FY08

FY09

FY10

FY11

FY12

FY13

FY14

JapanNorth AmericaEuropeChinaOthersY-O-Y growth rate

Construction, Mining & Utility Equipment: Demand and Outlook for 7 Major Products

100

80

Units

64

92 97

- In the third quarter, while demand for mining equipment remained sluggish, overall demand for construction and mining equipment increased by 6% from the corresponding period a year ago, mainly supported by increased demand in Japan where demand remained strong and in China where market conditions upturned for recovery. - With respect to full-year demand in FY2013, we are keeping our projection of October 2013, i.e., a decline of 2% to 7% from FY2012. - Concerning full-year demand in FY2014, we anticipate that it will be comparable to FY2013.

91

84 to 88

-2% to

-7%

Units

Quarterly demand for 7 major products Annual demand for 7 major products Growth

rate Growth

rate

Demand: Estimated by Komatsu

Index : FY2007=100

-32%

-48% -47%

-42%

-6%

+53%

+63%

+46% +40%

+36%

+11%

+14% +7%

-7%

-1% -1%

-9%

-14%

-3%

+1%

+6%

-60%

-30%

0%

30%

60%

90%

0

30,000

60,000

90,000

120,000

150,000

3Q F

Y08 4Q

1Q F

Y09 2Q 3Q 4Q

1Q F

Y10 2Q 3Q 4Q

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q

Japan North AmericaEurope ChinaOthers Y-O-Y growth rate


04,0008,00012,00016,000

-100%

-50%

0%

50%

100%

1Q F

Y07 2Q 3Q 4Q

1Q F

Y08 2Q 3Q 4Q

1Q F

Y09 2Q 3Q 4Q

1Q F

Y10 2Q 3Q 4Q

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q 4Q

Demand (units) Y-O-Y growth rate

0

4,000

8,000

12,000

1Q F

Y09 2Q 3Q 4Q

1Q F

Y10 2Q 3Q 4Q

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q

Komatsu Group rental

Nationwide/local independent rental

Ownership

0

10,000

20,000

30,000

-60%

-40%

-20%

0%

20%

40%

60%

1Q F

Y05 2Q 3Q 4Q

1Q F

Y06 2Q 3Q 4Q

1Q F

Y07 2Q 3Q 4Q

1Q F

Y08 2Q 3Q 4Q

1Q F

Y09 2Q 3Q 4Q

1Q F

Y10 2Q 3Q 4Q

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q 4Q


0%

20%

40%

60%

80%

100%

FY07 FY08 FY09 FY10 FY11 FY12 Apr.-Dec., 2012

Apr.-Dec., 2013

Distributors'rentalIndependentrentalMining & energy

Road

Construction

Others

Construction, Mining & Utility Equipment: Demand in Major Markets (1)Japan & North America

Y-O-Y growth rate

↓

Ownership

100 127

60 61 80

Index 3Q FY07=100

40

90

Y-O-Y growth rate

Demand for hydraulic excavators (Rental & ownership)

+49% Rental

2Q (Jul.- Sep.): Y-O-Y +41% 3Q (Oct.-Dec.): Y-O-Y +41%

Japan

<Demand for 7 major products>

Breakdown of demand by segment (Unit based)

Index 3Q FY05=100

100 76 96

62 50 78 76

37

70

Y-O-Y growth rate

Y-O-Y growth rate

+10%

Rental

Others

-20%

2Q (Jul.-Sep.): Y-O-Y -2% 3Q (Oct.-Dec.): Y-O-Y +/- 0%

North America

+40%

FY13 Projection: +15% to +20% (As of Oct.2013) FY13 Projection:

+/- 0% to -5% (As of Oct. 2013)

Units

Units Units <Demand for 7 major products>

Japan: Third quarter demand expanded, fueled by increased construction investment and full-scale reconstruction works in the earthquake and tsunami destroyed-regions, as well as expanded purchase of equipment by customers who have looked into stricter emission regulations for the near future. Third quarter demand climbed by 41% from the corresponding period a year ago. North America: Third quarter demand was comparable to the corresponding period a year ago, supported by increased demand in the housing and energy sectors, while demand in the rental industry remained sluggish.


