IBIDEN CO.,LTD.
4062・Prime Market・Electric Appliances
Electronics Business
IBIDEN's core business manufacturing and selling High-Performance IC Package Substrates
| Period | Current | Previous | Change |
|---|---|---|---|
| Net Sales | ¥243,316 million | ¥197,223 million | ↑ |
| Operating Income (Segment Profit) | ¥45,248 million | ¥26,847 million | ↑ |
| Segment Assets | ¥442,319 million | ¥443,847 million | — |
| Depreciation and Amortization | ¥55,202 million | ¥44,298 million | ↑ |
| Increase in Property, Plant and Equipment and Intangible Assets | ¥58,066 million | ¥146,755 million | ↓ |
| Depreciation of Idle Fixed Assets (Non-Operating Expenses) | ¥3,870 million | ¥1,743 million | ↑ |
Business Details
The Electronics Business is a reportable segment engaged in the manufacture and sale of package substrates, with High-Performance IC Package Substrates for AI servers, general-purpose servers, and personal computers as its core products. The company has built a global production system across multiple domestic and overseas sites (including the Philippines). Demand related to generative AI is the primary driver, and cost-reduction activities at the Philippine plant are also contributing to improved profitability. The company plans capital expenditures totaling approximately ¥500,000 million over the three-year period from FY2026 to FY2028, aiming to expand orders in growth markets.
Recent Overview
Net sales up 23.4% and operating income up 68.5%, driven by strong AI-related demand
In the Electronics Business for FY2026 (ending March 2026), orders for generative AI servers remained generally strong, and demand for High-Performance IC Package Substrates for general-purpose servers also showed a gradual recovery trend. Combined with the effects of cost-reduction activities at the Philippine plant, net sales rose significantly to ¥243,316 million (up 23.4% year on year) and operating income rose to ¥45,248 million (up 68.5% year on year). On the other hand, demand for personal computers fell below expectations, and the company recorded an impairment loss of ¥10,630 million due to the deteriorating competitive environment for PC-related products at Ibiden Philippines, Inc. Depreciation of idle fixed assets also increased to ¥3,870 million from the prior period.
Key Products
Growth Drivers
- Continued strong demand for High-Performance IC Package Substrates for generative AI servers
- Gradual recovery in demand for High-Performance IC Package Substrates for general-purpose servers
- Ongoing effects of cost-reduction activities at the Philippine plant
- Production capacity expansion through capital expenditures of approximately ¥500,000 million in the Electronics Business over the three-year period from FY2026 to FY2028
- Strengthening of on-site capabilities through global quality enhancement and skilled-personnel development based on the One Factory concept
- Overall demand growth for High-Performance IC Package Substrates in response to increased processing power and power-saving needs accompanying further growth in the AI field
Risks
- Continued weak demand for PCs and further deterioration of the competitive environment (conservative revision of Ibiden Philippines, Inc.'s business plan)
- Risk of revenue concentration on specific customers (Intel, NVIDIA, AMD, etc.)
- Increase in depreciation and amortization (¥55,202 million in FY2026 (ending March 2026)) and expansion of depreciation of idle fixed assets (¥3,870 million) accompanying large-scale capital expenditures
- Risk of continued recognition of impairment losses on fixed assets of Ibiden Philippines, Inc. (¥10,630 million in FY2026 (ending March 2026))
- Risk of order fluctuations due to customers' production and inventory adjustments
- Geopolitical risks, including changes in U.S. tariff policy, and changes in the competitive environment among semiconductor manufacturers
Last updated: June 22, 2026