FANUC is one of the leaders in industrial robotics. But, like many other companies at the moment, it also appears to be experiencing a slowdown. The company reported financials for the first 9 months of the fiscal year ending March 31, 2025 (April 1 to December 31, 2024), showing mixed results amidst a recovering but uncertain global economy.
Robot sales for the period decreased 16.4% to ¥242,386 million due to lower sales in China, Europe, and the Americas. FANUC said these geographic areas are seeing weaker demand in automobile-related industries. FANUC said it sees strong demand in general industries in Japan.
Factory automation net sales increased 10.0% to ¥147,424 million, driven by strong CNC system sales in India and China, despite weaker demand globally. ROBOMACHINE division net sales increased 21.8% to ¥92,819 million, with growth in ROBODRILLs (compact machining centers) and ROBOSHOTs (electric injection molding machines) offsetting a slight decrease in ROBOCUT sales.
The company has revised its sales forecast for the entire fiscal year upward by 0.5% and its ordinary income upward by 3.0%. You can read FANUC’s complete financial reports here and here.
While the company made efforts in sales expansion and cost reduction, consolidated net sales for the period were down 1.9% to ¥585,014 million. However, consolidated ordinary income increased 3.2% to ¥139,485 million, and net income attributable to owners of parent rose 4.5% to ¥102,784 million.
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FANUC released its latest generation R-50iA robot controller in late 2024, along with a new cobot last year. In July 2024, FANUC America Corp. officially unveiled its 650,000-sq.-ft. (60,386-sq.-m) West Campus in Auburn Hills, Mich.
The company shipped its first robot in 1974 and announced its 1 millionth robot milestone in 2023.
Several strong robotics markets are experiencing a slowdown. China, the world’s largest industrial robotics market for 10-plus years, expected its industrial robot sales to decline for the first time in five years in 2024. The country’s total industrial robot deliveries reached an estimated 300,000 units, down 5% from 2023, according to Shenzhen Gaogong Industrial Institute (GGII). The GGII said the decline was due to the “obviously tightening demand” from the manufacturing industry, especially the automotive and renewable energy sectors.
After record back-to-back years in 2021 and 2022 during the height of the COVID-19 pandemic, industrial robot sales in North America saw a significant decline in 2023 and essentially flat growth in 2024, according to the Association for Advancing Automation (A3). At the recent A3 Business Forum, the trade organization said it expects industrial robot sales in North America to have a slow start to the year before rebounding in the second half of 2025.
FANUC designed the M-950iA robot to deliver a wide-range motion and versatility with precision—even in tight workspaces. | Source: FANUC
The VDMA Robotics + Automation Association (VDMA R+A), a German trade association, recently said Germany’s robotics and automation industry “has lost competitiveness.” It forecast that Germany‘s robotics and automation industry will drop 9% in total turnover in 2025 to €13.8 billion ($14.4 billion U.S.). “Total turnover” is the term Germany uses to describe the amount of money a country’s businesses make from sales over a period of time.
Teradyne’s robotics group recently laid off 10% of its global workforce. Teradyne owns Universal Robots and Mobile Industrial Robots, leading developers of collaborative robot arms and autonomous mobile robots, respectively. UR declined 3% year over year, and MiR grew 1% year over year. Teradyne told The Robot Report demand for robotics didn’t meet expectations because of the post-COVID slowdown in capital, wars affecting trade and labor, and uncertainty among manufacturers.
Excellent report. The good news is Fanuc reported growth in robot orders. We may have hit bottom and will grow from here.
When you feel you reached the bottom, someone will knock from below.