As the demand for AI and memory increases, HBM equipment supplier TOWA's order volume increased significantly last quarter (July-September). Its financial report for the first half of this year (April-September 2025) was better than expected. Today's stock price soared by the limit after hearing the news.
According to the quotation from Yahoo Finance, as of the morning closing of the Japanese stock market on the 10th (10:30 a.m. Taipei time), TOWA surged 23.82% (up 500 yen), temporarily closing at 2,599 yen, hitting the daily limit, setting a new high in more than a year (since August 19, 2024).
TOWA announced its financial report for the first half of this year (April-September 2025) after the Japanese stock market closed on the 7th: consolidated revenue fell 14.4% from the same period last year to 23.449 billion yen, consolidated operating income plummeted 52.6% to 2.493 billion yen, and consolidated net income plummeted 51.7% to 1.849 billion yen.
(Source:TOWA)
TOWA pointed out that due to the increase in the sales proportion of high value-added products and improvement in profits, operating income and net income from April to September were better than the company's original self-estimated 1.71 billion yen and 1.197 billion yen.
TOWA said that thanks to the increased demand for AI, data centers and memory, order volume in the last quarter (July-September) increased by 20% compared with the same period last year to 14.61 billion yen. TOWA's revenue last quarter increased 8.7% from the same period last year to 15.37 billion yen, and quarterly revenue hit the second highest record in history.
In terms of regional orders, TOWA's order volume from the Japanese market last quarter increased by 17.7% compared with the same period last year to 1.53 billion yen, Taiwan's order volume soared by 105.8% to 2.12 billion yen, and South Korea's order volume increased by 105.8% to 2.12 billion yen. National University increased by 33.7% to 1.27 billion yen, China increased by 12.6% to 5.90 billion yen, other Asia fell by 23.5% to 2.64 billion yen, and Europe and the United States soared by 505.3% to 1.15 billion yen.
TOWA maintains its financial forecast for this year (2025, April 2025-March 2026) unchanged. Consolidated revenue is expected to increase by 4.7% annually to 56 billion yen, consolidated operating income will increase by 10.4% to 9.8 billion yen, and consolidated net income will decrease by 15.5% annually to 6.86 billion yen.
A pre-existing survey conducted by QUICK, a financial intelligence service company, showed that the market originally expected TOWA's operating profit and net profit this year to be 8.76 billion yen and 6.2 billion yen. The value announced by TOWA was better than market expectations.
Nikkei reported on June 30 that due to the increased demand for advanced chips for generative AI, which has driven up the demand for equipment, TOWA President Miura Muneo said in an interview that "it is possible to build a third factory in South Korea." Miura Munao said that semiconductors are easily affected by market conditions, but "AI is the only active field, and South Korea is a place worth investing in."