Good afternoon, everybody. Let us start the SCREEN Holdings Akihiko Miyagawa, full-year financial results explanation for the year ending in March 2025. Let me introduce you to today's presenters. First of all, Toshio Hiroe, Representative Director, President, and CEO. This is Hiroe. Thank you very much for your participation. This is Yoichi Kondo, Representative Director and CFO. This is Kondo. In addition to CEO and CFO, we have three officers. First, Masato Goto, Senior Managing Executive Officer. This is Goto. Manabu Ishimura, Senior Financial Strategy Officer. This is Ishimura. Akihiko Miyagawa, Senior Corporate Strategy Officer. I am Miyagawa. Thank you very much. Now, we'd like to have Kondo, CFO, give the presentation about the financial results. Let me start my presentation on the briefing of the financial results for the year ending in March 2025.
First of all, we achieved the equal increase of the sales and the profits against the previous year, hitting the record highs for the fourth year in a row. Especially, SBE made a great contribution in leading this growth. The year-end dividend payment will be raised to JPY 288 per share, compared to the January focus of JPY 163 per share. The annual dividend payment will be JPY 308 per share, also record high. About SBE, there is a client request for the early delivery, so we could see the large increase in the sales and the profits year on year. Net sales, OP income, and OP margin all hit the record highs. Net sales growth rate outperformed the WFE market for two years in a row. We saw a great improvement in our market share for the single wafer cleaning equipment.
With FD, we saw the great improvement in the performance. The balance sheet, equity ratio improved to 62.7%, and credit rating was raised to A+ by JCR. Let me go to the next page. These are the figures. The net sales was JPY 6025.2 billion, and operating income was JPY 135.6 billion, with OP margin of 21.7%. Ordinary income was JPY 138.32 billion, and net income was JPY 99.4 billion. Against the same time of the previous year, the net sales increased by JPY 120.3 billion, OP income JPY 41.5 billion, ordinary income increased by JPY 43.9 billion, net income increased by JPY 28.8 billion over the previous year. These are the graphics for your reference. On the right side, we can find our ROE now hit 25.1%. This is the composition of group sales by the region.
Japan 14%, Taiwan 18%, China 42%, South Korea 5%, and other countries 4%. North America 10%. There is an increase in Taiwan and China with a decrease in North America. This is the sales by segment. PE 2.3%, FD 5.7%, GA 8.5%, and SBE 83.1%. This is the consolidated earnings by segment. First of all, in the fourth quarter, the sales for SBE was JPY 135.5 billion, and operating income was JPY 36 billion, OP margin 26.6%. GA net sales JPY 13.9 billion, OP income JPY 1 billion, OP margin 7.2%. FD net sales JPY 11 billion, OP income JPY 1.6 billion, OP margin 15.4%. PE net sales JPY 4.5 billion, OP income JPY 0.5 billion, OP margin 11%. For the full year, SBE net sales was JPY 519.5 billion, OP income JPY 136.9 billion, OP margin 26.4%.
GA net sales JPY 53 billion of net sales, OP income JPY 4.2 billion, OP margin 8.1%. FD net sales was JPY 35.8 billion of sales, OP income JPY 3 billion, OP margin 8.5%. PE net sales JPY 14.1 billion, OP income JPY 1 billion, OP margin 7.5%. This is the comparison QOQ and year on year. SPE Q on Q with the decrease of sales and profit. There was the difference of JPY 19.3 billion or JPY 5.8 billion because of the strong performance in the third quarter. This is not a bad figure for the fourth quarter. There is an increase in the application sales to Taiwan and Japan. GA had the increase of the sales by JPY 200 million, and the profit decreased.
Mainly in the United States, recovery business was strong, but the fixed cost increase had an impact on the profit. FD increase in sales and profit, and sales increased by JPY 700 million, and profit increased by JPY 400 million. Both the OLED and LCD performed well, and variable cost reduced. PE increase in sales and profit, sales increased by JPY 1.9 billion, and profit increased by JPY 600 million. Both sales and profits increased, sales recovered both in outside Japan, mainly for the direct patterning. On year on year, on the right side, SBE achieved the increase of the sales and the profit. JPY 100 million to JPY 1.8 billion of increase in the sales and JPY 39.9 billion of increase in the profit. Sales to the leading-edge applications in Taiwan and materials in China led to growth.
