Ibiden (4062) Q1 2027 earnings summary

Executive summary

• Q1 FY2026 net sales rose 26.4% year-over-year to JPY 123.2 billion, with electronics contributing JPY 75.5 billion and strong demand for GPUs and high-end CPUs driving sales above initial plans.

• Ceramics segment experienced a temporary order increase for DPFs, but the automotive sector outlook remains unpredictable.

• Full-year earnings forecast revised upward due to robust electronics demand and pricing, while ceramics is expected to see a decline in the second half.

• Comprehensive income decreased 8.8% year-over-year to JPY 19,190 million.

Financial highlights

• Q1 operating profit was JPY 26.9 billion, with electronics at JPY 21.4 billion; gross profit increased by JPY 9,801 million year-over-year to JPY 44,873 million.

• First half revenue forecast raised to JPY 253.5 billion (+10%), operating profit to JPY 54.5 billion (+43%), and net profit to JPY 34 billion (+48%).

• Full year revenue forecast increased to JPY 550 billion (+10%), operating profit to JPY 127 billion (+41%), and net profit to JPY 84 billion.

• Operating margin expectation raised from 18% to 23% for the full year.

• Basic earnings per share for Q1 were JPY 64.14, reflecting a stock split.

Outlook and guidance

• Strong demand for AI servers, switching ICs, and general-purpose servers expected to continue, supporting high capacity utilization and strong pricing.

• High selling prices and plant utilization rates anticipated to persist in the second half.

• Ceramics segment forecasted to decline in sales and profit in the second half of FY26.

• Other segments are expected to see higher sales and profit in the second half.