KITZ raised its full-year forecasts in its results for the second quarter of the fiscal year ending December 2026. Sales for semiconductor equipment were expanded to ¥38.5 billion, while the acquisition of V TEC established the vacuum-valve business as the world’s No. 2 player.
In its results for the second quarter of the fiscal year ending December 2026, announced on 7 August, KITZ reported revenue of ¥98.232 billion, up 13.7% year on year, and operating profit of ¥8.143 billion, up 2.6%, achieving growth in both revenue and profit. The company said the semiconductor equipment business made a significant contribution and that its position in the global market had changed substantially following the consolidation of V TEC as a subsidiary.
Overall, revenue and profit increased for the six-month period, although profit margins declined. In particular, the valve business faced higher costs and selling, general and administrative expenses increased, resulting in a 4.9% year-on-year decline in operating profit. Of the ¥7.0 billion increase in valve-business revenue, approximately ¥2.0 billion was attributable to foreign exchange effects, and the company said the overall foreign exchange impact was only slightly negative.
The Semiconductor Business Unit posted first-half revenue of ¥17.0 billion, operating profit of ¥2.6 billion and an operating margin of 15%, standing out against the company-wide margin of 8.3%. Core markets remained solid, while growth markets expanded significantly. Sales for semiconductor equipment rose 27.0% year on year to ¥14.0 billion, making it the second-largest market after building equipment.
The full-year forecasts were revised upward to revenue of ¥210.0 billion and operating profit of ¥18.0 billion. Sales for semiconductor equipment were raised by ¥12.0 billion from the previous forecast to ¥38.5 billion, reflecting a significant expected contribution in the second half. By contrast, the forecast for petrochemicals was cut by ¥2.0 billion, and other markets were also reviewed cautiously. The acquisition of V TEC resulted in higher goodwill and interest-bearing debt and a lower equity ratio, but the company said it would maintain its financial soundness target of 60%.
Note: The annual dividend was raised to ¥62, including an increase in the year-end allocation. The company also undertook social contribution activities, including dispatching Aqua Rescue emergency water-supply units in response to the Kumamoto earthquake.