Good afternoon, everyone. We're going to start SCREEN Holdings financial results briefing on second quarter fiscal year ending in March 2025. Let me introduce you the speakers from our side. Toshio Hiroe, Representative Director, President, and CEO.
This is Hiroe. Thank you very much for your kind cooperation and support.
Yoichi Kondo, Representative Director and CFO. Kondo. We also have two officers attending this meeting. Masato Goto, Senior Corporate Strategy Officer. Akihiko Miyagawa, Senior Financial Strategy Officer. We'd like to invite CFO Kondo to give us a summary of consolidated business results and the forecast.
Thank you very much. I would like to present you summary first half earnings of fiscal year ending March 2025. First off, summary. Both sales and profits increased year-on-year. We hit the record high for first half in terms of both net sales and OP income and margin. We revised the full year earnings forecast upward, driven by SPE, GA, and FT. We revised the annual dividend forecast upward from JPY 233 to JPY 247 per share, with interim dividend increased to JPY 120 per share. SPE, both sales and profits increased year-on-year, and net sales and operating income margin hit the record high for the first half. We expect a solid performance for the second half. GA and FT, first half earnings actually exceeded the forecast. The cash flow in comparison with the first quarter, second quarter operating cash flow increased significantly. Next page.
This is first half net sales, JPY 277.3 billion. OP income, JPY 58.2 billion, 21% operating margin. Ordinary income, JPY 58.6 billion. Net income, JPY 38.8 billion. Difference, JPY +54.1 billion. Net sales, OP , JPY 19.6 billion, and ordinary income JPY 19.2 billion. Net income, JPY 12.4 billion. By contrast, you can see the percentage. Composition of group sales by destination. Japan, 14%, Taiwan, 19%, China, 40%, Korea, 3%, other Asia, 3%, North America, 14%, Europe, 7%. That is composition of group sales by destination. 40% is contributed by China, it remains very high. Group sales by segment is shown on the next page. SPE, 81.6%, GA, 9%, FT, 6.5%, PE, 2.5%. FT was doing pretty well according to these results. This is earnings by segment. SPE, net sales, JPY 106.8 billion, OP income, JPY 29.9 billion, operating margin, 25.6%. GA, JPY 12.8 billion, JPY 2.2 billion of OP income, operating margin, 9.4%.
FT, net sales, JPY 9.3 billion, OP income, JPY 0.3 billion, operating margin, 3.3%. PE, net sales, JPY 3 billion, OP income, JPY 0.1, operating margin, 5.9%. Earnings by segment. On QoQ first, as to SPE, the sales and profit increased. Sales to logical host sales actually increased. Sales to Taiwan and North America actually grew. GA, sales, profit went up. Recurrent business was very good. FT, sales and profits increased. Initially, we forecasted deficit, in actuality, we had the profitability. PE, sales and profit decreased. Both sales remained solid. However, the equipment sales was slow. As year-on-year, FT, both sales and profit increased. Sales to foundry memory increased, sales to China, Taiwan also increased. GA, sales increased thanks to strong recurrent business. Meanwhile, profits remained almost flat due to higher fixed costs. FT, both sales and profits increased. Sales to LCD and OLED both increased.
PE, both sales and profit decreased. Expect re-exit recovery in equipment demand in next year. Balance sheet on a consolidated basis. The asset, JPY 668.1 billion, and cash deposit increased, and we now accumulated profit. The equity ratio is 59.1%, and the turnover is 30 days or so, and actually, note and accounts payable is on the decline. Now, cash flow. We saw the recovery of cash flow, and we now see that JPY 65.6 billion of cash flow and reduction of the payables. Not on the same year-on-year level. However, we could see pretty good recovery, and this is operating income growth. The 2024 first half about JPY 38.5 billion. 2025, JPY +23 billion, profitability JPY +3.5 billion, fixed ±8 billion, and exchange rate JPY +1.0 billion, therefore result JPY 58.2 billion.
We consider this very important to control fixed costs and SPE and MC is very good in terms of sales and capacity is increased, and also profitability was increasing due to the SPE. That's all from myself. Thank you very much.
Thank you very much. Next, President Hiroe will talk about business environment and outlook. Mr. Hiroe, could you please go ahead?
Thank you. This is Hiroe speaking. I would like to talk about business environment and outlook. First of all, business environment. As to SPE, AI-related semiconductor is expected to drive growth. That is the current situation, and growth is expected in server, smartphone, and PC demands. On a merger basis, growth is prominent especially for server, and related investment are active. Current DRAM prices are declining slightly. However, investment in miniaturization still continues on the customer side.
