Japan's Forklift Majors Q3 FY2026: Profits Hit by Scandals, US Slowdown
Companies compared · 2
Toyota Ind.
6201
Logisnext
7105
Takeaway
Despite temporary profit hits, a clear gap in core earning power remains.
Scandals and a U.S. slowdown eroded profits for Japan's Forklift Majors in Q3 FY2026. While Toyota Ind. saw revenue rise despite heavy settlement costs, Logisnext suffered a net profit plunge as both move to go private.
Industry Trends
The industrial vehicle sector was shaped by four key themes during the period:
- The cost of engine certification issues: Expense measures related to past misconduct directly impacted profits.
- Cautious investment in the U.S. market: Local customers held back on purchases due to concerns over U.S. tariffs.
- Caught between high costs and price competition: Passing on costs has been delayed due to stiff competition from Asian rivals.
- Going private under parent groups: Both companies are moving toward privatization to improve management efficiency.
Operating Profit Ranking
Both companies suffered heavy profit declines as massive settlements and rising costs weighed on earnings.
Winners and Losers
In this period's matchup, Toyota Ind. emerged as the de facto winner by maintaining its scale advantage.
Toyota Ind. saw revenue grow to 3,166.9 billion yen (up +4.8% year on year). In contrast, Logisnext posted a revenue decline of 482.7 billion yen (down -3.6%).
In terms of operating profit, Toyota Ind. slid to 86.0 billion yen (down -52.5%), while Logisnext fell by nearly half to 10.1 billion yen (down -44.6%). However, excluding settlement costs, Toyota Ind. generated an underlying operating profit of approximately 160 billion yen. Meanwhile, Logisnext's net profit collapsed to just 0.9 billion yen (down -91.1%).
These results exposed a clear gap in earning power in their core business foundations.
Winner
Toyota Ind.
Laggard
Logisnext
Revenue Ranking
Toyota Ind. dominated with revenue exceeding 3 trillion yen, supported by expanding demand for logistics automation.
Operating Margin Ranking
Operating margins for both fell to the 2% range, hit hard by one-off costs and delayed price pass-throughs.
Key Moves and Strategic Outlook
Both companies are pursuing contrasting strategies to address challenges and drive growth.
Toyota Ind. is strengthening its logistics solutions to reduce its reliance on hardware sales. By providing integrated systems, the company aims to build a stable, high-value-added business model.
Logisnext is focusing on a takeover bid (TOB) by its parent company. Going private will allow the company to execute structural reforms without being swayed by short-term earnings fluctuations.
Revenue Growth (YoY)
Toyota Ind. maintained revenue growth, while Logisnext suffered negative growth as North American buyers held back.
Net Income Growth (YoY)
Net income plummeted for both, with Logisnext suffering a massive drop of approximately 90% compared to the previous year.
Shared Industry Risks
The forklift industry continues to face several key risks:
- Delayed governance reforms: Preventing future misconduct and restoring customer trust will take time.
- Uncertainty over U.S. tariffs: Concerns persist that new tariff measures could drive up local costs.
- Lagging in EV transition: The rapid pace of electrification by competing Asian manufacturers remains a major threat.
Advice for Job Seekers and Career Changers
The current tough performance reflects a historic period of major transition. Logistics is a vital social infrastructure, and the demand for automation and efficiency will not disappear. As privatization strengthens their management foundations, stability is expected to rise. Joining the industry now offers a highly exciting opportunity to experience a turning point driven by technological shift and organizational reform.