Sales to foundry, logic, and memory all increased. GA increased in the sales, but the profit flat. While the recovering business performed well, fixed cost increased. Next is FD increase in sales and profit. The JPY 12.5 billion increase in sales and JPY 3.4 billion increase in profit. There is a great improvement in the performance of FD. PE decrease in sales and profit. There is a minus of JPY 400 million in decrease in sales and minus JPY 700 million in profit. This is the situation of the balance sheet. JPY 671.2 billion is a total. Net asset increased to JPY 420.6 billion while the equity ratio improved to 62.7%. Given this, the credit rating was improved to A+ by Japan Credit Rating Agency. Outlook is stable. This is about the cash flow.
In the fourth flow, the cash in the fourth flow was operating cash flow was JPY 26.8 billion. Investment cash flow was minus JPY 4.4 billion. The free cash flow was JPY 22.4 billion. The financing cash flow was minus JPY 19.7 billion. As you see on the year-on-year, the operating cash flow was JPY 71.2 billion. Investment cash flow was minus JPY 21.7 billion. Free cash flow was JPY 49.4 billion. The financing cash flow was minus JPY 46.4 billion. We have very smooth progress with the cash flow. This is the analysis of operating income growth. The result of the year ending in March 2024 was JPY 94.1 billion. There is an increase of the sales and capacity utilization plus JPY 50.5 billion. There is a profitability improvement with JPY 4.5 billion.
There was an introduction by the fixed cost by the JPY 14.5 billion. The impact of the exchange rate was JPY 1 billion. The result was the JPY 135.6 billion for the year ending in March 2025. There is the increase in sales and capacity utilization is attributable to SBE and FD. Profitability improved mainly in SBE. Increase in the fixed cost is mainly due to the growth investment in SBE, labor cost, depreciation, amortization, all in expenses, etc. Exchange rate positively impacted GA and PE.
Thank you, Mr. Kondo.
Mr. Hiroe is going to explain the business environment and the outlook. Mr. Hiroe, please. I'm going to talk about the business environment and the outlook. First of all, about the business environment. The growth of the semiconductor device market is driven by the deep learning inference accelerators for servers, which is quite steady. As for the manufacturing equipment, the leading-edge investment is continuing. Also, the mature node investment in China is also steady. Investment is continuing. Talking about GA, centering the Europe and the U.S., the business environment centered around the POG remains sound. Recurring business is also showing steady progress. Talking about FT, investment in OLED, as well as LCDs, remains steady. We would like to aim for increasing both sales and profit. About the PE, the one advanced packaging remains strong.
The market environment for printed circuit boards remains challenging. There is a delay in the investment decision by customers, and full recovery is expected from the second half and onward. As for the business outlook, the March fiscal year 2026 three-year forecast, we aim to maintain high levels of both sales and profits, but there is an impact of U.S. tariffs. We have conservative numbers factoring in the impact. The second year of a mid-term management plan this fiscal year, we consider them as a phase of preparation for further growth. We are going to steadily implement growth investment as we have explained. We aim to achieve our goals over the cumulative three-year period. This fiscal year, which has started, the annual dividend is projected to be JPY 280 per share. SBE business overview is going to be explained.
Talking about WFE, the current year 2024 landed upward. It was actually landed at $110 billion. There was a rush demand. Calendar year 2025, we assume the same level. Calendar year 2026, further growth is expected at this point in time. The investment trends by application. As for foundry, the cutting-edge applications are leading the WFE growth. The investment focused in Asia, but is expected to expand into North America. As for logic, the clients are carefully revising their investment plans. As for memory, the HBM for AI, the investment momentum is continuing. NAND is expected to see the same level as previous year. The image devices, the investment is expected to resume later in FCY 2025. Power device remains sluggish, and the recovery is expected to be delayed to the calendar year 2026 onward.