0

10,000

20,000

30,000

40,000

50,000

-50%

0%

50%

100%

150%

200%

250%

1Q F

Y07 2Q 3Q 4Q

1Q F

Y08 2Q 3Q 4Q

1Q F

Y09 2Q 3Q 4Q

1Q F

Y10 2Q 3Q 4Q

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q 4Q


0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

1Q F

Y08 2Q 3Q 4Q

1Q F

Y09 2Q 3Q 4Q

1Q F

Y10 2Q 3Q 4Q

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q 4Q

ForestAgroConstructionMining

0

4,000

8,000

12,000

16,000

20,000

24,000

Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec. Jan. Feb. Mar.

FY13 Projection

FY12

FY11

FY10

0

3,000

6,000

9,000

12,000

-80%

-40%

0%

40%

80%

120%

160%

1Q F

Y07 2Q 3Q 4Q

1Q F

Y08 2Q 3Q 4Q

1Q F

Y09 2Q 3Q 4Q

1Q F

Y10 2Q 3Q 4Q

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q 4Q

Indonesia

Other countries

Malaysia

Thailand

Y-O-Y growth rate

Construction, Mining & Utility Equipment: Demand in Major Markets (2) China, Southeast Asia China: Demand for construction equipment (made by foreign makers) upturned for recovery in the first quarter of FY2013 and has been increasing year-on-year since then. Southeast Asia: Demand declined by 12% in the third quarter of FY2013 from the corresponding period a year ago.

100 169 234

125 64 76

Index 3Q FY07=100

101

Units Y-O-Y

growth rate

Indonesia: Demand for construction & mining equipment by industrial sector

<Mining> Apr.-Dec.: -45%

2Q (Jul.- Sep.): Y-O-Y +25% 3Q (Oct.-Dec.): Y-O-Y +33% China

<Demand for 7 major products>

Monthly demand for hydraulic excavators (Foreign makers: Total of 6-ton and larger models)

<Chinese New Year>

69

113 157 221

170

Index : 3Q FY07=100

100

(Represented by Indonesia) 3Q: -12% -2%

2Q (Jul.- Sep.): Y-O-Y -24% 3Q (Oct.-Dec.): Y-O-Y -12%

Southeast Asia

<Demand for 7 major products> Y-O-Y growth rate

150 FY13 Projection: +12% to +17% (As of Oct.2013)

FY13 Projection: -15% to -20% (As of Oct.2013)

Units Units

Units

: Jan. 31, 2014 : Feb. 10, 2013 : Jan. 23, 2012 : Feb. 3, 2011



+6% +15%

-34%

+39% +52%

-5%

-50%

-100%

-50%

0%

50%

0

2,000

4,000

6,000

8,000

10,000

12,000MiddleEast &AfricaOceania

Asia

China

Europe &CIS

LatinAmerica

NorthAmerica

Y-O-Ygrowthrate

+61% +59% +49% +40%

+25% +5%

-11% -33%

-55% -56%

-48% -50%

0%

50%

100%

0

500

1,000

1,500

2,000

2,500

3,000Middle East &Africa

Oceania

Asia

China

Europe & CIS

Latin America

NorthAmerica

Y-O-Y growthrate

Construction, Mining & Utility Equipment: Mining Equipment Demand and Outlook

- Quarterly demand for mining equipment has continued to decline year-on-year since the third quarter of FY2012, reflecting a cooled down mindset of customers concerning capital investment against the backdrop of subdued commodity prices. - We project the full-year demand will decline by 50% in FY2013 from FY2012, as announced in October 2013.

Quarterly demand for mining equipment Annual demand for mining equipment

Y-O-Y growth rate Units

Units Y-O-Y

growth rate

Projection (as of Oct., 2013)

Dump trucks: 75 tons (HD785) and larger, Bulldozers: 525HP (D375) and larger, Excavators: 200 tons (PC2000) and larger, Wheel loaders: 810HP (WA800) and larger, Motor graders: 280HP (GD825) and larger



+22% +18%

-14%

+15% +33%

+11%

-22%

-50%

0%

50%

0

200

400

600

800

FY07

FY08

FY09

FY10

FY11

FY12

FY13

FY12

FY13

+24% +20%

+4% -1%

-16% -27%

-23%

-50%

0%

50%

0

50

100

150

200

250

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q

Middle East &AfricaOceania

Asia

China

Europe & CIS

Latin America

NorthAmerica

Construction, Mining & Utility Equipment: Sales of Mining Equipment

Quarterly sales of mining equipment have continued to decline year-on-year in tandem with sluggish demand. We project that full-year sales of mining equipment, including parts and service for FY2013 will decline by 22% from FY2012.

