Q1 progress is solid against the FY2027 full-year forecast, but the scope for an upward revision will be assessed in H1

Q1 of the fiscal year ending March 2027 recorded revenue of ¥83,178 million, up 7.9% year on year, and operating profit of ¥6,873 million, up 18.4%. The full-year forecasts are revenue of ¥342,000 million, operating profit of ¥27,500 million, ordinary profit of ¥27,500 million and net income attributable to owners of the parent of ¥19,500 million. Accordingly, Q1 progress was 24.3% for revenue and 25.0% for operating profit, broadly in line with the benchmark based on simply dividing the year into four quarters.

In the fiscal year ended March 2026, revenue of ¥319,385 million and operating profit of ¥25,156 million reached record highs for revenue, operating profit and net income. The FY2027 forecast targets increases of 7.1% in revenue and 9.3% in operating profit from those levels. Q1 operating profit growth of 18.4% exceeds the full-year planned growth rate, but this reflects only one quarter's results. In H1, the effects of fluctuations in demand for semiconductor-related products, raw material costs and higher fixed costs may become more apparent.

FY2026-H1 results were revenue of ¥154,752 million and operating profit of ¥12,767 million. If FY2027-H1 is simply compared with 50% of the full-year forecast, revenue of ¥171,000 million and operating profit of ¥13,750 million provide one benchmark, although the company has not disclosed seasonality or product-specific shipment timing. At the next results announcement, it will be necessary to review not only cumulative H1 results but also Q2 standalone revenue and operating profit, first-half sales volumes by product and the company's explanation of confidence in the full-year forecast.

The Q1 earnings summary cited AI-related demand, higher sales volumes and the effects of selling-price revisions as factors behind the increases in revenue and profit, but did not disclose a monetary bridge by factor, regional revenue, orders received or order backlog. In FY2027-H1, it will be important to verify quantitatively not only whether the full-year forecast is maintained, but also whether AI-related demand represents a temporary increase in shipments, whether price revisions and higher volumes are continuing, and to what extent increases in raw materials, labor costs and research and development expenses have been absorbed.