We added the advanced packaging this fiscal year, and the development has started at the panel level in addition to the wafer level. Talking about the China market, the investment continues steadily to build its own supply chain of semiconductors. The last point, competitive environment. The market share has significantly improved. Briefly mentioned, the details will be given later. We face or accommodate the customer's needs sincerely, and we would like to market our solutions in non-FEOL areas as well, including the advanced packaging. This is the consolidated trend by application. By application, the Q on Q, the foundry, the sales to foundry is increasing further. In year on year, the foundry, the sales to foundry and logic increased in ratio. As for postals, the sales increased steadily. In January, we are JPY 126.2 billion, and they actually ended at JPY 135.5 billion.
Therefore, a little upward. And then some of the customers wanted to have advanced delivery. So that was posted as a March sales. Next is by destination. There is the same thing, but in January, the ratio over China was expected to be 33%, but they landed at 38%. As I explained earlier, the China project is increasing. This is the result. And by destination, Q4, Q1Q, the sales to Taiwan and Japan has increased significantly in ratio. The ratio of sales to China has not decreased. And the full year and the year-on-year sales to Taiwan has grown significantly in ratio, and the sales to China grew further from the previous year. And the full year at the far right, January, the forecast was 510, but actually landed at 519.5. So that gave an impact overall.
This one, the first half estimator, the JPY 240.5 billion by application. The first half results and then the first half estimator compared, the foundry ratio decreased, but the DRAM portion is expected to increase. If you compare the second half results and the first half forecast, the same things can be said. As for the foundry, the advanced investment is quite robust, and also the investment in foundry in China is also emerging. As for the DRAM, the HBM leading-edge related and the China-related investment gave a positive impact. It has given the positive impact when we look at this fiscal year. Next, about the by destination, the first half results and the first half forecast are compared. It is expected to increase in Taiwan and Korea. The second half results and the first half estimate are compared, the big increase in the sales to Taiwan.
The sales to China is expected to land in 44%. The first half and the second half, which are ended, almost the same percentage in China. The second half is, we expect this percentage will decline a little bit. GA, centering the ink, the recurring business sales remains stable. We aim to improve the operating margin through the launch of new products. The new products release was delayed a little bit, but in June, we expect the launch in June. We are working on the development, and we expect the contribution by this launch. As for GA, the tariff in the U.S., a 10% tariff is imposed. The recurring business, especially in ink, same tariff will be imposed. That impact is factored in the current forecast.
As for the FT, the sales have recovered due to the recovery of the display market. Going forward, the OLED is expected to take a central stage, but there is still solid demand for LCDs in China for TV. The subsidy is given as their Chinese policy. Because of that, the demand is aroused. Therefore, the investment for increased production. We can see this impact. In the previous year, we achieved the surplus for the first time in three years, and we need to further increase our profit in this year. Next is about PE. As was mentioned by Mr. Kondo, the PE is a little bit struggling. In general, the investment into packaging is a little bit weak right now. At the end of the calendar year 2025, we can expect the increase or recovery of the investment.
For the intake about the postal sales, it has been at the high ratio. We would like to place expectation on it and wait for the recovery. The next page is about the business forecast. About the first half, the sales is JPY 299.5 billion and operating income JPY 54.5 billion. The OP margin is 18.2%. These are the targets. For the second half, net sales are JPY 321.5 billion and operating income is JPY 60.5 billion and OP margin 19.4% are our targets. For the full year, our net sales target is JPY 621 billion, OP income JPY 117 billion, and OP margin 18.8% are the full year targets. JPY 88.1 billion is net income expected, which means that they are decreasing the profit, but we would like to find a way to improve it further.
