• Numbers beat, strong momentum – With sales growth accelerating to 34.5% YoY in Q4, Restar exceeded FY3/26 guidance, representing a positive surprise. The Devices BU experienced an upturn in AI-related demand, as well as steady sales from consumer electronics and selective areas within the industrial equipment sector. Given improved near-term earnings visibility, we have revised our earnings estimates upward to reflect continued momentum in memory demand in a tightening market. While target metrics set in FY3/27 guidance are lower than the medium-term plan, it nevertheless points to continued efforts to improve ROE and ROIC YoY, as management maintains its focus on 1) proactive investment in growth, 2) improving shareholder returns, and 3) financial soundness.
