Yageo*’s EPS in the first three quarters reached 14.32 yuan, and the fourth quarter is expected to be strong in the off-season

Benefiting from the strong demand for AI, Yageo* (2327), a leading passive component company, announced its third-quarter financial report today (29th). Its net profit after tax was 11.981 billion yuan, a quarterly increase of 27.2%, and an annual increase of 88.5%. After-tax earnings per share (EPS) reached 5.83 yuan, a quarterly increase of 27.2%, and an annual increase of 88.4%. The total EPS for the first three quarters reached 14.32 yuan.

Yageo* stated that the revenue growth in the first three quarters of 2026 will mainly come from the strong momentum of demand for AI-related applications. Both standard products and special products have shown steady growth in demand, and various terminal application fields have also maintained moderate growth. Facing the fourth quarter, Yageo believes that although the fourth quarter is traditionally a low season for consumer electronics, driven by the unabated growth momentum of AI, its two major product lines, "standard products" and "special products", will continue to grow.

Yageo* CEO Wang Danru pointed out at the meeting that the current proportion of MLCC (multilayer ceramic capacitors) has increased from 19.1% in the past to 21.5%, and AI accounts for nearly 20% of total revenue. At the same time, the utilization rate of general goods and special goods in the fourth quarter will be higher than 95%, and the order-to-bill ratio is all above 2.

As for whether the price of MLCC will continue to increase? Wang Danru said he would not comment on the price issue, but he also admitted that the shortage of MLCC caused short-term fluctuations in demand, and there were indeed cases where customers competed to bid in order to get suppliers to switch supplies. From the current point of view, special products still contribute to the main growth, but general products also performed well.

In response to the concern of legal persons about inventory issues, Wang Danru analyzed that from the perspective of the number of months of inventory on hand by global dealers, the inventory in the past three months has dropped from about 5 months to the current 4 months. At the same time, the number of months of inventory in Greater China is already very tight and has remained below 2 months. Dealers are actively seeking to replenish inventory.

As for the markets for different products, he said that the performance of notebook computers is not strong, but smartphones are better than in the past. In other words, the consumer product market is mediocre. However, the growth performance of the industrial and AI fields continues to be very good, and has shown seven consecutive quarters of growth in U.S. dollars. As for the overall defense and aerospace aspects, although the base period is low, there has been no significant change.