Strong Q1 Performance: Hitachi reported increased revenues and profits in Q1 FY2025, driven by the energy power grids and mobility railways systems businesses, with revenues (excluding FX effects) growing by 5% year-on-year and adjusted EBITDA reaching a record high margin of 10.5%, an improvement of 0.4 percentage points year-on-year.

Full Year Outlook: For FY2025, Hitachi expects consolidated revenues to grow by 6% (excluding currency effects), with adjusted EBITDA and net income also projected to increase year-on-year. However, core free cash flow is anticipated to decrease due to a reactionary decline from advance payments received in FY2024.

Impact of U.S. Tariffs: The company anticipates a total deterioration risk of JPY 30 billion in adjusted EBITDA due to U.S. tariffs affecting both direct and indirect contributions. While direct impacts have been managed through price pass-through mechanisms, indirect impacts are expected to intensify, particularly in customer investment restraints in the DSS segment.