About SPE, in the first half, the target is JPY 240.5 billion, OP income JPY 57.5 billion, OP margin 23.9% is expected. For the second half, net sales JPY 261.5 billion is expected, OP income JPY 63.5 billion with OP margin of 24.3%. For the full year, JPY 502 billion of sales expected with JPY 121 billion of OP income and 24.1% of OP margin are planned. GA, so the other businesses, let me introduce you the one for the full year with net sales of JPY 53 billion, OP income JPY 2.5 billion and 4.7% OP margin. FT, net sales JPY 45.5 billion with OP income JPY 5 billion, 11% OP margin. PE, JPY 15 billion of net sales with OP income of JPY 1 billion with 6.7% OP margin.
Others expected net sales of JPY 5.5 billion and OP income with a loss of JPY 12.5 billion because of the reversed investment into the research and development. I think SPE is a business you are paying attention to, so let me elaborate on SPE. In SPE, we have to make the greater investment into the research and development. Including the labor cost, the fixed cost of SPE will be larger from now. Product mix, compared to the previous year, the product mix is a little bit weaker, especially with China. The ratio of the new customers will decrease. That is a feature we now expect that is resulting in the exacerbation of the product mix. About GA, we expect the impact of tariff, and FT may also have the impact from tariff. We expect the slight impact from the coming tariff.
Next is about the R&D expenses, CapEx, and depreciation. In the previous year, you can find the trend, which was explained by Kondo a moment ago. The CapEx exceeded the January forecast, but as for the R&D expense, we were short of the budget. This will be shifted into the project in this fiscal year. In this fiscal year, we have JPY 38 billion of R&D expenses, JPY 28 billion of capital expenditure, and JPY 15 billion of depreciation and amortization. We will execute our investment as planned so that we can achieve the next phase of growth. This page is for your reference. Next page, please. This is the waterfall chart, which shows you the analysis of operating income growth. JPY 135.6 billion result of year-ending in March 2025.
We have the increase of JPY 8 billion in sales and capacity utilization, which is mainly led by FT, GA, and PE. The profitability is minus JPY 2 billion. FT, GA, and PE have the positive performance, but because of the product mix I mentioned earlier, the SPE is on the negative side. The fixed costs coming from the research and R&D expenses, labor cost, and investment into the future growth, and also the increase of depreciation. We expect minus JPY 19.5 billion, and mostly coming from the SPE business. The impact of the exchange rate is minus JPY 5.5 billion. SPE and GA share this impact from the exchange rate. The total is JPY 117 billion. The exchange rate is 135 yen for dollar and 150 yen for euro. The sensitivity has not changed from the previous year.
Next is the page about the annual dividend outlook. As was mentioned by Mr. Kondo a moment ago, for the year ending in March 2025, at the end of the year, we are going to make JPY 188 of the year-end dividend payment, which will make the annual dividend JPY 308, a record high per share. The focus for the year ending in March 2026, the interim dividend payment will be JPY 123, and year-end dividend will be JPY 157. The annual dividend will be JPY 280. We are going to achieve the payout ratio of 30% above as a target. These figures support this target. The total payout ratio is the expression we have used so far. As you know, since the previous fiscal year, we made the JPY 30 billion share buyback, which was complete in April.
JPY 18.9 billion of the share buyback was complete in the previous year. The total shareholder return ratio is 48.9%. Next page. This is already announced on June 20th. We have the 84th annual general meeting of shareholders. This has to be approved on that occasion, but we will have the change of representative directors in this way. I myself will have the new title of Representative Director, Member of the Board, Chairman. Today we have Goto in this meeting, and he will be the Representative Director, Member of the Board, President, and Chief Executive Officer, who is now the Senior Managing Executive Officer. Mr. Kondo will serve as a Member of the Board, Executive Vice President, and Chief Financial Officer.
I myself and Mr. Kondo will support Goto-san. Mr. Kondo. We have been receiving the support from Mr. Kakeuchi, the Chairman, and Mr. Kakeuchi will remain as Executive Advisor for us. He will be active in the field of economic cycle. Through the value of 2030, the mutual management plan period, by introducing the ROIC system, we could see the improvement in the business management so that we now have the power or capability to generate cash. The current period of interim management plan, the priority is to where we make the investment from now. We will continue to make the strategic investment so that we can be prepared for the next level of growth. At this timing, we will succeed the business to the new generation of management. I think this is a very appropriate step for us. That is why we decided in this way.
