AI chips drive tester demand
ADVANTEST CORPORATION (TSE: 6857) reported consolidated IFRS results for the first half of FY3/2027, April 1 to September 30, 2026, on October 28, 2026. Rising output and growing complexity of AI-related high-performance chips, including advanced packaging, kept customers investing in testers, and Advantest worked across its supply chain to add capacity. The Test System segment grew revenue 61.2% to ¥770,231 million and segment profit 89.4% to ¥455,564 million: SoC tester sales rose on AI chip volumes, while memory tester sales grew for DRAM on data-center investment and for non-volatile memory. Services, Support & Others grew revenue 53.7% to ¥74,969 million on a larger installed base and interface-board consumables, and its profit rose to ¥20,866 million from ¥3,048 million. The dollar averaged ¥160 against ¥146 and the euro ¥185 against ¥166; overseas sales were 99.4% of the total.
Balance sheet grows by half
Financial income of about ¥57 billion, mainly valuation gains on investment securities, took pre-tax profit above operating profit. Total assets rose 47.8% to ¥1,732,080 million, with investment securities up ¥364.7 billion and inventories up ¥120.7 billion; the owners' equity ratio slipped to 66.1% from 67.9%. Operating cash flow was ¥307.0 billion against ¥139.9 billion. In financing, Advantest bought back ¥105.9 billion of its own shares and raised ¥100.0 billion through convertible bonds. Basic earnings per share were ¥508.99 against ¥232.19.
Forecast and interim dividend raised
Expecting the semiconductor tester market to reach a record size in calendar 2026 on inference-AI demand, Advantest raised its FY3/2027 forecast from the July figures: revenue to ¥1,863,000 million (+65.1%) from ¥1,714,000 million, operating profit to ¥967,000 million (+93.7%) from ¥846,000 million, pre-tax profit to ¥1,021,500 million from ¥891,000 million and profit to ¥741,500 million from ¥660,000 million, for earnings per share of ¥1,027.08, assuming ¥150 to the dollar and ¥170 to the euro for the second half. It says demand for key components such as memory chips still exceeds supply and it will speed up capacity expansion. The interim dividend was raised to ¥49 from ¥29; the year-end dividend has not been set.
| Metric | H1 FY3/2027 | H1 FY3/2026 | Change |
|---|---|---|---|
| Revenue (¥ million) | 845,200 | 526,733 | +60.5% |
| Operating profit (¥ million) | 456,809 | 232,435 | +96.5% |
| Operating margin | 54.0% | 44.1% | +9.9 pt |
| Pre-tax profit (¥ million) | 510,234 | 230,517 | +121.3% |
| Net profit attrib. to owners of parent (¥ million) | 368,083 | 169,813 | +116.8% |
| Comprehensive income (¥ million) | 466,662 | 185,969 | +150.9% |
| EPS (¥) | 508.99 | 232.19 | +119.2% |
| Test System — revenue (¥ million) | 770,231 | 477,957 | +61.2% |
| Test System — segment profit (¥ million) | 455,564 | 240,556 | +89.4% |
| Services, Support & Others — revenue (¥ million) | 74,969 | 48,776 | +53.7% |
| Services, Support & Others — segment profit (¥ million) | 20,866 | 3,048 | +584.6% |
| Total assets (¥ million) | 1,732,080 | 1,171,816 | +47.8% |
| Equity attrib. to owners of parent (¥ million) | 1,145,135 | 795,726 | +43.9% |
| Equity ratio | 66.1% | 67.9% | -1.8 pt |
| FY3/2027 guidance — revenue (¥ million) | 1,863,000 | — | +65.1% |
| FY3/2027 guidance — operating profit (¥ million) | 967,000 | — | +93.7% |
| FY3/2027 guidance — pre-tax profit (¥ million) | 1,021,500 | — | +97.7% |
| FY3/2027 guidance — net profit (¥ million) | 741,500 | — | +97.5% |
| FY3/2027 guidance — EPS (¥) | 1,027.08 | — | — |
| Interim dividend per share (¥) | 49.00 | 29.00 | +69.0% |
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.