Murata lifts FY outlook on AI-driven surge

Murata Manufacturing (6981.T) raised its full-year outlook after a sharp rise in first-half earnings driven by demand for components used in data-center and AI-related applications. The company now forecasts net sales of JPY 2.26 trillion for the fiscal year ending March 31, 2027, an operating profit of JPY 520 billion and profit attributable to owners of JPY 396 billion. Management cited higher production volumes and an improved product mix as key factors behind the guidance increase.

For the six months ended September 30, 2026, Murata’s net sales rose 20.8% year on year to JPY 1.09 trillion. Operating profit jumped 48.9% to about JPY 245.9 billion, while profit attributable to owners climbed 40.6% to about JPY 186.2 billion. The company reported second-quarter revenue of JPY 588.50 billion, operating profit of JPY 147.45 billion and profit attributable of JPY 104.78 billion, underscoring momentum into the current half.

Murata linked its stronger performance and upgraded outlook to expanding demand from data centers and other AI-related infrastructure. Sales of capacitors, including multilayer ceramic capacitors, increased 33.1% in the first half to JPY 605.58 billion, supported by orders from data centers, distributors and mobility applications. Revenue from computer-related applications surged 61.2% to JPY 235.11 billion, reflecting robust uptake in information technology uses.

The company also emphasized that higher volumes and an enhanced product mix contributed to earnings growth. Across the business, the combination of AI-related data-center demand and broader electronics applications provided the backdrop for higher profitability in the period and underpinned the decision to raise full-year forecasts.

Murata increased its capital expenditure forecast for the current fiscal year to JPY 270 billion from JPY 255 billion as it invests to expand production capacity. Separately, it outlined strategic capital investments totaling JPY 1 trillion between 2026 and 2030 to expand global multilayer ceramic capacitor production, with a target of doubling sales by 2030. These spending plans are designed to align capacity with anticipated demand from AI infrastructure and other electronic applications.

In addition to growth investments, Murata set its interim dividend at JPY 35 per share, up from JPY 30 a year earlier, and maintained its full-year dividend forecast at JPY 70 per share compared with JPY 65 in the previous fiscal year. This signals an intention to return more cash to shareholders while funding capacity expansion.

Murata’s shares showed mixed moves around the announcement. The stock traded at EUR 36.05 at Lang & Schwarz at 09:12:17 Berlin time on October 30, 2026. Earlier, the share price fell 9.52% in Tokyo amid a broader sell-off in Japanese technology names, as the Nikkei 225 declined by as much as 3% and semiconductor-related stocks were among the steepest fallers.