Annual sales of mining equipment (Incl. parts and service))

356.5

422.0 361.5

554.0

614.5

476.0 417.0

Quarterly sales of mining equipment (Incl. parts and service))

139.1

157.0 163.4

129.6 119.2

155.2

125.3

136.4 133.9

158.5

107.2

Y-O-Y growth rate

Y-O-Y growth rate

443.0

171.5

614.5

Equipment, service, & others

Parts

293 0

183.0

476.0

Billions of yen Billions

of yen Y-O-Y

growth rate

Projection (As of Oct., 2013)

Projection (As of Oct., 2013)


105.0 113.0

118.0 138.5

158.0 171.5

183.0

154.5 152.0

120.0

141.5 159.0

148.0 178.5

+2%

-10%

+18% +13%

+1%

+13%

-20%

+0%

+20%

0

100

200

300

400

500

FY07 FY08 FY09 FY10 FY11 FY12 FY13

Construction equipment Mining equipmentY-O-Y growth rate

40.2 37.9 39.0 40.9 43.0 43.7 39.6 45.2 49.2 44.6 46.3

40.7 39.5 37.9 40.9 37.3 36.0 34.7

40.0 45.2

44.2 41.8

+12% +15% +14% +13%

-1% +3% -3% +4%

+18%

+11%

+19%

-20%

0%

20%

0

20

40

60

80

100

120

140

1Q F

Y11 2Q 3Q 4Q

1Q F

Y12 2Q 3Q 4Q

1Q F

Y13 2Q 3Q

Construction equipment Mining equipmentY-O-Y growth rate

Construction, Mining & Utility Equipment: Sales of Parts

- Third quarter sales of parts advanced by 19% from the corresponding period a year ago. - We project that full-year sales of parts will increase by 13% for FY2013 from FY2012, as announced in October 2013.

Quarterly sales of parts

238.0

280.0

317.0

265.0

319.5

Annual sales of parts

361.5

Billions of yen

Y-O-Y growth rate

259.5 80.9

76.9 77.4 81.8

80.3 74.3

79.7 85.2 88.1 88.8

94.4

Billions of yen

Projection (As of Oct 2013)

Y-O-Y growth rate


D61PXi-23 medium-sized bulldozer which features the world's first* full automatic blade control

* Based on Komatsu's research concerning seven major products, i.e., crawler-type hydraulic excavator, wheel-type hydraulic excavator, wheel loader, bulldozer, motor grader, rigid dump truck and articulated dump truck

Business Coordination Department, KOMATSU LTD. TEL: +81-3-5561-2687 FAX: +81-3-3582-8332 http://www.komatsu.com/

This presentation sheets contain forward-looking statements that reflect management’s views and assumptions in the light of information currently available with respect to certain future events, including expected financial position, operating results and business strategies. These statements can be identified by the use of terms such as ”will,” “believes,” “should,” “projects,” “plans,” “expects,” and similar terms and expressions that identify future events or expectations. Actual results may differ materially from those projected, and the events and results of such forward-looking assumptions cannot be assured. Any forward-looking statements speak only as of the date of this presentation sheets, and Komatsu assumes no duty to update such statements. Factors that may cause actual results to differ materially from those predicted by such forward-looking statements include, but are not limited to, unanticipated changes in demand for the Company’s principal products, owing to changes in the economic conditions in the Company’s principal markets; changes in exchange rates or the impact of increased competition; unanticipated costs or delays encountered in achieving the Company’s objectives with respect to globalized product sourcing and new information technology tools; uncertainties as to the results of the Company’s research and development efforts and its ability to access and protect certain intellectual property rights; the impact of regulatory changes and accounting principles and practices; and the introduction, success and timing of business initiatives and strategies.

