Tomen Devices raises full-year forecast and dividend on strong first half

Tomen Devices Corporation revised its full-year financial and dividend forecasts for FY2025. Consolidated net sales are now projected at 470,000 million yen (up 17.5% from 400,000 million yen) and net profit at 6,400 million yen (up 33.3% from 4,800 million yen). This revision is based on strong semi-annual results, where net sales reached 243,089 million yen (17.3% year-over-year increase) and net profit hit 4,779 million yen (18.8% year-over-year increase). The company's performance was boosted by tight supply and increased demand for memory products, particularly in generative AI-related applications, leading to higher market prices.

The upward revision reflects increased sales of memory products for server, storage, and automotive applications, as well as an improved profit margin due to sharply rising memory product prices. Operating profit grew by 36.4% to 8,167 million yen in H1 FY2025. The company also announced an increased year-end dividend of 300.00 yen per share, up from the previously forecast 260.00 yen, reflecting a consolidated payout ratio of 31.9%.

Strategic initiatives for H2 FY2025 include establishing a North American office to strengthen the automotive business and expanding into generative AI with new NPU products. These efforts aim to capitalize on increasing demand for electrification and AI-optimized solutions, further enhancing market presence and fostering business growth.