Tekscend Photomask (429A) investor relations material

Executive summary

• Q2 revenue rose 19.7% YoY to ¥37,944M and operating profit increased 33.0% to ¥9,339M, supported by advanced-node demand and product mix.

• H1 FY2027 revenue increased 17.3% to ¥72,462M and operating profit rose 29.5% to ¥16,699M; H1 progress was on track against forecasts.

• H1 profit attributable to owners fell 2.4% to ¥12,053M as income taxes increased; Q2 profit attributable to owners declined 1.8% YoY, reflecting lower fair value of financial assets.

Financial highlights

• H1 gross profit was ¥25,338M versus ¥20,900M; operating profit was ¥16,699M versus ¥12,896M, and profit before tax was ¥16,884M versus ¥15,429M.

• Q2 gross profit was ¥13,873M and gross margin 36.6%, up 3.4 percentage points QoQ; operating margin was 24.6%, up 2.4 points YoY.

• Q2 EBITDA was ¥14,231M with a 37.5% margin; H1 EBITDA was ¥26,460M with a 36.5% margin.

• Total comprehensive income was ¥9,210M versus ¥14,698M, including negative ¥2,867M in foreign currency translation adjustments.

Outlook and guidance

• FY2027 forecast unchanged: revenue ¥140,100M, operating profit ¥29,800M, profit before tax ¥31,200M and profit attributable to owners ¥23,700M.

• FY2027 forecast EPS is ¥238.53; profit attributable to owners is forecast to decline 5.0% YoY.

• Full-year dividend forecast remains ¥70 per share, comprising ¥35 for H1 and ¥35 at year-end; forecast payout ratio is ~30%.

• H1 advanced-product sales and cost reductions offset Q1 order challenges from major customers; forecast drivers include advanced-node mix and cost management.