Kokusai Electric Corporation

Morgan Stanley Capital International announced on the 12th its regular review of Standard Index constituents. Among Japanese stocks, Kokusai Electric will be added as a new constituent. Meanwhile, JFE Holdings and Seibu Holdings will be removed. The changes will be reflected based on closing prices on the 31st.

Semiconductor manufacturing equipment maker Kokusai Electric has raised its consolidated net profit forecast for the fiscal year ending March 2027 to 55.5 billion yen, up 84.4 percent from the previous year, from the previous forecast of 38.8 billion yen. The upgrade reflects a sharp increase in capital investment by semiconductor manufacturers driven by expanding demand for generative AI semiconductors, with semiconductor equipment sales now expected to significantly exceed initial projections. The new forecast also surpasses the average analyst estimate of 48.6 billion yen. Revenue is projected to rise 44.6 percent to 340 billion yen, and the annual dividend forecast has been raised to 65 yen per share from 47 yen. For the first quarter, net profit rose 70.6 percent to 11.5 billion yen, while revenue increased 45.6 percent to 75.4 billion yen.