Fiscal Year Ending March 2026 Financial Summary〔IFRS〕(Consolidated)

Overview of Business Results

Consolidated revenue for the fiscal year ending March 2026 reached JPY 1,830,856 million (5.0% YoY increase), supported by expanding demand related to AI and increased sales of multilayer ceramic capacitors for data centers. Operating income was JPY 281,835 million (0.8% YoY increase), and net income attributable to owners of parent was JPY 233,920 million (flat YoY). Despite price reductions on products and impairment losses on goodwill, increased production volume driving operational leverage and cost reductions contributed to profit growth. After-tax ROIC was 9.7%, a decrease of 0.3 points from the previous year.

Segment Performance

The Components segment performed strongly, increasing 12.3% YoY to JPY 1,159,734 million, with multilayer ceramic capacitors growing mainly for servers. Conversely, the Devices and Modules segment declined 5.9% to JPY 655,966 million, impacted by decreases in high-frequency and communication fields. By application, computer-related usage expanded significantly by 28.4%, and mobility applications grew by 4.8%.

Financial Position and Cash Flows

Total assets increased 5.6% YoY to JPY 3,199,099 million, total liabilities also increased to JPY 481,289 million, and total equity rose 5.3% YoY to JPY 2,717,810 million. Cash inflows from operating activities amounted to JPY 425,222 million, while cash outflows from investing activities were JPY 193,814 million, and cash outflows from financing activities totaled JPY 221,812 million.

Next Fiscal Year Earnings Forecast and Dividend Policy

For the fiscal year ending March 2027, consolidated earnings forecasts include revenue of JPY 1,960,000 million (7.1% increase from current period), operating income of JPY 380,000 million (34.8% increase), and net income attributable to owners of parent of JPY 293,000 million (25.3% increase). The annual dividend is planned to be JPY 70 (interim JPY 35, year-end JPY 35), targeting a DOE of 5%. Additionally, the company plans to implement share buybacks of up to 75 million shares with a cap of JPY 150 billion, followed by cancellation to improve capital efficiency.

Management Policy and Mid-to-Long-Term Strategy

Murata Manufacturing positions itself as an 'Innovator in Electronics,' pursuing Vision 2030 aimed at creating a virtuous cycle of social and economic value. The company promotes deepening its core businesses and evolving its business models through four management transformations: fostering social and economic value cycles, autonomous decentralized organization management, adaptive management to changes, and accelerating digital transformation. The Mid-Term Plan 2027 emphasizes AI-driven growth, sustainable business processes, and strengthening human and organizational capabilities, aiming for an after-tax ROIC of over 12%.