In the coming mutual management plan, which follows 2026, we are now at the timing to come up with the next mutual management plan, and we will ask Mr. Goto to take initiative in coming up with the next mutual management plan. Mr. Goto, do you have any comment at this moment? I am Goto. Together with Mr. Hiroe and Mr. Kondo, we will be involved in the management of the business of SCREEN Group, and I ask for your kind and continuous support. Thank you very much. Now I would like to talk about the progress of Value at Friday 2026. I already explained about the financial results. Today I would like to focus on ROIC, and the first year result was 24.7% of ROIC, and the second year forecast is 19.6%. However, we would like to increase further.
The topics is attached. Among the topics, what I would like to introduce is the acquisition of land in the Yasu. I hope you will be aware of that. The semiconductor manufacturing equipment production site will be produced overseas, and we have decided the direction of that investment. By doing such an investment steadily for the next investment, we would like to work for the further growth. The appendix is attached. The major equipment global share, you can find the appendix, and Gartner released the number, the single wafer cleaning equipment, we have a 42% market share, and batch type cleaning equipment, 46%, and spin scrubber, 45%. Our market share has increased, mainly due to the leading edge foundry or the mature node foundry. The POR was acquired, and the ASP has been gradually increased because of pass-on level prices.
As for the new topic, advanced packaging area cleaning application has been widened, and that is contributing to a certain amount of sales. Due to these factors, our market share is growing, and we would like to continuously increase our market share. That is all from me. I myself, this is my last presentation in the briefing of financial results. Thank you very much for your kind cooperation. Mr. Goto will succeed me, but thank you for your continued support and cooperation. Thank you very much, Mr. Hiroe. Moving to the Q&A. Morgan Stanley MUFG, Wadaki-san, please. Thank you. As for the forecast and the plan in comparison to the total, they look a bit smaller, but as for the second half, how much can you foresee, I mean, forecast?
The person I had interviewed, you have a full capacity in the plant. As for the second half, how much you can forecast, including the utilization of your capacity at the plant? Hiroe is going to answer your questions. As for the forecast for the second half, as for the first half, we have come in sight. As for the second half, the third quarter, half of the third quarter has come in sight in our impression. From the year-end to the following year, the project is still uncertain. Due to the tax impact taken into consideration, we have announced the forecast in a conservative way. First quarter, at the end of the first quarter, we can see the second half clearly. At the end of the first quarter, we would like to share the information with you. Okay, understood.
The second question, generally speaking, the transaction with the companies in the entity list, how do you consider that? Are you not going to have a transaction with them or along with the regulations? You are going to continue your sales? The ministry, we follow the guidelines of the Ministry of Economy, Trade and Industry, and we operate our business. The entity list-related companies, the 20 U.S. major needs to be used, the 25% or higher. It is not covering our business. We follow the regulations of the Japanese government. Okay, understood. Thank you very much. Thank you very much, Mr. Wadaki. Now, Mr. Shimamoto from Okasan Securities. This is Shimamoto from Okasan Securities. Can you hear me? Yes. Thank you for this opportunity. I have a question about how to read the WFE business. In a quantitative way, in a more specific way.
Would you have a look at the foundry and Chinese market situation? How do you see the coming year about these businesses? About WFE, we had a kind of last-minute demand increase at the end of the year. For this year, we have the focus a little bit smaller. We expect the level will be the same as that of the previous year for this fiscal year, which is mainly led by the foundry. Investment into the leading edge has been continuing. Also in the Asian region, including China, the investment will be made. That's how we see the situation. Unfortunately, logic seems to be a little bit weaker. Memory, the investment leading to HBM is now very sound, especially DRAM HBM-related investment is now very active. NAND is the same level as that of the previous year.
