2Q26 preview: Stronger GMs and aggressive capacity plans to match rising AI demand; Raise PT to NT$3100

研报英文原文证据摘录

2Q26 preview: Stronger GMs and aggressive capacity plans to match rising AI demand; Raise PT to NT$3100

w orders growth

(~KRW 2 trillion, vs KRW 1 trillion in 1Q), and the company may consider revising up its FY26 new orders

guidance from KRW 5 trn to KRW 6 trn. On the other hand, Hyosung Heavy’s operating profit may miss

consensus estimates on the back of the impact of the Middle East conflict (5-10% of new orders in FY25).

The company also had a high base of new orders (KRW 4 trillion in 1Q), and sequential order momentum

may ebb. Key focus areas for the results include: 1) Assessment of local opportuniites after the Korean

memory behemoths announcing their long-term investment plans; 2) AIDC order wins for Hyundai Electric

and Hyosung Heavy, as both companies have the majority of orders from utilities/grids instead of DCs; and

3) Progress on tariff rebates, margin expansion, and potential revision of FY new orders/profit guidance.

See page 3 for earnings previews and page 4 for earnings/PT changes.

Japan Reports/Notes

Disco (6146) (Neutral), Japan

Discloses preliminary April-June quarter data for parent sales: Broadly as expected, strength in

consumables continues (Mio Shikanai)

Disco disclosed preliminary 1Q FY2026 figures for parent company sales and shipment value on July

6. Sales (inspection basis) rose 26% YoY but fell 9% QoQ to ¥95.0 billion. Shipment value correlates closely

with the market and was broadly as expected at growth of 25% YoY and 19% QoQ to ¥116.5 billion (we

estimated about ¥113 billion, and the market’s most recent consensus view was about ¥115–125 billion).

Shipment value slightly beat guidance for about ¥110 billion, and management commented that

consumables did slightly better than expected while equipment shipments were broadly as expected.