Worth reading
52Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Mixed performance
Direction inferred from the company’s description.Scale
3.81
¥100 million (first-half operating profit upside versus the initial forecast)Wording
Conditional
How definitive the wording is.Contents of this document
Q&A summarySecond quarter of the fiscal year ending February 202710 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Operating profit margin13.2 % full-year forecast
Gross Profit MarginIncreased (specific rate and year-on-year change not disclosed)
Full-year earnings forecast
Operating profit margin
13.2 %
Revenue from New Business Areas
¥2.88 100 million upward revision
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Mixed: the semiconductor business exceeded the forecast, Faraday rotators were broadly in line with the plan, and the healthcare business forecast was loweredKey points of the Q&AKey questions raised by investors at the briefing and the company's answers
- Factors behind the first-half revenue and operating profit upside versus forecasts, and one-off factors
- Background to revenue growth and production capacity in the semiconductor business
- Raw-material procurement, business policy, and the possibility of downsizing or exiting the healthcare business
- Supply and demand conditions for Faraday rotators and the background to additional investment
- Depreciation and amortization associated with additional capital investment
- Advance and duplicate orders in the semiconductor business and production-related issues
- Growth of the new business areas, timing shifts, and the quantum field
- Response to co-packaged optics and CPO
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
- Revenue upside versus the initial forecast¥2.75 100 million
- Operating profit upside versus the initial forecast¥3.81 100 million
- Semiconductor business revenue growth versus the forecast¥3.38 100 million
- Increase in gross profit accompanying higher revenue
- Improve the product mix
- Lower costs from improved operational efficiency and productivity
New initiatives
- Expansion of Faraday rotator production capacity and approximately ¥2.3 billion in additional capital investment
- Phased increases in production capacity in line with demand trends
- Discussions with new raw-material suppliers for the healthcare business
- Consideration of using recycled materials within the plant
- Reallocation of plants, equipment, and personnel to growth areas in line with demand conditions
Key KPIsA metric the company considers important as a management benchmark.
- Global single-crystal market share95 %
- Global deep-ultraviolet laser market shareAt least 30%
- Forecast 2026 growth rate for the semiconductor manufacturing equipment market23.2 %
- First-half semiconductor business orders¥34.56 100 million
- Semiconductor business revenue year on year70 % increase
Segment results
- RevenueSegmentSemiconductor BusinessYear on year against the same period last yearUp 70%
- Faraday rotator revenueSegmentNew Business AreasYear on year against the same period last yearGrowth
- Fourth-quarter revenue outlook¥5,900 10,000SegmentHealthcare Business
Medium-term management plan targets
Aiming to achieve the targets of the medium-term management plan, which runs through the fiscal year ending February 2029 (target figures not disclosed)Market Size / Share
- Global single-crystal market share95 %
- Global deep-ultraviolet laser market shareAt least 30%
- Forecast 2026 growth rate for the semiconductor manufacturing equipment market23.2 %
Orders received and order backlog
Orders received
¥34.56 100 million first-half semiconductor business
Capital expenditures
¥23 100 million total additional capital investment related to Faraday rotators
| Item | Details |
|---|---|
| Document type | Q&A summary |
| Fiscal Period Covered | Second quarter of the fiscal year ending February 2027 |
| Gross Profit Margin | Increased (specific rate and year-on-year change not disclosed) |
| Operating profit margin | 13.2 % (full-year forecast) |
| Full-year earnings forecast | Operating profit margin 13.2 % / Revenue from New Business Areas ¥2.88 100 million (upward revision) |
| Self-assessment against the plan | Mixed: the semiconductor business exceeded the forecast, Faraday rotators were broadly in line with the plan, and the healthcare business forecast was lowered |
| Segment results | Segment Semiconductor Business / Indicator Revenue / Year on year against the same period last year Up 70%, Segment New Business Areas / Indicator Faraday rotator revenue / Year on year against the same period last year Growth, Healthcare Business ¥5,900 10,000 |
| Breakdown of Factors Affecting the Change | Revenue upside versus the initial forecast ¥2.75 100 million, Operating profit upside versus the initial forecast ¥3.81 100 million, Semiconductor business revenue growth versus the forecast ¥3.38 100 million, Increase in gross profit accompanying higher revenue 非開示, Improve the product mix 非開示, Lower costs from improved operational efficiency and productivity 非開示 |
| Key KPIs | 95 %, At least 30%, 23.2 %, ¥34.56 100 million, 70 % increase |
| Medium-term management plan targets | Aiming to achieve the targets of the medium-term management plan, which runs through the fiscal year ending February 2029 (target figures not disclosed) |
| Capital expenditures | ¥23 100 million (total additional capital investment related to Faraday rotators) |
| Orders received and order backlog | Orders received ¥34.56 100 million (first-half semiconductor business) / Order backlog Not disclosed |
| Market Size / Share | 95 %, At least 30%, 23.2 % |
| Key points of the Q&A | Factors behind the first-half revenue and operating profit upside versus forecasts, and one-off factors, Background to revenue growth and production capacity in the semiconductor business, Raw-material procurement, business policy, and the possibility of downsizing or exiting the healthcare business, Supply and demand conditions for Faraday rotators and the background to additional investment, Depreciation and amortization associated with additional capital investment, Advance and duplicate orders in the semiconductor business and production-related issues, Growth of the new business areas, timing shifts, and the quantum field, Response to co-packaged optics and CPO |
| New initiatives | Expansion of Faraday rotator production capacity and approximately ¥2.3 billion in additional capital investment, Phased increases in production capacity in line with demand trends, Discussions with new raw-material suppliers for the healthcare business, Consideration of using recycled materials within the plant, Reallocation of plants, equipment, and personnel to growth areas in line with demand conditions |
Items this document does not state (16)
Net SalesOperating profitOrdinary incomeNet incomeSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastUnit price and quantity metricsNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookFinancial targetsAnnual DividendPayout ratioAcquisition of treasury shares
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.The upside was primarily driven by higher gross profit from increased revenue, an improved product mix resulting from higher revenue in the high-margin semiconductor business, and lower costs from improved operational efficiency and productivity. The healthcare business forecast was lowered because of the deterioration in the procurement environment for key raw materials and higher prices.
How to read this page
This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.