SUMCO (3436): Briefing: Customer inventories of 300mm wafers finally declined

Research evidence excerpt

SUMCO (3436): Briefing: Customer inventories of 300mm wafers finally declined

SUMCO (3436): Briefing Summary (16:15

pm, 12 May)

Performance Overview

• 2Q outlook: Compared with 1Q, 2Q will benefit from an exchange rate effect

assuming ¥160/US$. The company expects higher sales and improved profit, driven

by increased shipment volumes.

• Shareholder returns: The dividend policy remains unchanged. While the company

expects losses, dividends will be determined based on profit levels, outlook for

subsequent periods, and funding needs such as capital expenditures.

Seasonality of 300mm wafers

Due to increased demand from AI, the level in 1Q was high for a first quarter. AI-related

demand initially expanded for advanced logic, but demand for DRAM and HBM has also

increased. More recently, demand for NAND Flash has also been expanding. Demand

growth is expected from the second half of 2026 into next year.

Seasonality of 200mm wafers

Levels remained low in 1Q. While there is some increase in demand for AI-related power

ICs, the company believes it will be difficult to return to the 2021–22 levels.

300mm wafer inventories

• As customer inventory adjustments progressed, purchase volumes increased. Both

inventory volume and inventory days declined.

• Inventory levels for logic remain higher than for memory, but input volumes are

increasing and inventories are trending down. For both logic and memory,

customers may increase purchases as production recovers and fab expansions are

announced. Inventory strategies differ by customer, and it is uncertain whether

inventories will continue to decline.

Silicon wafer market environment

1Q FY26 results:

300mm wafer shipments declined QoQ, while 200mm wafers saw weak shipments.

Long-term contract prices have been maintained.