Cautionary Statement


<Appendix>


54.0 49.8 58.8 60.1 68.3 64.5

58.8 64.5

55.7 55.5 39.2

61.1 52.4 56.5 56.6

12.1% 12.1%13.3%

11.1%

13.8% 13.1% 12.7% 12.1% 11.9% 12.1%

9.3%11.4% 11.5% 12.0% 12.2%

0

20

40

60

80

100

120

1Q FY10 2Q 3Q 4Q 1Q FY11 2Q 3Q 4Q 1Q FY12 2Q 3Q 4Q 1Q FY13 2Q 3Q 4Q

Operating income Operating income ratio

-2.7 -3.6 -2.9 -3.9 -3.0 -3.9 -3.0 -3.6 -2.9 -2.5 -2.1 -3.2 -1.8 -2.6 -1.6

405.6 358.9 383.8 469.5 436.6 419.7 412.6 475.2 429.7 409.3 368.4

471.9 416.6 413.4 420.7

44.2 57.3 61.2

75.5 60.5 75.8 53.0

61.6 43.0 54.1

53.4

65.6 40.3 59.2 45.3

0

100

200

300

400

500

600


Industrial Machinery & Others

Construction, Mining & Utility Equipment

Elimination

Quarterly sales

447.1 412.6 442.2 541.1 494.1 491.6 462.6

*

533.2

Quarterly operating income

469.9 460.9

USD

EUR

RMB

1Q FY13 2Q FY13 3Q FY13 4Q FY13

97.3 yen 98.6 yen 99.7 yen

126.4 yen 129.9 yen 135.1 yen

15.8 yen 16.1 yen 16.3 yen

1Q FY10 2Q FY10 3Q FY10 4Q FY10

91.3 yen 85.0 yen 82.2 yen 82.3 yen

114.8 yen 111.5 yen 110.4 yen 113.8 yen

13.4 yen 12.6 yen 12.4 yen 12.5 yen

1Q FY11 2Q FY11 3Q FY11 4Q FY11

81.2 yen 77.1 yen 77.9 yen 79.8 yen

118.3 yen 108.7 yen 104.9 yen 106.3 yen

12.5 yen 12.1 yen 12.3 yen 12.7 yen

1Q FY12 2Q FY12 3Q FY12 4Q FY12

80.6 yen 78.7 yen 80.1 yen 90.7 yen

104.6 yen 98.3 yen 103.5 yen 120.1 yen

12.8 yen 12.4 yen 12.8 yen 14.6 yen

419.7

534.4 455.1 469.9 464.3

<Appendix> Quarterly Sales and Operating Income

Exchange rates

Billions of yen

* Including adverse effects of 7.0 billion yen from the earthquake disaster.

Billions of yen


405.6358.9 383.8

469.5 436.6 419.7 412.6475.2

429.7 409.3368.4

471.9416.6 413.4 420.7

0

100

200

300

400

500

600


USD

EUR

RMB

1Q FY13 2Q FY13 3Q FY13 4Q FY13

97.3 yen 98.6 yen 99.7 yen

126.4 yen 129.9 yen 135.1 yen

15.8 yen 16.1 yen 16.3 yen

1Q FY10 2Q FY10 3Q FY10 4Q FY10

91.3 yen 85.0 yen 82.2 yen 82.3 yen

114.8 yen 111.5 yen 110.4 yen 113.8 yen

13.4 yen 12.6 yen 12.4 yen 12.5 yen

1Q FY11 2Q FY11 3Q FY11 4Q FY11

81.2 yen 77.1 yen 77.9 yen 79.8 yen

118.3 yen 108.7 yen 104.9 yen 106.3 yen

12.5 yen 12.1 yen 12.3 yen 12.7 yen

1Q FY12 2Q FY12 3Q FY12 4Q FY12

80.6 yen 78.7 yen 80.1 yen 90.7 yen

104.6 yen 98.3 yen 103.5 yen 120.1 yen

12.8 yen 12.4 yen 12.8 yen 14.6 yen

Quarterly sales

54.2 48.0 54.0 64.4 60.8 59.2 58.8

67.354.2 55.3

38.8

60.552.6 53.1 58.3

13.4% 13.4% 14.1% 13.7% 13.9% 14.1% 14.3% 14.2%12.6% 13.5%

10.5%12.8% 12.6% 12.9% 13.9%

0

20

40

60

80

100

120


Segment profit


Quarterly segment profit

<Appendix> Construction, Mining & Utility Equipment: Quarterly Sales and Segment Profit

