Advantest First-Half Net Profit More Than Doubles to ¥368.1 Billion, Raises Full-Year Forecasts on AI Chip Testing Demand

Japanese chip-testing equipment maker Advantest more than doubled its first-half net profit and lifted its full-year revenue and profit forecasts on Wednesday, citing demand tied to artificial intelligence semiconductors, Investing.com reported. Net profit for the six months to September 30 rose about 117% to ¥368.1 billion (around US$2.33 billion), while revenue climbed 60.5% to ¥845.2 billion.

Operating profit for the half-year reached ¥456.8 billion, up 96.5% from ¥232.4 billion a year earlier, according to the company’s figures as carried by Investing.com and German financial news site ad-hoc-news. Revenue in the same period a year earlier was ¥526.7 billion, and net profit was ¥169.8 billion.

AI chip testing drives the surge

Advantest attributed the growth to higher production volumes and the increasing complexity of AI-related semiconductors, which raise the need for testing, the reports said. Investing.com added that greater data centre investment and a weaker yen also supported the results.

Profit was also lifted by items outside operations. Ad-hoc-news reported that financial income included ¥54.2 billion in valuation gains on strategic investments, and that Advantest bought back ¥105.9 billion of its own shares during the half.

Full-year forecasts raised

For the fiscal year ending March 2027, Advantest now expects revenue of ¥1,863.0 billion, up from its earlier forecast of ¥1,714.0 billion. Its operating profit forecast was raised to ¥967.0 billion from ¥846.0 billion, and its net profit forecast to ¥741.5 billion from ¥660.0 billion.

The company expects the semiconductor market to grow strongly in 2026 on the back of AI, and sees the market for chip testers reaching a record high as inference AI expands, Investing.com reported. Advantest said the direct impact of Middle East tensions on its earnings should remain limited, although logistics costs have risen.

Chip stocks helped Tokyo’s market on the day. The Nikkei closed up 685.82 points at 63,954.19, with Advantest and Tokyo Electron together contributing about 440 points of the gain, according to a Japanese market roundup citing Kabutan.

What’s next

Advantest said it will accelerate the expansion of its production capacity, as demand for memory and other components is outstripping supply, according to ad-hoc-news. The company has scheduled a fireside chat with investors on November 12 and plans to file its semi-annual securities report on November 13.

#businessnews

Samsung, SK hynix Shares Sink Toward Crisis-Era Valuations Days Before Expected Record Q3 Profits