Hoya 1Q FY27/3: Largest buyback to date provides safe haven

研报英文原文证据摘录

Hoya 1Q FY27/3: Largest buyback to date provides safe haven

es declined double digits, resulting in overall HDD business growth of 10%+. Demand remains strong,

supported by the HAMR transition and increasing areal density. While a third major HDD customer (which we read Western

Digital) is reportedly considering insourcing glass substrate production, management views this as a net positive signal

for broader industry-wide adoption of glass substrates rather than a threat. Capacity: The Laos plant is operating at ~1/3

of its 12 line capacity, with 4lines active. The remaining 8 lines are expected to be filled during FY26-FY27, while the next

new plant is expected to begin contributing from FY28. Management is not concerned about the risk of capex softening, as

incremental customer ramps should support volume resilience.

• Optical Solutions: +22% YoY (+11% FX-neutral), broadening beyond cameras/video into CPO (co-packaged optics) and

wearables/optical glass materials. CPO is expected to grow 30-40% this fiscal year. Capacity is not a constraint, with no

heavy capex required vs. EUV/HDD substrates. Wearables (smart glasses) are growing but remain lumpy, tied to new product

launch cycles. Digital camera-related demand was roughly flat, with no major swing in either direction.

Margin Outlook: Reported IT OP margin was 55.1%, or ~54% ex tariff refund. Management raised its internal margin floor

guidance from ~50% to ~52% for this fiscal year, citing sustained high utilization, but cautioned that quarterly mix swings (EUV/

DUV/PSM ratios) can move margins by several points in either direction. Beyond FY27/3, rising depreciation from new capacity

investments, particularly in HDD substrates and EUV blanks, will pressure margins. Management's stated longer term floor is