Exchange rates

Billions of yen

Billions of yen


USD

EUR

RMB

1Q FY13 2Q FY13 3Q FY13 4Q FY13

97.3 yen 98.6 yen 99.7 yen

126.4 yen 129.9 yen 135.1 yen

15.8 yen 16.1 yen 16.3 yen

1Q FY10 2Q FY10 3Q FY10 4Q FY10

91.3 yen 85.0 yen 82.2 yen 82.3 yen

114.8 yen 111.5 yen 110.4 yen 113.8 yen

13.4 yen 12.6 yen 12.4 yen 12.5 yen

1Q FY11 2Q FY11 3Q FY11 4Q FY11

81.2 yen 77.1 yen 77.9 yen 79.8 yen

118.3 yen 108.7 yen 104.9 yen 106.3 yen

12.5 yen 12.1 yen 12.3 yen 12.7 yen

1Q FY12 2Q FY12 3Q FY12 4Q FY12

80.6 yen 78.7 yen 80.1 yen 90.7 yen

104.6 yen 98.3 yen 103.5 yen 120.1 yen

12.8 yen 12.4 yen 12.8 yen 14.6 yen

54.4 62.9 69.6 64.5 61.4 67.6 78.0 79.2 62.5 69.8 76.0 84.2 66.4 83.5 95.6

41.0 42.1 48.6 52.7 55.1

61.7 55.2 65.5 61.9 63.9 56.0

94.4

65.6 70.6 65.2

26.8 21.8 24.3 31.4 31.5

29.2 29.1 30.6

27.9 23.0 22.8

26.5

30.4 26.7 28.0

57.2 49.8 42.7

52.3 50.9 49.4 48.9

55.7 63.3 69.3 62.9

63.5

59.4 61.6 62.6

12.7 10.2 16.7

19.6 21.9 16.6 18.5 22.5

21.9 19.2 24.4

23.8

18.5 17.2 16.1

98.4

54.3 67.2

114.2 75.4

38.8 35.5

51.4 40.7 21.7 20.4

36.9

41.4 31.3

39.5

63.1

61.0

60.2

68.5

74.8

81.0 79.4

84.0

78.5

52.4 34.7

52.3

47.9 43.9 43.3

29.8

27.8

28.9

34.8

34.2

37.9 38.5

51.0

44.3

54.8

43.5

50.2

47.3 39.7 32.1

9.4

11.8

6.6

14.9

11.0

10.0 7.2

8.1

5.2

9.0

4.4

10.9

13.6 13.6 9.0 11.9

16.2

17.9

15.4

18.5 25.6 20.5

25.7

22.4

25.1

22.2

28.2

24.9 24.3 28.1

0

100

200

300

400

500


405.2

358.4 383.2

468.7

435.3 418.3 411.4

474.2

428.9 Africa

Middle East

Oceania

Asia

China

CIS

Latin America

Europe

North America

Japan

408.7

367.9

471.3

415.9 412.8 420.0

<Appendix> Construction, Mining & Utility Equipment: Quarterly Sales (To Outside Customers) by Region

Exchange rates

Billions of yen


44.2 57.3

61.2 75.5

60.5

75.8

53.0 61.6

43.0 54.1 53.4

65.6

40.3

59.2 45.3

0

25

50

75

100


Quarterly sales

Quarterly segment profit

USD

EUR

RMB

1Q FY13 2Q FY13 3Q FY13 4Q FY13

97.3 yen 98.6 yen 99.7 yen

126.4 yen 129.9 yen 135.1 yen

15.8 yen 16.1 yen 16.3 yen

1Q FY10 2Q FY10 3Q FY10 4Q FY10

91.3 yen 85.0 yen 82.2 yen 82.3 yen

114.8 yen 111.5 yen 110.4 yen 113.8 yen

13.4 yen 12.6 yen 12.4 yen 12.5 yen

1Q FY11 2Q FY11 3Q FY11 4Q FY11

81.2 yen 77.1 yen 77.9 yen 79.8 yen

118.3 yen 108.7 yen 104.9 yen 106.3 yen

12.5 yen 12.1 yen 12.3 yen 12.7 yen

1Q FY12 2Q FY12 3Q FY12 4Q FY12

80.6 yen 78.7 yen 80.1 yen 90.7 yen

104.6 yen 98.3 yen 103.5 yen 120.1 yen

12.8 yen 12.4 yen 12.8 yen 14.6 yen

2.0 4.0

7.2 7.5 8.8

6.2

1.5 0.0

2.3 0.9 0.5

2.3 0.8

3.9

(3.6)

4.6%7.2%

11.9% 10.0%14.6%

8.3%

3.0%0.1%

5.5%

1.7% 1.0%3.7%

2.0%

6.7%

-8.1%-5

0

5

10

15


Segment profitSegment profit ratio

* Including the loss of write-off of Komatsu NTC’s wire saw inventories in the amount of JPY 7.6 billion.

*

<Appendix> Industrial Machinery & Others: Quarterly Sales and Segment Profit

Exchange rates

Billions of yen

Billions of yen

Documents

02 05-14 komatsu results-q3-1