Nippon Chuzo K. K. Raises FY2027 Earnings Forecast 30%+ on Chip Equipment Demand
Nippon Chuzo K. K. (TSE:5609) has raised its earnings and dividend guidance for the fiscal year ending March 2027, citing stronger-than-expected orders for cast steel products serving semiconductor manufacturing equipment makers.
| Item | Before | After | Change | Change % |
|---|---|---|---|---|
| Revenue | 14.0bn | 14.5bn | 0.5bn | 3.6% |
| Operating Profit | 0.6bn | 0.78bn | 0.18bn | 30.0% |
| Ordinary Income | 0.55bn | 0.73bn | 0.18bn | 32.7% |
| Net Profit | 0.36bn | 0.48bn | 0.12bn | 33.3% |
| EPS | 74.67 | 99.56 | 24.89 | 33.3% |
| Year-end Dividend | 25.00 | 30.00 | 5.00 | 20.0% |
The company attributed the revision to three factors: robust order intake for semiconductor equipment castings exceeding initial projections, finalized pricing adjustments following negotiations to offset material cost inflation, and higher subcontracting expenses tied to increased production volumes. The company noted that earnings accretion will materialize primarily in the second half of the fiscal year. Impact from the Kawasaki plant warehouse fire remains limited, the company said.
The revision underscores resilience in semiconductor capital equipment demand amid AI infrastructure buildout. The 33% net profit increase and 20% year-end dividend raise to JPY 30.00/share signal management confidence in sustained order momentum. However, investors should monitor material cost trends and pricing power sustainability, as the forecast assumes successful implementation of negotiated price increases across the full year.
Source: Original filing (TDnet) | 日本語版
This article is for informational purposes only and does not constitute investment advice. Always verify against the original filing.