Yamaichi Electronics (6941) Q1 2025 earnings summary

Executive summary

• Record Q1 sales of ¥15,117 million (+71.5% YoY), operating income of ¥4,179 million (+599.0%) and profit attributable to owners of parent of ¥3,182 million (+816.8%), supported by semiconductor demand and expanded production capacity.

• Strong smartphone and automotive semiconductor demand, including test sockets, and production capacity at new facilities in Japan and the Philippines supported growth.

Financial highlights

• Ordinary income was ¥4,487 million, up 592.0% YoY.

• Net sales increased ¥6.3bn YoY to ¥15.1bn; operating income increased ¥3.5bn to ¥4.1bn.

• Q1 net profit per share was ¥155.66, versus ¥16.76 a year earlier.

Outlook and guidance

• FY2024 forecast revised to net sales ¥48.7bn, operating income ¥8.8bn, ordinary income ¥8.6bn and net profit ¥6.0bn, from ¥46.0bn, ¥7.5bn, ¥7.2bn and ¥5.0bn, respectively.

• Current 1H FY2024 forecast is net sales ¥27.0bn and operating income ¥6.0bn, versus initial forecasts of ¥24.3bn and ¥4.7bn.

• TS expects strong test sockets in 1H, slower NAND and PC/server socket recovery, and 2H focused mainly on new product development for FY2025; CS expects strength in automotive and data-center communications, with European industrial inventory adjustments a risk.

• FY2024 dividend forecast raised to ¥89/share, comprising ¥35 interim and ¥54 year-end; medium-term payout-ratio target is 30%.