Next, as far as GA is concerned, POD related investment continues to progress steadily, mainly in Europe and U.S., especially infinite business. Thanks to improved utilization ratio of equipment on the client side, recurring business is very robust. Display demand is turning up as we expected. In this term, sales and orders are expected to come mainly from OLED during this fiscal year, like large-scale OLED and medium/small-size OLED. As to PE, full recovery in package-related investment is still slow. It will take time. We consider that recovery have to wait until next fiscal year. Let's talk about business outlook. The fiscal year ending March 2025, second half, full-year forecast has been revised upward. Sales and profits are going to increase year-on-year.
Net sales, OP income, ordinary income, net income, all are going to hit record high for the first consecutive fiscal year as a result of upward revision of the forecast. As to interim dividend, JPY 120 per share. That's our decision made. It's up JPY 11 from the July forecast and JPY 127 per share is the upward revised year-end dividend. Therefore, as a result, total annual dividend is projected to be record high, JPY 247. I would like to talk more about SPE business overview, market trends and outlook is the next topic. Let's talk about WFE outlook. As to CY 2024, mid-single-digit growth is projected. Nothing has been changed since July meeting. In CY 2025, stronger growth is expected. I think situation will be a little better. As to foundry and logic, investment in leading-edge nodes is accelerating.
Gradually some reassessments are anticipated. As memory business, memory is driving the WFE growth this year. It is expected to be the growth driver in CY 2025 as well. We consider memory will grow more next year. Investment trends by application. As to foundry, investment in leading-edge nodes, including advanced packaging, is now steadily growing. About logic. Investment is continuing at a certain level, although there are some reassessment and review in scale were made. As to memory, investment focused on DRAM or HBM. As to NAND investment, it is progressing with a growing server volume and an increasing demand from hyperscalers. Hyperscalers are actually driving the growth. As to image devices, investment remained rather low-key this year. We expect an increase in CY 2025. Power device and others, it is expected to recover in CY 2025 due to the improvement in supply/demand balance.
Let's take a look at Chinese market. China, investment continued at a certain level. That's how we project. Gradually it's shifting to the factory launch phase, not a huge investment. The plants are starting to have the factory launch phase, therefore investment will decline somehow. Composition of equipment by application and top sales.
By application, on QoQ, foundry is on the decline, logic going up, actually logic is complementing the loss by foundry. In second quarter year-on-year comparison, the logic is increasing greatly. As to post sales, first quarter, second quarter, we see the actual percentage on the increase. For July forecast, there is an upward revision because of this situation. This shows the composition of equipment sales by destination. When you see the QoQ and first quarter, second quarter, the proportion of China has declined. Against that, both America, Taiwan, and Europe have increased. This is the situation we have. When we compare the second quarter to our previous second quarter, the increase was Taiwan and also North America. This slide shows you the composition of equipment sales by application. The first half year-on-year comparison shows the increase of DRAM and logic.
The recovery of DRAM can be seen in the trend. When we compare the actual from the first half to the forecast in the second half, the share of the sales to Flash is projected to rise. In the second half of the year, we can expect the investment into Flash. The previous fiscal year performance and the expectation for this fiscal year, as you see on the right side, the sales to logic, DRAM, and Flash are expected to rise. The total volume is expected to increase. This is the composition of sales by destination. In the same way, when we compare the first half year-on-year comparison, there's an increase with Taiwan and also China. The actual from the first half and second half expectation, the sales to China is expected to decline.
Compared to the July forecast, when we see the current situation or near situation, we can say that in the second half, share of sales to China is the same as the July forecast. Well, we see the increase in the sales to Japan and South Korea. The previous year's full year performance and this year, we expect a big decrease with Taiwan. China sales ratio is projected to decline, but the absolute sales volume will grow. This is the forecast for this fiscal year. About GA, recurring business is very robust. In the first half, the sales of the post sales ratio reached 54%. Mainly with ink, we have a very strong recurring business. In the second half, we will go back to the normal level of 50%.
We have the possibility that the strong situation with recurring business may continue. We'll pay close attention to the trend. In order to improve the operating profit margin, we are trying to enhance this post sales. Next is about FT. Display demand is now turning up. In the second half, mainly with OLED, we can expect the sales on order to increase. In the first half, we could turn into black. For the full year forecast, we made an upward revision. In order to make the profit for the full year, we're trying to make a better effort. This is about PE. We are struggling with PE business. Post sales itself is strong, but package-related investment to 5G build will pick up next year and beyond. There's a delay in the recovery of that investment.
