Looking at Makita Tool’s 2019 annual report (PDF), I was surprised to find that only 14.8% of their sales revenue is from North America.
Tool and accessory sales here amounts to less than 15% of their total revenue. I knew that North America was a minor contribution to their worldwide sales revenue, but less than 15%?
In comparison, sales revenue in Japan, where Makita is headquarters, was 18.8%. Their revenue from Europe was 43.5%, nearly 3X the amount earned from North American sales.
The 2019 annual report contains data for the year ending March 31st, 2019.
Total sales revenue for the 2018 fiscal year was 490,578 million Yen, which converts to ~$4.608 billion at the current exchange rate. 61.2% of that comes from power tools, or approximately $2.765 billion.
$4.608 billion in total revenue, x 14.8% = ~$682 million in revenue from the United States, Canada, and Mexico. That’s quite a few cordless power tools and accessories.
Looking back at our post discussing Stanley Black & Decker (Dewalt, Craftsman, more) and TTI (Milwaukee, Ryobi NA, more) financials, Stanley Black & Decker earned $13.982B in 2018, with $9.814B of that in tools and storage, and TTI earned $7.021B in 2018, with $6.009B of that in tools and accessories.
In comparison, Stanley Black & Decker earns 55% of their total revenue from the United States, and a 60% share of their tools and storage revenue (Source: Investor Presentation July 2019). TTI earns 76.5% of their sales revenue from North America (Source: TTI 2018 Annual Report Financials).
Makita earns ~$682 million in revenue from North America, Stanley Black & Decker earns $7.700 billion in revenue from the United States in all categories, plus $628 million from Canada, and TTI earns $5.372 billion in revenue from North America. If you approximate Stanley Black & Decker’s tools and storage category revenue (I couldn’t easily find a regional breakdown with dollar amounts), 60% of $9.814B amounts to approximately $5.888 billion in tools and storage revenue in the United States.
What I find interesting is that Makita is a smaller company than both Stanley Black & Decker and TTI, and far less diversified, but still earn billions of dollars in annual revenue. Keep in mind that TTI’s figures include brands such as Milwaukee, and also Ryobi and Ridgid power tool efforts at Home Depot (in North America), and that Stanley Black & Decker’s brands include Dewalt, Mac Tools, Stanley, and many other big names.
Makita’s revenue contribution from sales in the United States and North America are small compared to their worldwide figures, and are roughly an order of magnitude lower that what Stanley Black & Decker and TTI earn here.
Unfortunately, it’s impossible to know how Makita tool sales compare to the performance of Dewalt and Milwaukee brands individually, since their corporate parents don’t release such data.