Earnings release for the nine months ended September 30, 2025

FOR IMMEDIATE RELEASE November 7, 2025

Contact: IR Section Corporate Control Dept.

2-47, Shikitsuhigashi 1-chome, Naniwa-ku, Osaka 556-8601, Japan Phone: +81-6-6648-2645

Kubota Corporation hereby reports its consolidated results for the nine months ended September 30, 2025.

1. Consolidated financial results for the nine months ended September 30, 2025

   1. Results of operations (Unit: millions of yen, except per share amounts)

      	Nine months ended Sept. 30, 2025	Change (%)	Nine months ended Sept. 30, 2024	Change (%)
      Revenue	¥ 2,204,282	(3.2)	¥ 2,277,925	0.9
      Operating profit	¥ 214,690	(22.0)	¥ 275,380	6.4
      Profit before income taxes	¥ 227,823	(20.9)	¥ 287,984	7.3
      Profit for the period	¥ 166,098	(23.7)	¥ 217,725	9.1
      Profit attributable to owners of the parent	¥ 141,962	(28.3)	¥ 197,916	8.5
      Comprehensive income for the period	¥ 80,125	(67.9)	¥ 249,241	(39.2)
      Earnings per share attributable to owners of the parent:
      Basic	¥ 124.10		¥ 169.00
      Diluted

   2. Financial position (Unit: millions of yen)

      	Sept. 30, 2025	Dec. 31, 2024
      Total assets	¥ 5,831,745	¥ 6,018,665
      Total equity	¥ 2,701,492	¥ 2,739,766
      Equity attributable to owners of the parent	¥ 2,468,647	¥ 2,477,314
      Ratio of equity attributable to owners of the parent to total assets	42.3%	41.2%

      Notes:

      1. Change (%) represents the percentage change from the same period in the prior year.

      2. Amounts less than one million yen are rounded.

2. Cash dividends

   (Unit: yen)

   	Cash dividends per common share
   	Interim	Year-end	Total
   Year ending Dec. 31, 2025	¥ 25.00	¥ 25.00 (forecast)	¥ 50.00 (forecast)
   Year ended Dec. 31, 2024	¥ 25.00	¥ 25.00	¥ 50.00

   Note:

   Revisions to the forecast of cash dividends since the latest announcement: None

   Kubota Corporation and Its Subsidiaries

3. Forecasts of operations for the year ending December 31, 2025

   (Unit: millions of yen, except per share amounts)

   	Year ending Dec. 31, 2025	Change (%)
   Revenue	¥ 2,880,000	(4.5)
   Operating profit	¥ 220,000	(30.3)
   Profit before income taxes	¥ 236,000	(29.6)
   Profit attributable to owners of the parent	¥ 142,000	(38.4)
   Earnings per share attributable to owners of the parent - basic	¥ 124.32

   Notes:

   1. Change (%) represents the percentage change from the prior year.

   2. Revisions to the forecast of consolidated results since the latest announcement: None

4. Other information

1. Changes in significant subsidiaries during the nine months ended September 30, 2025 (changes in specified subsidiaries in the changes in scope of consolidation): None

2. Changes in accounting policies and changes in accounting estimates

   
   
   

   1. Changes in accounting policies due to reasons other than a) above: None

   2. Changes in accounting estimates: None

3. Number of common shares issued

1. Number of common shares issued, including treasury shares, as of September 30, 2025 Number of common shares issued, including treasury shares, as of December 31, 2024

2. Number of treasury shares as of September 30, 2025 Number of treasury shares as of December 31, 2024

3. Weighted-average number of common shares outstanding during the nine months ended September 30, 2025 Weighted-average number of common shares outstanding during the nine months ended September 30, 2024

Information on the status of the quarterly review by the independent auditor

Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: Yes (voluntary)

Method of obtaining supplementary materials on the financial results

Kubota Corporation plans to hold a result briefing (conference call) for institutional investors and securities analysts on

< Cautionary statements with respect to forward-looking statements >

This document may contain forward-

sumptions.

These statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Therefore,

actual future results may differ materially from what is forecast in forward-looking statements due to a variety of factors, including, without limitation: general economic conditions in the Company's markets, particularly government agricultural policies, levels of capital expenditures both in public and private sectors, foreign currency exchange rates, the occurrence of natural disasters, continued competitive pricing pressures in the marketplace, as well as the Company's ability to continue to gain acceptance of its products.

Kubota Corporation and Its Subsidiaries

1. Review of operations and financial results 4

   1. Summary of the results of operations for the nine-month period 4

   2. Financial position 5

   3. Forecasts for the year ending December 31, 2025 6

2. Other information 6

   1. Changes in significant subsidiaries 6

   2. Changes in accounting policies 6

3. Condensed consolidated financial statements 7

   1. Condensed consolidated statement of financial position 7

   2. Condensed consolidated statement of profit or loss 9

   3. Condensed consolidated statement of comprehensive income 10

   4. Condensed consolidated statement of changes in equity 11

   5. Condensed consolidated statement of cash flows 12

   6. Significant matters serving as the basis for condensed consolidated financial statements preparation 12

   7. Notes to the going concern assumption 12

   8. Consolidated segment information 13

   9. Consolidated revenue by product group 14

1. Review of operations and financial results

   Kubota Corporation and Its Subsidiaries

   Effective from the beginning of this current consolidated fiscal year, Kubota Corporation changed the business reporting structure due to the organizational reform, which was implemented on January 1, 2025. Consequently, certain corporate expenses that were formerly included in the "Adjustment" have been included in each business segment. To reflect this change in this Earnings release, year-on-year comparisons are calculated based on the figures after the reclassification.

