Kawasaki operating profit jumps 106.8% to ¥73.866 billion in first half
Key Facts
Kawasaki Heavy Industries said business profit reached ¥73.866 billion in the first half of fiscal 2026, up 106.8% year on year, according to its financial statements published on November 10, 2026. Revenue for the six months ended September 30 rose to ¥1.084 trillion, up 8.8% from the same period. Profit before tax also increased 60.5% to ¥56.784 billion. The figures show profits growing faster than revenue during the period. The company said second-quarter revenue and profit reached record levels.
In the second quarter, which ran from July to September, revenue rose to ¥540.8 billion from ¥507.8 billion a year earlier. Quarterly business profit climbed to ¥38.1 billion from ¥15.1 billion in the same period of the previous year. More than half of first-half business profit therefore came in the second quarter, based on the company's figures for the two periods. Kawasaki attributed the record quarterly revenue and profit to several factors that supported earnings. These included refunds of U.S. fees under the International Emergency Economic Powers Act, proceeds from a court settlement and the weaker yen.
The results also reflected an improvement in profit attributable to shareholders, with profit attributable to owners of the parent company rising to ¥30.922 billion in the first half from ¥22.089 billion in the same period of the previous fiscal year. Basic earnings per share were ¥36.18. These measures differ from business profit and profit before tax, which the company reported separately in its statements. In its Precision Machinery and Robotics segment, the company said revenue and business profit rose, supported by proceeds from a court settlement. It added that strong sales of hydraulic equipment for construction machinery and semiconductor manufacturing robots supported the segment's performance.
Kawasaki raised its business profit forecast for the fiscal year ending March 31, 2027, to ¥185 billion from a previous estimate of ¥180 billion. It also increased its full-year revenue forecast to ¥2.56 trillion from its previous estimate of ¥2.49 trillion. For profit attributable to owners of the parent company, the company expects ¥118 billion for the fiscal year, with basic earnings per share of ¥133.69. The forecast revision raised both revenue and business profit targets alongside the half-year results. The revised forecast for the Energy System and Marine Engineering segment shows part of that change, with its profit estimate raised to ¥75 billion from ¥69 billion.
Kawasaki attributed the higher profit forecast for its Energy System and Marine Engineering segment to strong performance, particularly in its ship and offshore structure businesses. The company announced its first-half results on November 10, 2026, after its investor relations calendar had scheduled the second-quarter results announcement for the same day at 11:30 Japan time. It said it held a results presentation for institutional investors, analysts and the press on November 10 and planned to release the presentation materials alongside the results announcement. Before the announcement, the company's shares, listed under 7012.T, closed at ¥2025.5 in the November 9 session, according to EL7 data. That close was from the session before the announcement; the available data here do not include a verified share price after the results were published.