That is the impression we now have. Now we have the inquiry in Japan, so dealing with these inquiries, we would like to increase the order received. On this page, you can find the business forecast, which was upwardly revised this time. The sales is JPY 577 billion. That is the increase of 14% over the previous year. OP income is JPY 113.5 billion. That is the increase by 20%. Net income is JPY 80 billion. That is increase of 13.5%. We expect the increase of sales and profit. About SPE in the second half, which was announced in October. Please pay attention to October forecast. That is JPY 244 billion, and that's JPY 58.5 billion of the income, 24% of the margin. We scrutinize this focus into the second half. That's what we promised with you in the previous occasion.
In the improvement of the profit in the first half, and also with some visibilities we now have, we came up with these figures. We made the upward revision for the second half forecast, and also resulting in the full year forecast upward revision. As for the GA, compared to the July forecast, there's almost no change. There's an increase with the operating income. That is because of the situation we now refer to you. FT, I mentioned earlier that we turned into black in the first half. Given that, in the second half, we're going to have the JPY 2 billion of the operating income. PE, the market condition is still severe. We made the downward revision of JPY 500 million, and it is difficult to increase the sales with this position. Other is at the very bottom.
From the October forecast, we have the figure of JPY 5.5 billion. That is an increase because the development investment in the first half is now floated into the second half. The purpose of which is the investment for the advanced packaging and SPE-related investments. We would like to carry out this investment in a very proactive manner. This is R&D expenses, CapEx and depreciation. From the beginning of the year, we haven't changed them. In mid-term management plan, we said that we're going to scrutinize our investment for the future growth. This process is going on, so investment into development and also acquiring the production property, we have been discussing them. Now we have some visibility about it. When we are materialized, let me come back with another report to you. The next page is analysis of operating income growth.
Comparing to the previous year's performance, we have the forecast for this fiscal year. Sales and capacity utilization will have JPY 36.5 billion increase. Profitability will bring JPY 2.5 billion increase. Fixed cost, we expect JPY -19.5 billion. Another JPY 0.5 billion from the exchange rate. Total JPY 130.5 billion is the forecast for the full year. As you can find at the bottom, as for the sales and capacity utilization, they are mainly come from the SPE and FT. Mostly they are from SPE. As for the profitability improvement, it will come from SPE. Increase in fixed cost will come from SPE , new businesses, and GA. Most of this will be with SPE. The labor cost, depreciation, amortization, other expenses increase, we would like to make the growth investment without increases of these costs.
This is about the dividend. As I mentioned earlier, you can see the comparison to July. In October announcement, we have JPY 120 per share dividend. Year-end dividend payment will be JPY 127. The total annual dividend will be JPY 247. This is just a forecast, but I call high figure. In order to achieve this, we would like to continue to make effort. This is the page about the ESG-related initiatives. Please go through these. Let me introduce you one topic out of these. That is about the transfer of shares of subsidiary in SPE business that was announced on October 16th, so the transfer of shares of the subsidiary, Laser Systems & Solutions of Europe in France. The shares of this company is transferred to Sumitomo Heavy Industries. The announcement for concluded contract was concluded October 10th.
Amount of transfer is not disclosed. This is already incorporated into the financial forecast, as I mentioned earlier. This company, Laser Systems & Solutions, produces the annealing equipment for the laser equipment. Sumitomo Heavy Industries laser annealing equipment has a synergy with this company's products. We decided that this will result in a win-win relationship and decided to transfer the shares to Sumitomo Heavy Industries.
We have the technology of Flash, NAND and MIL. We would like to make efforts so that our Flash, MIL, and NAND will be adopted by the layers as much as possible. That's all from me. Thank you very much for your attention.
President Hiroe, thank you very much for the presentation. Now I'd like to go into the Q and A session.
First person, CLSA Securities, Yoshida-san, please.
Yes. First of all, the FPE for the second quarter, the sales to China was lower than anticipated, and FPE sales, I think some plans are unachieved. However, the OP margin was pretty good, but the cost sales was pretty good. Could you please explain the situation about revision of the OP income and OP margin? I think equipment goods will be better. In the second half, I think there was some reduction comparison with the first half. Could you please explain that?
This is Hiroe speaking. Let me explain. In the second quarter, the sales actually is a little bit different from July forecast because some customer's sale, some delivery time was shifted to the second half, that was reflected. That's the reason for the difference.
