ESPEC hikes full-year order forecast on strong AI, satellite demand

ESPEC Corp. announced its financial results for the six months ended September 30, 2025, and provided an updated full-year forecast for FY2025. Orders received reached a record high, especially in AI semiconductors and satellite communications, leading to an upward revision in the full-year forecast for orders to 69,000 million yen, a 2.2% increase year-on-year. Net sales are projected to remain unchanged at 68,000 million yen, up 1.1% year-on-year.

Despite strong orders, first-half operating profit declined by 20.9% year-on-year to 2,607 million yen, primarily due to delayed net sales, a worsened cost-of-sales ratio, and a slowdown in laboratory testing services for the EV market. For the full year, operating profit is now forecasted at 7,600 million yen, a 1.0% increase year-on-year, reflecting a downward revision driven by laboratory testing services.

The company maintains its dividend forecast at 45 yen interim and 70 yen year-end, totaling 115 yen annually, with a payout ratio of 43.4%. ESPEC also plans a share repurchase of up to 900,000 shares (4.05% of outstanding shares) or 3.5 billion yen, as part of its shareholder return policy.