   1. Summary of the results of operations for the nine-month period

      For the nine months ended September 30, 2025, revenue of Kubota Corporation and its subsidiaries (hereinafter, the "Company") decreased by ¥73.6 billion (3.2%) from the same period in the prior year to ¥2,204.3 billion.

      Domestic revenue increased by ¥44.6 billion (9.8%) from the same period in the prior year to ¥501.9 billion because of increased revenue from Farm & Industrial Machinery and Water & Environment.

      Overseas revenue decreased by ¥118.3 billion (6.5%) from the same period in the prior year to ¥1,702.4 billion because of decreased revenue from Farm & Industrial Machinery.

      Operating profit decreased by ¥60.7 billion (22.0%) from the same period in the prior year to ¥214.7 billion. This result was mainly due to the decreased sales in Farm & Industrial Machinery and the deterioration of sales mix, although the cost increase due to US tariffs was dealt with through incentive reduction and additional price increase. Profit before income taxes decreased by ¥60.2 billion (20.9%) from the same period in the prior year to ¥227.8 billion. Profit for the period decreased by ¥51.6 billion (23.7%) to ¥166.1 billion, reflecting income tax expenses of ¥63.5 billion and share of profits of investments accounted for using the equity method of ¥1.8 billion. Profit attributable to owners of the parent decreased by ¥56.0 billion (28.3%) from the same period in the prior year to ¥142.0 billion.

      Revenue from external customers and operating profit by each reportable segment were as follows:

      1. Farm & Industrial Machinery

         Farm & Industrial Machinery is composed of farm equipment, agricultural-related products, engines, and construction machinery.

         Revenue in this segment decreased by 4.5% from the same period in the prior year to ¥1,927.2 billion, which accounted for 87.4% of consolidated revenue.

         Domestic revenue increased by 13.5% from the same period in the prior year to ¥266.1 billion mainly due to increased sales of farm equipment and agricultural-related products.

         Overseas revenue decreased by 6.8% from the same period in the prior year to ¥1,661.1 billion. In North America, the sales of construction machinery (hereinafter, the "CE") decreased because of the adverse reaction to the inventory replenishment in the previous year. The sales of tractor also decreased due to a slowdown in the market, but there was a slight recovery in the residential market and the agricultural market was steady thanks tothe stable livestock commodity prices. In Europe, the sales of tractor decreased due to the stagnant market, but the CE market bottomed out and the sales also started to increase. In Thailand, the sales decreased due to the shrinkage of both the dryland market and the rice market caused by the crop price decline. In India, the market has been well thanks to the sufficient crop yields and rainfall, and the sales of tractor increased.

         Operating profit in this segment decreased by 25.4% from the same period in the prior year to ¥216.5 billion. This result was mainly due to the decreased sales mostly in North America and the deterioration of sales mix, although the cost increase due to US tariffs was dealt with through incentive reduction and price increase.

         Kubota Corporation and Its Subsidiaries

      2. Water & Environment

         Water & Environment is composed of pipe system business (ductile iron pipes, plastic pipes, and other products), industrial products business (reformer and cracking tubes, spiral-welded steel pipes, air-conditioning equipment, and other products), and environment business (environmental control plants, pumps, and other products).

         Revenue in this segment increased by 6.8% from the same period in the prior year to ¥265.3 billion, which accounted for 12.0% of consolidated revenue.

         Domestic revenue increased by 6.4% from the same period in the prior year to ¥224.0 billion due to an increase in sales in each business, mainly in environment business.

         Overseas revenue increased by 8.7% from the same period in the prior year to ¥41.2 billion due to increased sales mainly in industrial products business.

         Operating profit in this segment increased by 79.5% from the same period in the prior year to ¥24.8 billion due to sales price increase and sales increase.

      3. Other

      Other is mainly composed of a variety of other services.

      Revenue in this segment decreased by 4.9% from the same period in the prior year to ¥11.8 billion and accounted for 0.6% of consolidated revenue.

      Operating profit in this segment decreased by 30.3% from the same period in the prior year to ¥0.8 billion.

   2. Financial position

      1. Assets, liabilities, and equity

         Total assets as of September 30, 2025, were ¥5,831.7 billion, a decrease of ¥186.9 billion from the prior fiscal

         year-end. Assets decreased mainly due to a decrease in cash and cash equivalents as repayment of bonds and borrowings progressed.

         Total liabilities also decreased from the prior fiscal year end due to a decrease in bonds and borrowings mainly. Equity decreased mainly due to a decrease in other components of equity because of the fluctuations in foreign exchange rates.

         The ratio of equity attributable to owners of the parent to total assets stood at 42.3%, 1.1 percentage points higher than the prior fiscal year end.

      2. Cash flows

Net cash provided by operating activities during the nine months ended September 30, 2025, was ¥210.7 billion,

an increase of ¥60.1 billion in net cash inflow compared with the same period in the prior year. This increase resulted mainly from a decrease in working capital and controlling the increase of finance receivables through the incentive reduction, although the profit for the period decreased.

Net cash used in investing activities was ¥109.6 billion, a decrease of ¥22.6 billion in net cash outflow compared with the same period in the prior year. This resulted mainly from a decrease in expenditures related to acquisition of property, plant, and equipment.

Net cash used by financing activities was ¥167.1 billion, an increase of ¥163.7 billion in net cash outflow compared with the same period in the prior year mostly due to an increase in repayments of bonds and borrowings.

As a result of the above and after taking into account the effects of exchange rate changes, cash and cash equivalents as of September 30, 2025, were ¥222.1 billion, a decrease of ¥73.0 billion from the beginning of the current period.