AI demand lifts components; GaN written down
Kyocera Corporation (TSE: 6971) reported consolidated results for the first half of FY3/2027, April 1 to September 30, 2026, on November 2, 2026 under IFRS. Core Components revenue rose 19.7% to ¥368,173 million and business profit 68.1% to ¥50,473 million, lifting its margin to 13.7% from 9.8%, on high-value semiconductor packages for AI data centres and fine-ceramic parts for chip-making equipment. Electronic Components revenue rose 23.2% to ¥215,282 million on small high-capacitance MLCCs and tantalum capacitors, and its profit climbed to ¥19,598 million from ¥17 million, also helped by first-quarter property gains. Solutions revenue fell 2.9% to ¥503,784 million after the January 2026 sale of a U.S. cutting-tool subsidiary, but its profit rose 50.9% to ¥56,999 million. Against that, Kyocera booked an impairment of goodwill and intangible assets of about ¥29.5 billion in its gallium nitride (GaN) device business and a provision of about ¥7.6 billion related to energy products.
Profit forecast kept as chemical sale gain looms
Profit before tax rose 36.9% to ¥93,020 million and attributable profit 32.2% to ¥73,430 million, or ¥56.73 per share; a weaker yen, averaging ¥159 to the dollar, added about ¥63 billion to revenue and ¥12 billion to pre-tax profit. Kyocera raised its FY3/2027 revenue forecast to ¥2,120,000 million from ¥2,080,000 million on continued AI and semiconductor demand, and kept operating profit at ¥160,000 million, profit before tax at ¥200,000 million and net profit at ¥160,000 million, expecting strong business growth and a gain on the sale of its chemical business, disclosed as a subsequent event, to cover the first-half losses. The annual dividend forecast is unchanged at ¥56 (¥28 interim, ¥28 year-end), up from ¥52.
| Metric | H1 FY3/2027 | H1 FY3/2026 | Change |
|---|---|---|---|
| Revenue (¥ million) | 1,078,337 | 991,385 | +8.8% |
| Operating profit (¥ million) | 65,609 | 41,945 | +56.4% |
| Pre-tax profit (¥ million) | 93,020 | 67,950 | +36.9% |
| Net profit attrib. to owners of parent (¥ million) | 73,430 | 55,540 | +32.2% |
| Comprehensive income (¥ million) | 141,093 | 96,603 | +46.1% |
| EPS (¥) | 56.73 | 39.61 | +43.2% |
| Core Components — revenue (¥ million) | 368,173 | 307,658 | +19.7% |
| Core Components — segment profit (¥ million) | 50,473 | 30,020 | +68.1% |
| Electronic Components — revenue (¥ million) | 215,282 | 174,709 | +23.2% |
| Electronic Components — segment profit (¥ million) | 19,598 | 17 | n.m. |
| Solutions — revenue (¥ million) | 503,784 | 519,021 | -2.9% |
| Solutions — segment profit (¥ million) | 56,999 | 37,762 | +50.9% |
| Total assets (¥ million) | 4,597,397 | 4,646,314 | -1.1% |
| Equity attrib. to owners of parent (¥ million) | 3,265,364 | 3,339,431 | -2.2% |
| Equity ratio | 71.1% | 71.9% | -0.8 pt |
| FY3/2027 guidance — revenue (¥ million) | 2,120,000 | — | +2.4% |
| FY3/2027 guidance — operating profit (¥ million) | 160,000 | — | +35.4% |
| FY3/2027 guidance — pre-tax profit (¥ million) | 200,000 | — | +18.3% |
| FY3/2027 guidance — net profit (¥ million) | 160,000 | — | +13.5% |
| Annual dividend per share (¥) | 56.00 | 52.00 | +7.7% |
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.