Panasonic Raises Adjusted Operating Profit Forecast to ¥780 Billion for Fiscal 2027
Key Facts
Panasonic Holdings raised its adjusted operating profit forecast for the fiscal year ending March 31, 2027, to ¥780 billion from ¥650 billion previously, and lifted its operating profit forecast to ¥710 billion from ¥590 billion. The revision came as first-half results grew strongly, with sales of ¥4.093 trillion in the six months ended September 30, 2026. Operating profit for the period rose to ¥363.229 billion, while net profit attributable to the company's shareholders was ¥276.953 billion. The company said second-quarter profit rose across all segments to a record for the quarter, extending momentum that began in the first quarter. The official disclosure presents results for the six months, while the record description refers to second-quarter profit across segments, not standalone second-quarter net profit.
Net profit attributable to shareholders surged 94.5% year on year, from ¥142.404 billion in the first half of the previous fiscal year to ¥276.953 billion in the current period. This coincided with a 7.1% rise in sales and a 120.1% increase in operating profit, according to the company's first-half figures. Panasonic attributed improved earnings across its segments to sales growth, restructuring and rationalization measures, and pricing, with notable contributions from its Energy and Industry units. The company said growth in businesses related to AI infrastructure accelerated on stronger-than-expected data-center demand. Industry benefited from sales of capacitors and materials for multilayer circuit boards, while demand for energy storage systems for data centers supported Energy.
Energy unit operating profit in the second quarter was ¥55.6 billion, compared with ¥1.2 billion in the same period a year earlier, according to Reuters. The improvement came with sales of electric vehicle batteries in North America and energy storage systems for data centers. Panasonic raised the unit's annual profit forecast for the year ending March 2027 by 16% to ¥198 billion from ¥171 billion. In Industry, sales of AI-related businesses reached ¥88.6 billion in the second quarter, 1.6 times their level a year earlier. The company raised its fiscal 2027 sales forecast for these businesses to ¥360 billion.
Reuters said AI-related demand exceeded management's expectations, but the annual forecast increase was also based on other factors. These included price adjustments, favorable exchange rates, the absence of the impact of U.S. tariffs seen a year earlier, and higher sales in Industry's AI-related businesses. These factors point to contributions from more than one activity to the revision, alongside the notable improvement in the Energy unit. Performance was not uniform across all businesses: Panasonic said overseas sales in Smart Life of large home appliances and audiovisual products declined. This included weak demand for large appliances in China and lower audiovisual product sales in Europe, despite stable sales of some small appliances in Japan.
Panasonic also raised its forecast for sales of its AI infrastructure-related businesses for fiscal 2029 to ¥1.6 trillion, saying the estimate reflects stronger-than-expected growth. It cited growing demand from Chinese customers and expansion into edge applications, including driver-assistance systems and robotics. In its growth plan announced in May 2026, the company targeted adjusted operating profit of at least ¥750 billion in fiscal 2029, driven by businesses supporting AI infrastructure. After raising its fiscal 2027 forecast by ¥130 billion to ¥780 billion, it said it aims to reach its 2029 target two years ahead of schedule. This puts the new adjusted annual forecast above the minimum target announced for that year.
The company announced an expected annual dividend of ¥70 per share for fiscal 2027, compared with ¥40 per share in fiscal 2026. It set November 11, 2026, as the scheduled date for filing its half-year report, and November 30, 2026, as the dividend payment date. In the stock market, PCRFF closed at $23.75 on October 30, 2026, according to EL7 data. These figures connect the results announcement with the report and dividend dates announced for shareholders, while operational performance details are set out in the first-half disclosure. The scheduled half-year report filing is the first dated milestone following the forecast announcement.