ULVAC (6728) investor relations material

Executive summary

• Orders received reached record highs, rising 44.1% year-over-year to ¥236,185 million, driven by strong demand in semiconductor and rare earth-related industrial equipment.

• Gross profit margin improved to 32.0% in Q3, up 2.9 points sequentially, but operating profit and net income declined year-over-year due to one-time EV-related expenses and higher costs.

• Business and production reforms are progressing, with early results materializing and further improvements expected.

• The business environment was marked by robust semiconductor investment, especially in advanced logic and memory, but profits were pressured by market volatility.

Financial highlights

• Q3 orders received: ¥99.1 billion; nine-month orders: ¥236,185 million, up 44% year-over-year.

• Q3 net sales: ¥67.7 billion; nine-month net sales: ¥191,631 million, up 2.1% year-over-year.

• Q3 gross profit: ¥21.7 billion; nine-month gross profit: ¥58.0 billion, down 4% year-over-year.

• Q3 operating profit: ¥6.3 billion; nine-month operating profit: ¥14,719 million, down 29% year-over-year.

• Profit attributable to owners: ¥9,111 million for nine months, down 30.5% year-over-year; basic EPS: ¥185.17.

Outlook and guidance

• Full-year orders received forecast revised upward to ¥310.0 billion, a record high (+11% vs. previous forecast, +37% YoY).

• Full-year net sales forecast: ¥260,000 million (up 3.5% YoY); operating profit forecast: ¥19,000 million (down 28.4% YoY).

• Profit attributable to owners forecast: ¥18,500 million (up 10.9% YoY); basic EPS forecast: ¥375.97.

• Dividend forecast revised to ¥152 per share, maintaining a payout ratio of 40.4%.

• Early recovery in earnings expected from next fiscal year, supported by a strong order backlog in high-margin projects.