SCREEN Holdings (7735) Q4 2026 Q&A earnings summary

Executive summary

• Net sales for FY2026/03 were ¥605.7 billion, down 3.1% year-over-year, with operating income at ¥122.5 billion, down 9.7%, and profit attributable to owners at ¥92.0 billion, down 7.5%.

• Despite a moderate global recovery, uncertainty persists due to U.S. trade policies and geopolitical risks, especially in China and the Middle East.

• The semiconductor industry saw continued investment in advanced logic and memory, while FPD market demand improved.

• Fiscal year-end dividend was raised to ¥170 per share, reflecting a strong commitment to shareholder returns.

Financial highlights

• Gross profit for FY2026 was ¥233.2 billion, with a gross margin of 38.5%.

• Total assets increased 7.6% to ¥722.4 billion, and net assets rose 15.7% to ¥486.6 billion.

• Equity ratio improved to 67.4%, with net assets reaching ¥486.6 billion.

• Operating cash flow for the year was ¥92.7 billion, with free cash flow at ¥62.9 billion.

• R&D expenses increased to ¥37.7 billion, and CAPEX was ¥27.7 billion.

Outlook and guidance

• FY2027/03 forecast: net sales of ¥725.0 billion (+19.7%), operating income of ¥150.0 billion (+22.4%), and profit attributable to owners ¥110.0 billion (+19.6%).

• All segments are expected to achieve steady growth, with significant increases in SPE and FT segments.

• Dividend forecast for FY2027/03 is ¥175 per share (post-split basis), with a targeted payout ratio of 30% or above.

• Growth investments will continue, with record-high R&D and CAPEX planned.