In comparison with July forecast, OP margin was improved because cost of sales, the share of the cost sales was improved more than we anticipated. That contributed to our profit. Another point I would like to mention is in the first quarter, we were talking about some evaluation of the machine that was shifted to the second quarter, and that might be shifted to the second half. I think that was already committed to you. In the second quarter, we could not match the timing with the customer, finally, the sales is sliding to the second half. This is the reason why there's the upward revision in comparison with the July forecast. Another point, accelerated development cost.
Development cost we could not use as a plan, development cost will be used in the second half, that will be actually consumed in the second half of the year. That is a major factor for the upper revisions of the earnings in the first half. As to the second half, the China product mix will be unchanged. Percentage will be unchanged. However, product mix in China is actually changing. The percentage of existing customers is increasing, and the percentage of new customers are on the decline. We try to check the customers and market. We actually examine the numbers. The number we presented this time is pretty appropriate and correct numbers. Thank you.
Another question. WFE, you said that mid-single digit growth. I think it's a little bit better figure from the IR Day presentation.
What kind of application are you think about when you take a look at growth? On IR Day, you are talking about the two digits increase, and you change the information. Do you consider still two-digit growth can be anticipated? How are you thinking about the next year situation?
Yes. As to WFE, calendar year 2024, that will be unchanged. As to calendar year 2025, we have rather a bit bullish view because DRAM will recover pretty well. I already commented on that. As to Flash memory, that will also recover. We are pretty good at foundry. We also consider there is a recovery in the foundry business. In the logic, the customer refrained from investment for logic. We can subtract that number. Finally, we came up with that number, which is the plus.
As to DRAM, +15% or +15, foundry +5% or so, logic - 15%, that's how we forecast. Mid one digit percent number is the result of that calculation. Well, as to next year's forecast, next year forecast is unchanged. Somewhat, second half sales is revised upward, next year's plan is to be evaluated and examined more in detail. WFE will be strong. That's how we see the situation. Next year forecast is not changed. The actual number has not changed. Yes, that is right. The single percentage growth can be anticipated right now. Growth ratio is not changed. Yes, that is right.
Thank you.
Thank you very much. Next is Shimamoto-san from Okasan Securities.
I am Shimamoto from Okasan Securities. Thank you for this opportunity. I have a question about the WFE, how to think about next year. One is about China. About the phones and processors, there was a kind of slowing down in China. With you, that is not a cause of the concern. I want to know more about how do you look the, how do you actually feel about China next year?
The question about China, we also expect that will slow down. I have been talking about China in the same way, and this fiscal year we had a better than expected situation. Next year and onward, the situation will go back to normal, and I think the adjustment will be made in that way.
At the bottom of this WFE page, you can find there's a phase to start the new factories. They are now in the phase to enhance their production capacity. In that sense, another adjustment will take place in China.
Thank you very much. I think it's a difficult question to answer, but how much negative or how much decline do you expect, or you brace yourself, I guess, for this calendar year or next year?
Well, we are still making the investigation into the situation, so I cannot answer your question with specific figures. More than 30% is expected.
Yes. Next is about DRAM. You mentioned the price decline with DRAM. Do we have to see it's a big change in the situation? Would you comment on the price decline of DRAM?
About the DRAM price, there was the supply and demand imbalance in place, and the largest player in South Korea shifted their production to the commodity type DRAM. That made the news on newspapers. In that sense, temporarily, there's a decline in the DRAM price. From now, for the smartphones and the PCs, depending on the market situation of these, the situation related to DRAM will change. I myself think this price drop will be a temporary one.
Thank you very much. It's very clear now. Thank you very much.
Thank you very much, Shimamoto-san. Next, Nakamura-san from Goldman Sachs, would you please go ahead?
Thank you very much. Thank you. First question is about SPE business and to the production capacity. As to S3-5 startup, how is the current situation? JPY 500 billion capacity is original plan. However, according to sales plan, the level has not reached that level. What do you think about that? What is your attitude about that? If demand further increase, then to what extent you can cover if they are after deal with next year's demand? Thank you.
Thank you for your question. Let me answer. SPE, S3-5 production capacity with full capacity production is already achieved. JPY 500 billion level is available with our production system. When we think about the future course, S3-5, in parallel, the production improvement is going on for that system. We are working for the production improvement. We try to capture more orders. In the second half, order placement, in value, more orders will be captured. We do not expose the exact number, but we are aiming at the order captured at that level of more than JPY 500 billion.
