Kioxia forecasts 47-fold profit jump for April-June quarter

Japanese NAND flash memory manufacturer Kioxia Holdings projected on May 16 that its net profit for the April-June quarter will surge more than 47-fold year-over-year to 869 billion yen (about $5.47 billion), driven by rising demand for data centers and semiconductors. The company also announced that for the fiscal year ending in March, its net profit more than doubled from the previous year to 554.49 billion yen, setting a record high for the second consecutive year. In an online briefing, President and CEO Hiroo Ota stated that strong demand in the flash memory market will continue as AI becomes part of social infrastructure. He added that the company expects NAND demand to outpace supply until 2027. The projected net profit for the April-June quarter is more than double that of the preceding January-March quarter. Kioxia forecasts an operating profit of 1.3 trillion yen and revenue of 1.75 trillion yen for the quarter, based on an assumed exchange rate of 159 yen per U.S. dollar. Kioxia anticipates that its first-quarter results alone will significantly surpass its full-year performance for fiscal 2025. During the current fiscal year, the company plans to expand production capacity for its core products, launch next-generation products, and invest approximately 450 billion yen in capital expenditures to strengthen its production base.