ET 01:01

Renesas Electronics FY25 Earnings Miss; Q1 Outlook Upbeat; Shares Rise

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Earnings

Renesas Electronics (RIF) reported a loss of 1.4 billion yen for fiscal 2025, ending a year of weak global sales and pricing pressure, compared to a profit of 4.3 billion yen in fiscal 2024. The decline reflects softer demand in automotive and industrial sectors, key drivers of its revenue. The company revised full-year guidance down to 1.2%1.5% growth in annualized sales, down from 2.5%3.0% previously, citing continued weakness in server and automotive semiconductors. However, it issued an upbeat Q1 outlook, forecasting 12%14% growth in annualized sales, citing strong demand in automotive and industrial applications. RIF shares closed at ¥2,150, up 1.8% on the Tokyo Stock Exchange, reflecting cautious optimism ahead of the revised guidance.

EditorJack Lee