Kyocera Raises Revenue Forecast to ¥2.12 Trillion After Operating Profit Grows 56.4%
Key Facts
Kyocera said on November 2 that operating profit rose 56.4% to ¥65,609 million in the six months ended September 30, 2026, as sales grew and demand increased for components related to data centers and networks. The company said demand for data-center and network infrastructure remained strong during the period. Sales revenue was ¥1,078,337 million, up 8.8% from ¥991,385 million in the same period of 2025. Profit before income taxes rose 36.9% to ¥93,020 million, while profit attributable to owners of the parent increased 32.2% to ¥73,430 million. The results put growth in components connected to AI infrastructure at the forefront of performance at a company with operations across multiple sectors.
The strongest growth came in the Core Components and Electronic Components segments, whose high-value products benefited from demand related to AI data centers, Kyocera said. Core Components revenue rose 19.7% to ¥368,173 million from the same period a year earlier. Electronic Components revenue increased 23.2% to ¥215,282 million. The company attributed profit growth mainly to sales of high-value products in the two segments. Higher revenue from existing core businesses in the Solutions segment also contributed to the increase in profit, according to its disclosure.
The improved results came despite Kyocera recording one-time costs of about ¥37.1 billion in the first half. These included an impairment of about ¥29.5 billion in goodwill and intangible assets in its gallium nitride device business, as well as a provision of about ¥7.6 billion related to energy products. The company said higher sales in existing core businesses in the Solutions segment supported profit alongside the performance of the component segments. Operating profit therefore increased with contributions from high-value products, while the results also absorbed those non-recurring costs. The disclosures here provide no further breakdown of the effect of each item on profit margin.
Kyocera raised its revenue forecast for the fiscal year ending March 31, 2027, to ¥2,120,000 million from ¥2,080,000 million in its previous forecast issued on July 30. The new forecast implies annual growth of 2.4%, according to the company’s estimates. It kept its operating-profit forecast at ¥160,000 million, representing expected annual growth of 35.4%. The company said it revised its revenue forecast after first-half performance exceeded its expectations. This highlights a divergence between the higher sales estimate and the unchanged operating-profit estimate.
Kyocera expects demand for AI components and semiconductors to remain strong in the three months ending December 31, 2026, and beyond. The outlook follows first-half revenue growth in the Core Components and Electronic Components segments, which include products the company linked to data-center demand. In prior results, the company posted operating profit of ¥49,101 million in the first quarter ended June 30, up 164.7% year over year, and revenue of ¥525,383 million, up 9.9%. For the fiscal year ended March 2026, operating profit was ¥118,138 million, compared with ¥27,299 million in the previous year, while revenue increased 2.8% to ¥2,070,203 million. The company has scheduled November 13 for its semiannual securities report, November 26 for its strategy meeting and December 7 for the start of dividend payments.
In the market, Kyocera shares closed at ¥3,430 on October 30, after closing at ¥3,572 in the previous session. Available closing data did not provide the stock’s high or low for the October 30 session. On the morning of November 2, the Nikkei 225 fell 0.1% to 63,218.02 points, giving up early gains as some major Japanese technology stocks declined. An Associated Press report linked the market’s moves to volatility in technology stocks and concerns that investment in AI could be a bubble. The report did not specify Kyocera’s share-price movement that day.