Meiko Electronics (6787) Q2 2027 earnings summary

Executive summary

• H1 FY27 net sales rose 48.7% YoY to ¥165,751 million; operating profit increased 53.2% to ¥17,494 million, and profit attributable to owners of parent rose 16.7% to ¥10,962 million.

• Growth spanned product segments, led by satellite-related products; higher raw-material procurement costs from supply shortages were partly addressed through selling-price revisions.

Financial highlights

• H1 ordinary profit was ¥14,267 million, up 25.6% YoY; basic EPS was ¥213.54 on a two-for-one stock-split basis.

• H1 PCB sales increased 47.5% YoY to ¥135.4 billion; operating income rose 59.0% to ¥15.9 billion.

• H1 electronic equipment sales rose 54.3% YoY to ¥30.4 billion; operating income increased 14.3% to ¥1.6 billion.

• H1 operating margin was 10.6%, versus 10.2% in H1 FY2025.

Outlook and guidance

• Revised FY27 forecasts: net sales ¥380,000 million, operating profit ¥48,000 million, ordinary profit ¥45,000 million and profit attributable to owners of parent ¥34,000 million.

• FY27 forecast growth: net sales 58.0%, operating profit 95.3%, ordinary profit 69.9% and profit attributable to owners of parent 71.9%; forecast EPS is ¥662.31 after the split.

• FY27 H2 forecast: net sales ¥214.2 billion and operating income ¥30.5 billion.

• FY2028 targets: net sales ¥660 billion, operating income ¥100 billion and a 15.2% operating margin; FY2025–FY2028 sales and operating-income CAGRs are 40.0% and 59.6%.

• Satellite communications, AI servers, optical transceivers, smartphones and semiconductor packages/modules are expected to drive growth; automotive and industrial-related products are expected to grow moderately.