Kioxia Holdings Corporation (TSE: 285A), one of the world's leading NAND flash memory manufacturers, posted record consolidated results for the fiscal year ended March 31, 2026. Full-year revenue rose 37.0% year-on-year to ¥2,337.6 billion, while operating profit nearly doubled (+92.7%) to ¥870.4 billion and net profit attributable to owners of the parent climbed 103.6% to ¥554.5 billion. Basic EPS jumped to ¥1,024.07 from ¥519.96 a year earlier.
The operating margin widened to 37.2% from 26.5%, and ROE reached an exceptional 51.9%. Growth was powered primarily by a sharp rise in average selling prices and higher bit shipments, driven by relentless data-center demand tied to generative AI workloads. Non-GAAP operating profit reached ¥876.2 billion (+93.4%) and Non-GAAP net profit attributable to owners of the parent came in at ¥559.6 billion.
AI servers reshape the application mix
By application, the SSD & Storage business led the surge, with revenue rising to ¥1,362.6 billion (+¥371.5 billion YoY) on enterprise and hyperscaler SSD demand. The Smart Devices business — embedded memory for smartphones, tablets, automotive and industrial uses — grew to ¥760.0 billion (+¥258.8 billion). The Others business (SD cards, USB memory, and three-JV sales to the Sandisk group) was broadly flat at ¥215.0 billion.
Quarterly momentum accelerated sharply through the year: Q4 revenue reached ¥1,002.9 billion (+¥459.2 billion QoQ), with Q4 operating profit of ¥596.8 billion (+¥454.0 billion QoQ) and Q4 net profit of ¥407.7 billion. The average USD/JPY was ¥150 for the year (¥155 in Q4), versus ¥153 a year earlier.
Balance-sheet repair and a clean capital structure
Total assets expanded ¥770.4 billion to ¥3,690.1 billion, with trade receivables up ¥422.0 billion and cash up ¥302.8 billion. Equity attributable to owners of the parent grew to 37.9% of assets from 25.3% on retained-earnings accumulation. The standout financing event was the July 2025 capital restructuring: Kioxia redeemed all Class A and B non-convertible preferred stock (¥323.0 billion outflow), repaid ¥616.4 billion of long-term borrowings, and raised ¥535.6 billion in new long-term loans plus ¥326.7 billion via USD-denominated unsecured straight bonds.
Operating cash flow rose to ¥616.5 billion; investing cash outflow widened to ¥221.5 billion as the company spent ¥281.1 billion on capex (partly offset by ¥56.4 billion of government subsidies). Year-end cash stood at ¥470.7 billion.
Q1 guidance points to another step-up
For Q1 of the fiscal year ending March 2027 (April–June 2026), management guides revenue of ¥1,750.0 billion (+74.5% QoQ), Non-GAAP operating profit of ¥1,300.0 billion (+117.0%) and net profit attributable to owners of the parent of ¥869.0 billion (+113.1%), assuming USD/JPY of ¥159. Full-year FY27/3 guidance was withheld, reflecting the volatility of the memory cycle. No annual dividend was paid on common shares for FY26/3, and the FY27/3 forecast remains undecided.
Subsequent events include the April 2026 acquisition of shares in Nanya Technology Corporation for TWD 15,673 million (¥78,208 million), and the prepayment/cancellation of a ¥447.5 billion syndicated loan facility with the residual scheduled for full repayment on May 25, 2026.
| Metric | FY2026 | FY2025 | YoY |
|---|---|---|---|
| Revenue (¥ billion) | 2,337.6 | 1,706.5 | +37.0% |
| Operating profit (¥ billion) | 870.4 | 451.7 | +92.7% |
| Profit before tax (¥ billion) | 784.1 | 370.7 | +111.5% |
| Net profit attributable to owners (¥ billion) | 554.5 | 272.3 | +103.6% |
| Basic EPS (¥) | 1,024.07 | 519.96 | +97.0% |
| Operating margin | 37.2% | 26.5% | +10.7pp |
| ROE | 51.9% | 45.9% | +6.0pp |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.