Thank you. The second question, the calendar year 2025 WFE. I was there one month ago. DRAM investment is declining by some of the Korean customers, and I think you just reduced the value. However, according to your explanation, we feel that the DRAM is still strong and robust. In the past one month or two months, what kind of change have you seen from your customer side regarding the forecast? Because you actually changed your forecast.
Yes. Well, major customers are rather bearish. However, HBM related customers' investment is now active, so that's how the situation is changed to the positive way.
Okay. Thank you.
In that sense, we consider a part of our customers may reduce DRAM investment. That was
What you are thinking about, however, the situation is getting better for you.
Yes.
Yes. That's how we see currently.
Thank you.
Thank you very much, Nakamura-san. Next, let me invite Wazaki-san from Morgan Stanley MUFG Securities .
Thank you for the opportunity. My question is that the high profitable business with China, and when there will be decline with it next year, you may suffer from it too. Of course, there's a difference between the calendar year and fiscal year, but how do you see this decline of profitable business in China?
We have the simulation internally, and when we see the profit structure, we may have the one similar to that of this second half. That's how we expect for the next fiscal year. We come up with this forecast for the second half this time, and profitability, if we can achieve the 24% as we expect, we think we can also target the same level in next fiscal year, even with the decline of the China sales ratio.
Thank you very much.
Mr. Yoshioka from Nomura Securities, could you please go ahead?
Thank you. I am Yoshioka from Nomura Securities. Thank you. I have two questions. I may ask about China again. Three months ago, I think there are less inquiries from China. That's what you talked about. In comparison with now and three months ago, how is the inquiry situation, how inquiries are changing? Could you please give us the latest information? The sales in China through the second half of FY 2024. Like a half on half, like a first half of 2026, how do you think it will be changing? Could you please give me some more further information about China business? Thank you.
As to China market, we see the forecast for the second half. We have, after scrutinizing the number, we came up with this number. I think we will settle with these figures.
In the second half, 38% or so for China, and we thought it will be lower, but it's a little better and final is 38%. This is the most recent situation. The year ending March-
2026
that will go down to 30% or so. I am not sure how much. We have to scrutinize this. After that, I think it will get to 30%. We consider 25%-30%. That is a leveled number for China. We consider probably 25%-30% is the final figure we reach. That's how we project.
Okay. Thank you. This is the second half of this year, you changed the information, but you have more inquiries and you have bullish view. Second point, SPE OP margin or profitability. Most recently, you have the upward result because of the post-sales increasing. That's the reason you mentioned. As to post-sales, why post-sales increasing? Is it any structural asset or can we anticipate more for the second half? Could you please elaborate on why you have the post-sales increase to have better results?
Yes.
In this case, the customers, we have a kind of the similar level assumption. Just recently, there are some inquiries or the project for change or additional purchase order of parts. We do not see any particular reason for increase, but we aiming at 20% of post-sales this year. That's what we are aiming at. Probably rather than the result of our effort, but thanks to the timing of the customers, we could increase the post-sales.
Okay, I understand. Thank you.
Mr. Yoshioka , thank you very much. Mr. Yamamoto from Mizuho Securities, please.
This is Mr. Yamamoto from Mizuho Securities. Can you hear me?
Yes. Please go ahead.
Thank you for the opportunity. My first question is about SPE OP margin. In the mid-term management plan, no further increase of OP margin is not expected. Because of the increase of the fixed cost and also because of the mix. In this timeframe of the mid-term management plan, we cannot expect the further increase for OP margin. Or do you have any expectation to achieve the better results for the OP margin?
At present, as you said, the target of mid-term management plan itself is almost achieved now. We are now developing and also making the investment for making the CapEx in order to achieve this figure.
That's the target of mid-term management plan, and there's no change in this concept. This is a level we want to achieve. In the next mid-term management plan period, we have the intention to achieve the higher target. That's why we are making the preceding investment for the future growth. We are in the second half year of mid-term management plan to carry out this investment.
If you can see, expect the further improvement of the productivity, such as at S Cube-5, can you expect a greater investment into the future growth?
Yes, that's what we want to do. Investment for the development, of course, requires human resource, and we have limited resource for development. At some point, I think the level of investment will be settled to the one we have been planning.
The Laser Systems & Solutions share is now transferred to Sumitomo Heavy Industries.
When you see your business portfolio, are there any other businesses you think it's better to transfer to the other companies? Do you have any other ideas to spin out or to divest part of the businesses? What do you think of your current business portfolio?
