Mitsubishi Electric Q2 Net Profit Jumps 92% as Data Center Demand Lifts Full-Year Guidance
Mitsubishi Electric reported a 92% year-over-year increase in Q2 net profit, driven by strong demand for semiconductors and factory automation linked to AI data centers, prompting an upward revision to its full-year outlook.
Japanese industrial conglomerate Mitsubishi Electric released its financial results for the second quarter of fiscal year 2027 (ended September 2026) on October 30, 2026. The company reported sales of ¥1.6284 trillion, up 15% year-over-year; adjusted operating profit of ¥202.6 billion, up 83%; and net profit of ¥188.8 billion, surging 92%. These figures represent record highs for any second quarter in the company's history.
Management attributed this robust growth primarily to increased demand from artificial intelligence data center construction. Specifically, orders for power semiconductors, optical communication devices, and factory automation (FA) systems used in data centers rose significantly. In the Semiconductor segment, first-half sales grew 13.9% to ¥160.2 billion, with operating profit rising 37% to ¥32.9 billion, driven by AI-related expansion. The FA Systems segment saw first-half sales jump 27.5% to ¥482.3 billion, while operating profit soared 147.6% to ¥82.2 billion, reflecting global manufacturing investment in automation.
Based on these strong first-half results and positive demand outlooks, Mitsubishi Electric revised its full-year fiscal 2027 guidance upward. Total sales are now forecast at ¥6.55 trillion, a 4.5% increase from previous estimates, while adjusted operating profit is projected at ¥710 billion, up 14.5%. Although net profit guidance was slightly lowered by 6.1% to ¥465 billion due to expected impairment losses from transferring its automotive electronics business to Foxconn, the core operational revisions highlight confidence in its position within the AI infrastructure supply chain.
Additionally, the company announced a share buyback program of up to ¥200 billion and set the interim dividend at ¥30 per share, an increase of ¥5 from the previous year. This combination of capital return measures and upgraded earnings guidance signals that Mitsubishi Electric is leveraging improved cash flows from AI-related businesses to enhance shareholder value.