For the image device, from the end of the fiscal year, we expect the recovery in investment. We can expect a certain level of sales and profit. The power device is a little bit weak. Thank you for your answer. Another question is about China. Do you see the situation in China as positive or negative? In the first half in China, we came up with the forecast set to be at 40%, comparable to that of the previous year. For the second half, this will decline to about 30%. That is the situation now. Thank you very much. The total of China will be negative from now. Yes. Thank you for your answer. I have another question. The impact of tariff. You mentioned that you already incorporated the impact of tariff.
If you can elaborate on how much impact you actually involved. I think GA has a direct impact, but as for the production equipment, how did you incorporate the impact of tariff in your forecast? Would you explain on this point? The impact of tariff on GA, now we have the baseline 10% tariff. That is what I mentioned earlier. With this figure, the tariff impact is incorporated. Billions of JPY of impact is expected. For SPE, not much impact is incorporated. At present, how the tariff will be imposed on the semiconductor is now being studied as a separate box. That is the current situation we acknowledge. There is a tariff on aluminum spare parts.
It is relevant that we have to calculate the amount or weight of the aluminum contained in a component or in a part to come up with the exact impact of the tariff. We are now working on that very difficult analysis. I think we can find more details in April or May. When things become more clear, we would like to share that information with you. Thank you very much. That is all for me. Thank you, Mr. Shimamoto. Next, board members. Mr. Nakamura, please. Thank you very much. Thank you very much, Mr. Hiroe, for your great support. The first point, the impact of a tariff, the new fiscal year, the forecast, the factoring in situation was explained.
At the moment, from your customers' forecast or the investment plan from your customers, after the tariff topic came up, is there any change or concern in the inquiries or the order received? At the moment, no impact has been seen. After this time, based on the assumed impact, we may ask the customers, then some kind of impact may be given. For the time being, no outstanding impact is seen. At the moment, advanced order demand is not occurring. Yes. As I explained, the Chinese customers a little bit requested to make an advanced delivery in the year, which was ended. Other than that, it is steady. The second question, considering the profit of the SPE in the new year, the OP margin is going to decline, and the product mix and the R&D and the labor cost increase were explained.
In comparison to the previous year, the 2.3% point seems to decline this fiscal year. The gross margin and the SG&A and what might be the breakdown. The SG&A seems to be increasing in your plan. Would you explain or elaborate on that? Exactly, you mentioned the impact is product mix. Product mix impact is bigger. The R&D cost increase is factored in to some extent. There is some impact of R&D. Do you have any additional comments? Miyagawa is going to add as for the fixed cost. Looking ahead, the labor cost increase by increasing the personnel and then R&D expenses going to be increased, and they are reflected. Okay, understood. The cost of sales also increased about the 1% point, and those SG&A also increased by 1 percentage point. Yes, that's right. Thank you. Thank you very much. Next, Mr. Yoshida from CLSA Securities, please.
Yoshida from CLSA Securities, please.
Thank you very much. This is Yoshida. Mr. Hiroe, thank you very much for your great work so far, and I expect your continuous great work. My question is about WFE. A moment ago, you made a comment. By application, especially about foundry, you said that the situation is sound. Do you expect positive growth from now? When the foundry, DRAM, achieve growth, then logic may be a negative growth, but power device negative. In general, I think rather than flat, the performance of the SPE will be stronger. When you see the total situation, how do you see the 2025? In your comment, you expect a further growth into the fiscal year 2026. Toward 2026, do you expect any change in any application?
The foundry, we expect the positive growth, but the mature node in China in the second half may decrease. That is how we expect. This part will have the negative impact of setting the situation. That is why we expect the growth will be flat from 2024. In 2026, we expect a further growth because we have the investment into the overseas halves. We can expect the contribution from these overseas halves into which we are now making investment right now. With foundry, Asian manufacturers, overseas deployment will make their contribution into 2026. That is how you expect the growth. Yes, including the United States, we can expect the situation moving that way. My second question, in this, you said that you have certain available visibility for the first half.
