Kubota Corporation
Kubota Corporation engages in the manufacture and sale of agricultural and construction machinery in Japan, North America, Europe, Asia, and internationally. The company offers tractors, power tillers, combine harvesters, rice transplanters, turf equipment, utility vehicles, other agricultural machineries, implements, attachments, post-harvest machineries, vegetable production equipment, intermediate management machines, and other equipment for agricultural use, weighing and measuring control systems, and cooperative drying, rice seedling, and gardening facilities, as well as rice mill plants. It also provides farm equipment, construction machinery, industrial machinery, and generators engines; and mini excavators, wheel loaders, compact track loaders, skid steer loaders, and other construction machinery-related products. In addition, the company offers ductile iron pipe, plastic pipe, valves, single stack drain fittings, and design and construction of construction works; reformer and cracking tubes, hearth rolls, TXAX, steel pipe piles, steel pipe sheet piles, and air-conditioning equipment; wastewater treatment equipment and plants, pumps and plants, membrane solutions, water purification plants, night-soil treatment plants, waste incinerating and melting plants, waste shredding and sorting plants, flue gas desulfurization apparatus, membrane methane fermentation plants, wastewater treatment plant, and valves sector. Further, it is involved in the provision of roofing, siding materials and rain gutters; logistics, retail financing, and finance leasing services; export and import of components for farm equipment, engines, and construction machinery; underwriting non-life insurance; design and construction of water and sewage; civil engineering; management of logistics and logistics information service; and building maintenance, security guarding, and facility management. Kubota Corporation was founded in 1890 and is headquartered in Osaka, Japan.
What does it do?
Kubota is a Japanese company that makes the orange tractors and construction equipment you might see on farms and building sites across the world. Think of them as the workhorse behind modern agriculture — their machines plant rice in Japan, mow golf courses in the US, and dig foundations in Europe. They also make smaller equipment like compact tractors that hobby farmers and landscapers love. If food gets grown or land gets moved, there's a good chance a Kubota machine is involved somewhere.
Global food security is a growing concern, and the machines that make farming more efficient are in high demand — especially in developing markets across Asia and Africa where agriculture is modernizing fast. Kubota sits at the intersection of two mega-trends: automation of farming and global infrastructure buildout. As labor shortages hit agriculture in wealthy countries, farmers are spending more on machinery to replace human hands, which is good news for Kubota.
How does it make money?
Kubota makes money by selling and financing agricultural machinery like tractors and combine harvesters, plus construction equipment like mini excavators. North America is their biggest and most profitable market, driven by strong demand for compact tractors from small farms and property owners. They also earn recurring revenue through spare parts, attachments, and servicing — meaning once a farmer buys a Kubota, they tend to keep spending money on it. Annual revenue runs at roughly $20 billion USD, with growth staying relatively flat year-over-year based on recent figures.
Why do investors care?
The long-term growth story is about emerging markets — as countries in Southeast Asia and Africa mechanize their farming, demand for affordable, reliable tractors should climb steadily. Kubota is also investing in smart farming technology, including GPS-guided tractors and automated machinery, which could command higher prices and stickier customer relationships. For this to play out, commodity prices need to stay healthy so farmers feel confident spending on equipment, and Kubota needs to keep winning against rivals like John Deere and CNH Industrial in key markets.
Deep Dive
MemberA full investor briefing on Kubota Corporation — history, leadership, risks, and outlook.