Rigaku Holdings Corporation

Business Details

Rigaku Holdings operates in a single segment: the manufacture and sale of scientific instruments. Centered on X-ray diffraction (XRD), X-ray fluorescence analysis (XRF), and X-ray imaging, the company has three business categories: multipurpose analytical instruments, semiconductor process control equipment, and parts and services. It provides products and services to customers in over 90 countries, including universities, research institutions, and semiconductor manufacturers, and holds a 76% share of the domestic XRD market (2024) and a 38% global share of semiconductor X-ray measurement equipment (2024).

Recent Overview

1Q revenue and operating profit declined sharply year on year but exceeded internal expectations

In the first quarter of FY2026 (ending December 2026), revenue was ¥17,933 million (down 13.0% year on year), operating profit was ¥630 million (down 77.8% year on year), and quarterly profit attributable to owners of parent was ¥329 million (down 82.8% year on year). The multipurpose analytical instruments business posted a 27.7% revenue decline due to the continued impact of Trump administration policy in the U.S., and the semiconductor process control equipment business also saw a 13.1% revenue decline, though it exceeded expectations by capturing memory and logic demand. The parts and services business posted a 13.2% revenue increase. The full-year earnings forecast (revenue of ¥101,000 million, operating profit of ¥19,400 million) remains unchanged, with growth acceleration expected from 2Q onward. The company carried out a cancellation of treasury shares (equivalent to ¥4,030 million).

Key Products

Growth Drivers

• Increased demand for DRAM and 3D NAND measurement driven by expanding semiconductor demand for AI and data centers
• Growth acceleration from 2Q onward in the semiconductor process control equipment business due to expanding demand for memory and logic and the front-loading of projects
• Global leadership position in the semiconductor X-ray measurement equipment market (38% market share) and further share expansion through new product launches
• Establishment of a stable supply system with production capacity doubled versus 2022 through expansion of the Yamanashi plant (completed May 2025)
• Rising demand for multipurpose analytical instruments for the semiconductor/electronic components sector and for Material Informatics/automated materials discovery
• Stock-type growth in service revenue from an expanding installed base accompanying growing product sales (the parts and services business posted revenue growth in 1Q)
• Active investment in overseas commercial infrastructure and recovery in demand for multipurpose analytical instruments in Europe, Japan, and Asia

Risks

• Continued impact of budget cuts to academia and government markets from Trump administration policy in the U.S. (the main cause of the 27.7% revenue decline in the multipurpose analytical instruments business)
• Risk of demand fluctuations in the Chinese market due to U.S.-China trade friction and tightening export controls
• Prolonged weakness in demand for EUV multilayer mirrors (customer inventory adjustment)
• Risk of higher crude oil prices and downside growth risk from escalating tensions in the Middle East, along with impact on cost increases and inventory securing
• Cost increase pressure and risk of margin decline from continued manufacturing capacity expansion and R&D investment (1Q SG&A expenses increased year on year)
• Profitability fluctuations from changes in product and regional mix in semiconductor process control equipment
• Impact on the global economy from geopolitical uncertainty (the prolonged Russia-Ukraine war, situation in the Middle East)