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MinebeaMitsumi raises FY2027 net profit outlook on AI data center demand

MinebeaMitsumi raises FY2027 net profit outlook on AI data center demand

Record first-quarter revenue and operating profit driven by booming AI-related component demand prompted a modest earnings upgrade, though the revised net profit forecast still came in below analyst expectations.

Fact Check
All core elements of the claim are confirmed by multiple independent and authoritative sources. Nikkei Asia and WSJ (both primary business outlets) confirm Toyota raised its FY ending March 2027 net profit outlook (to ¥3.25 trillion) on a weak yen after strong quarterly results. The detailed BigGo summary and RTTNews corroborate the raised revenue outlook (¥54 trillion), the strong April-June quarter (net profit +75.6% to ¥1.48T, record revenue), and that operating/core earnings were pressured by China weakness, Middle East disruption, and the Kumamoto earthquake. The WSJ frames the Middle East factor as a 'smaller impact from the Iran war,' matching the claim's 'Middle East disruption.' No conflicting evidence found.
Summary

MinebeaMitsumi raised its consolidated net profit forecast under IFRS for the fiscal year ending March 2027 to ¥87 billion from ¥83 billion after record first-quarter revenue and operating profit, supported by fast-growing demand from AI data centers. The revised outlook still points to a 12.2% decline from the previous fiscal year and remains below the ¥88.3 billion average estimate compiled by IBES from 13 analysts. In the April-June 2026 quarter, revenue rose 16.3% year on year to ¥426.5 billion, operating profit jumped 50.9% to ¥26.3 billion, and net profit surged 95.6% to ¥21.3 billion. Nikkei said quarterly operating profit exceeded ¥26 billion, marking a first-quarter record high for the first time in five years. Demand expanded for bearings, cooling fans and other precision components used in servers and cooling systems as generative AI continues to drive construction of large-scale data centers. MinebeaMitsumi left its full-year revenue forecast unchanged at ¥1.69 trillion and its operating profit target at ¥120 billion, taking a cautious stance despite first-quarter operating profit reaching about 22% of the annual goal. The company cited steady progress toward its plan while holding off on a broader upgrade amid concerns over a global slowdown and geopolitical risks. It also raised its planned annual dividend to ¥60 per share from ¥50 and said it is targeting a consolidated payout ratio of around 30%, while redefining the "+1" area in its medium-term growth strategy from aircraft to aerospace.

Terms & Concepts
  • IFRS: International Financial Reporting Standards, a global set of accounting rules used for preparing company financial statements.
  • Operating profit: Profit generated from a company’s core business operations before interest, taxes and other non-operating items.
  • Payout ratio: The share of a company’s earnings returned to shareholders through dividends.