Kubota Corp. posted a 3.2% decline in consolidated revenue for the nine months ended Sept. 30, 2025, as weakening demand in key international markets weighed heavily on results. Revenue fell to ¥2.20 trillion, down from ¥2.28 trillion a year earlier. 

The downturn was driven primarily by the company’s core Farm & Industrial Machinery segment, where sales dropped ¥89.9 billion, or 4.5%. The steepest pressure came from overseas markets: farm equipment revenue declined 5.1% abroad, and construction machinery sales fell 11.8% overseas as inventories normalized and demand cooled in North America and Europe. 

Overall overseas revenue decreased ¥118.3 billion, a 6.5% contraction, compared with a 9.8% increase domestically—highlighting that the company’s challenges were largely international. 

This softness in global equipment demand also squeezed profitability. Operating profit fell 22% year over year, reflecting both the revenue shortfall and a less favorable sales mix. 

While Kubota saw moderate growth in its Water & Environment segment, those gains were not enough to offset the machinery-driven decline. 

For equipment finance and leasing professionals, Kubota’s results underscore the cooling machinery cycle abroad—particularly in tractors and construction equipment—after several years of elevated demand.