Kioxia Holdings earned ¥2.20tn in net profit attributable to owners in the six months to September 2026, against ¥58.9bn a year earlier. Revenue was ¥4.25tn, more than the ¥2.34tn booked for the whole year to March 2026. The figures come from the company's semiannual securities report, filed on 6 November.
Price, volume and the yen
Kioxia attributes the revenue jump to strong demand from data-center customers, mainly for generative AI. It cites a large rise in average selling prices, higher shipments measured by storage capacity and a weaker yen: the average rate was ¥160 to the dollar, against ¥146 a year earlier.
The split by application shows where the money came from. Revenue from SSDs and storage, which the company says mainly covers PC, data-center and enterprise products, reached ¥2.79tn from ¥462.0bn. Smart-device revenue rose to ¥1.31tn from ¥236.3bn. The report says smartphone and PC demand is slowing while demand for AI servers lifts data-center and enterprise products. It gives no separate price and volume figures.
| Item | April to September 2026 | April to September 2025 |
|---|---|---|
| Revenue | ¥4.25tn | ¥791.1bn |
| SSD & storage revenue | ¥2.79tn | ¥462.0bn |
| Smart-device revenue | ¥1.31tn | ¥236.3bn |
| Operating profit | ¥3.26tn | ¥130.8bn |
| Pretax profit | ¥3.20tn | ¥84.0bn |
| Net profit attributable to owners | ¥2.20tn | ¥58.9bn |
What trimmed the profit
Operating profit was ¥3.26tn. Kioxia's own Non-GAAP operating profit, which strips out purchase-accounting effects, share-based pay and the litigation provision, was ¥3.31tn. The company says those Non-GAAP measures were not audited or reviewed.
The litigation item is a July 2026 US patent verdict in the Viasat case, which ordered $229mn in damages. Kioxia has appealed, but judged payment probable and booked a ¥36.0bn provision; the management discussion table shows the adjustment as ¥36.6bn. The company says the final outcome and timing are uncertain. It also cites a special profit payout to employees and higher share-based pay as drags on profit. PwC Japan's interim review found nothing to suggest the statements are misstated.
Where the cash went
Operating cash flow was ¥2.38tn, after a ¥1.01tn cash drag from higher receivables. Unpaid income taxes rose by ¥870.2bn. In the period Kioxia bought back ¥800bn of its own shares and repaid ¥523.1bn of long-term borrowings; financing outflows totalled ¥1.26tn. Equity attributable to owners reached ¥2.93tn, and the equity ratio rose to 49.8% from 37.9% at March 2026. Financial covenants that existed at March-end no longer exist.
Investment, and the risk it carries
Capital spending in the half was ¥137.0bn on a payment basis. For the year to March 2027 Kioxia now plans about ¥470bn, up from about ¥450bn at its last annual report. Investing cash flow includes ¥78.2bn for Nanya Technology shares. The report also recalls the August 2026 plan with Sandisk to invest about ¥5tn through 2032, premised on government support.
Management lists what could go wrong: flash demand growing more slowly than forecast, weaker share in data-center products, and unit prices stalling if rivals add capacity or customers push back. With high fixed costs, it says even a small revenue dip would hit operating profit and cash flow disproportionately. Bain Capital-advised funds hold 14.53% and Toshiba 12.43%, and the report flags that sales by either could weigh on the share price.
The 3-for-1 stock split took effect on 1 October 2026, after the period ended, and per-share earnings are restated for it. Basic earnings per share were ¥1,349.33. The board resolved on 30 October an interim dividend of ¥90 per pre-split share, ¥47.9bn in total, payable from 8 December 2026.