Hitachi raised its full-year sales and profit targets on July 29 after posting broad-based growth across all four of its operating sectors in the quarter to June 2026, with the Energy division doing most of the work.
Revenue rose 20% year-on-year to ¥2.71tn (up 12% excluding currency effects), a level the company says is a first-quarter record, and adjusted core profit (Adj. EBITA) climbed to ¥323.5bn, also a first-quarter record, lifting the margin by 140 basis points to 11.9%. Quarterly net profit attributable to shareholders fell 1.4% to ¥189.4bn. Hitachi attributes most of that decline to a roughly ¥50bn special-dividend gain booked a year earlier from the air-conditioning business restructuring, a comparison this quarter could not match.
Energy was the standout: segment revenue rose 37% to ¥911.9bn and Adj. EBITA climbed to ¥129.0bn, a margin of 14.2%, up 240 basis points. Hitachi credits steady conversion of its existing order backlog and currency effects for that sales and profit growth, not new business wins. Separately, Energy orders also grew strongly in the quarter, helped by continued demand for transmission equipment and several large HVDC transmission-line contracts signed in Europe.
| Segment | Revenue | YoY | Adj. EBITA margin |
|---|---|---|---|
| Digital Systems & Services | ¥719.0bn | +11% | 11.9% |
| Energy | ¥911.9bn | +37% | 14.2% |
| Mobility | ¥344.4bn | +21% | 8.8% |
| Connective Industries | ¥761.0bn | +13% | 11.0% |
The other three sectors grew more modestly but still expanded both revenue and profit: Digital Systems & Services rose 11% to ¥719.0bn with an 11.9% margin, Mobility grew 21% to ¥344.4bn, and Connective Industries rose 13% to ¥761.0bn.
Disruption tied to Middle East instability, a region that generated about ¥470bn of Hitachi's revenue and employed roughly 2,900 people in the year to March 2026, mostly in Saudi Arabia and the UAE, cost the group ¥16bn in revenue and ¥7bn in Adj. EBITA during the quarter. That is well inside the ¥40bn revenue and ¥20bn profit hit management had budgeted for back in April, though Hitachi says it is still watching the situation for the rest of the year.
With the quarter ahead of plan, Hitachi raised guidance across all four sectors. Full-year revenue guidance moves to ¥11.70tn from ¥11.10tn, Adj. EBITA guidance to ¥1.52tn from ¥1.42tn, and the net-profit forecast to ¥900.0bn from ¥850.0bn. The company also bought back ¥147.9bn of its own shares in the quarter, 27% of its ¥550bn buyback plan for the year.