GL Techno Holdings revised up its earnings forecast for the fiscal year ending March 2027. Improving order conditions in the semiconductor business are expected to push revenue and all profit measures above the previous forecast.
GL Techno Holdings raised its consolidated earnings forecast for the fiscal year ending March 2027. It expects revenue of ¥53.290 billion, operating profit of ¥8.220 billion, ordinary profit of ¥8.150 billion, and net income attributable to owners of the parent of ¥5.790 billion. All figures are above the previous forecast.
The main reason for the upward revision is the favorable order environment in the semiconductor business, with the order backlog remaining high, which is expected to support revenue. Meanwhile, higher costs, including depreciation associated with new investment in the semiconductor business, could weigh on operating profit. Sales of consumables for the analytical instruments business in the environmental sector are also expected to provide support.
As part of its shareholder return policy, the company indicated that it would target a payout ratio of approximately 30%. It will continue considering its year-end dividend forecast in light of the formulation of its next medium-term plan. The revised forecast implies strong growth from the previous fiscal year's results, with revenue up 12.9% and operating profit up 15.6%. The company is expected to grow profit while absorbing the depreciation burden associated with new investment in the semiconductor business.
Attention is also likely to focus on the contents of the next medium-term plan.