Taiyo Yuden (6976) investor relations material

Executive summary

• Net sales for FYE Mar 31, 2026 rose 4.1% YoY to ¥355,341 million, driven by strong demand in automotive, AI servers, and IT infrastructure/industrial equipment markets.

• Operating profit surged 91.2% YoY to ¥19,996 million, supported by higher capacity utilization, slower price declines, and foreign exchange gains.

• Profit attributable to owners jumped 535.9% YoY to ¥14,806 million, despite impairment losses and restructuring expenses.

• Comprehensive income reached ¥36,464 million, up from ¥218 million the previous year.

• Capacitor and inductor sales increased, while communication device sales declined due to weak demand and structural reforms.

Financial highlights

• Net sales: ¥355,341 million (+4.1% YoY); Operating profit: ¥19,996 million (+91.2% YoY); Operating margin: 5.6%.

• Ordinary profit: ¥24,129 million (+129.4% YoY); Profit attributable to owners: ¥14,806 million (+535.9% YoY).

• Gross profit margin improved to 23.1% from 21.0% YoY; gross profit rose to ¥81,928 million.

• Free cash flow turned positive at ¥32,421 million; cash and cash equivalents at year-end totaled ¥98,073 million, up ¥30,529 million.

• Basic earnings per share rose to 118.49 yen from 18.67 yen YoY.

Outlook and guidance

• For FYE Mar 31, 2027, net sales are forecast at ¥384,000 million (+8.1% YoY), operating profit at ¥30,000 million (+50% YoY), and profit attributable to owners at ¥18,000 million (+21.6% YoY).

• Ordinary profit forecast at ¥27,000 million (+11.9% YoY).

• Capacitor sales expected to rise 12% YoY, mainly for AI servers and automotive.

• Dividend per share forecast maintained at ¥90, with payout ratio guidance between 62.5% and 76.0%.

• Demand expected to grow in automotive and IT infrastructure, but risks include rising resource and material costs.