In the previous mid-term management plan, we reviewed our portfolio from various angles. In the current mid-term management plan period, we have some projects related to the business portfolio review. That's what I explained to you on the previous occasions. This is one of these. Flash lamp anneal, in evaluation with customers, we are strategically promoting our flash lamp anneal to various customers.
We focus our resource to the flash lamp anneal and as for the laser annealing, we will let Sumitomo Heavy Industries with expertise and resource to handle it. I think that serves better for the future of this Laser Systems & Solutions of Europe. That's why we decided to transfer the share of this company to Sumitomo Heavy Industries.
Do you expect more of this kind of transfer or we cannot expect?
Could you repeat the question?
Japanese companies do not make the official comment to review the business portfolios, but sometimes, there's not many cases that the company or subsidiary is transferred to other companies as a way to improve the business portfolio, but SCREEN Holdings did that. Are there any other cases you have in mind to transfer the shares of your subsidiary to other companies?
Other than this, already we've revised our business portfolio complete for the one we planned in the previous mid-term management plan. We are going to make the JPY 80 billion strategic investment from now. We move on to that phase of making investment to establish the new business portfolio.
Thank you very much.
Nakanomyo-san from Jefferies Securities, please.
Yes, thank you. I am Nakanomyo from Jefferies. Can you hear me?
Yes, I can hear you. Thank you for your question.
My first question, this is confirmation. In your presentation, the second half, in comparison with the first half, there will be more purchase order increasing. Because of the recent situation, you see this kind of condition already, like in China, there's a decrease somehow, and stable in North America, but in Taiwan, business is active. What is the breakdown? Can you please share with me?
Yes. As to purchase order, we do not disclose the number. We cannot share with you the breakdown of the purchase orders we receive. The total value of the order should be increasing, and that's how we see these recent inquiries. Talking about percentage, foundry is very strong. Share of foundry is almost 50% or so. That's how we project. The situation will progress like this.
Okay. Thank you. Second question is again about China. 42% China share will be getting down to 30% or so.
I think it's about your sales, your company's share of sales. When we take a look at the whole WFE, it is considered that China business will decline. When we talk about China, you said that new companies have less investment, but existing company will continue the similar investment. I think you have powerful players or not powerful, or you have account which purchase a lot, or accounts which don't. I think China's customers are not so weak. What do you think of your China sales in comparison with the whole China market?
Well, it's a very difficult question and difficult issue to deal with. Rather than memory, logic is an area we have strength. The new customers or existing customers of the logic, from logic customers, we get a lot of purchase orders and we get a lot of inquiries.
As to memory-related business, we are not really strong. However, in the memory-related business, I think a certain amount of purchase will be received by us. However, investment trend, when we take a look at, probably the memory investment will decline. That's how we see Chinese market next year.
Is it a positive aspect for you, generally speaking? What should we say? Should we say positive or not?
Yes, for us, I think it's a good direction for us, better direction when we think about our portfolio.
Okay. Thank you. Thank you very much.
Thank you very much. Next, let me invite Mr. Damian Thong from Macquarie Capital Securities . Damian-san is the last person to ask questions on this occasion.
Thank you. For next fiscal year's outlook, you said that the market condition may be a little bit weaker than this fiscal year. You revised your plan.
Where did you see the stronger situation than expected? Is it with China or the foundry? Compared to the three months ago, where did you see the stronger situation?
As I answered previously, WFE forecast for the calendar year 2024, DRAM will have +15%, Flash +15%, and foundry was +5%, and logic -15%. These are the situation we expect. Your question is not about WFE.
The reason why I asked this question is that you have the big share, especially with DRAM and memory. You have the big share. When you see the inquiries from the customers, your sales growth expected for next fiscal year, given the current market situation, do you think that your sales growth can be better than that of the market growth of the next fiscal year or next year?
Yes, that's how is the situation.
Better than the WFE market itself, we can achieve the greater growth. The double-digit percent growth is expected now.
My last question, new POR will be gained from now to increase the share. Do you expect less impact from that?
We are now increasing our market share at this moment. Because of the exchange ratio in 2023, the share was almost flat. That was the result we had. In 2024, we can expect the increase of the share.
Thank you very much. That's all from me.
Damian-san, thank you very much for your questions. This now concludes the SCREEN Holdings financial results briefing on second quarter of fiscal year ending in March 2025. Thank you again for your participation despite your busy schedule. Thank you very much.