Compared to the fourth quarter of the previous year with SPE, what kind of direction do you now find? Compared to three months ago, how do you evaluate the current level of demand or order intake? Do you see any change in the trend? The environment for the order intake compared to the fourth quarter in the previous year, where the order level was a little bit slower, smaller. On the timing of the fourth quarter, the customers did not place the orders with us because of their own reasons. We have a report that in the first quarter, we are not receiving orders from these customers. We are not concerned about the situation. How the order intake will increase in the first quarter will be the kind of indicator for us to make the focus for the order intake for the full year.
The visibility we have about the first quarter or first half, especially about the first quarter, we have good visibility. Customers sometimes change the expected delivery date or delivery timing, and that kind of fluctuation should be expected for the quarter. The level of the order intake is enough for us for the quarter. I think this situation will continue until the end of the first quarter with enough amount of the order backlog. Compared to the fourth quarter, do you expect the sales trend is the same from the fourth quarter? How do you see the trend? As you see on the screen right now, compared to the first quarter of the previous year, there is a slight increase in the coming first quarter, first half. In the quarter first half, the first half of comparison, there is a rise.
As we have been saying, in the second half, because of several factors, there is a possibility that in the second half, there are greater sales in the second half. Whether we can achieve the same level of JPY 2,904 billion in the second half of this year is now being scrutinized or studied right now. Thank you very much. Mr. Nakano Mio from Jefferies, please. Nakano Mio over at Jefferies Securities. Thank you very much. I thank you very much for your work so far. I am sorry to repeat, but that is for China, the entire market based on the WFE. In the previous quarter, the CUI25 China is not expected to decline so much. I believe you talked about that. In 2024, there was an upside. How do you see the decrease in 2025?
In your explanation so far, the emerging is weak, but the existing is quite steady. Among the emerging, there are some strong companies. Is there any changes for the past three months? No change has been seen. At the end of the day, according to the WFE, at the end of 2024, there was a portion of increase. That portion will become negative in 2025, according to my impression. Previously, the first half of China portion is high, but less in the second half. At the end of the day, it would be the middle 30% level. This is what I explained. It has been progressing as we had expected. The percentage you mentioned, it's your companies and percentage of your company and the percentage of WFE. We are talking about our company's percentage.
According to the WFE, I do not know, Goto-san, do you have any comment? According to the WFE, as Mr. Hiroe mentioned earlier, there is no significant change. Our prospect or the forecast is almost the same as the forecast of the WFE. The investment of existing players is increasing. Do you see any trend? The existing customers are getting stronger. Yes, that is the trend this fiscal year. I am talking about this fiscal year. Okay, understood. Thank you very much. Thank you. Thank you very much, Mr. Nakano Mio. Next is Mr. Yoshida from Nomura Securities. I have two questions. The first one is about the market of WFE. I want to confirm in that sense. Is there any possibility of the downward division about WFE, or you have not made any downward division?
Compared to three months ago, is there any change taking place by application? If there are any applications with greater change, please advise them. Compared to three months ago, as has been commented by Goto-san a moment ago, in all markets, we have not changed our view. Simply put, the one slided into this fiscal year is now analyzed to how they will have an impact on the performance. What is strongly performing is the generative AI-related leading edge or HBM. We have an impression they are performing very strongly. As I touched upon, the cleaning in the advanced packaging area is growing, and this is an area we place expectations on. Thank you very much. The follow-up question about the advanced packaging. Are there any factors behind the sharp? Your ratio in your sales or scale of business. How much growth did you see with advanced packaging? Compared to the others, you have the high share. Can we see in that way?
Thank you for your question.
The advanced packaging cleaning is now applied by the customers who are working on the development of the leading edge applications. We have the inquiries from them and develop various products. This is the background of the growth. Volume-wise, it is not so big to talk about. It is millions of JPY of scale. Thank you very much. My second question, please briefly comment on the forecast between the first and the second half. Your visibility about the second half is not so clear at this moment, but when you make the comparison between the first and the second half, this is about SBE. I think you expect the growth of the sales.
Would you elaborate by application? Which application sales do you expect to increase into the second half? The foundry will lead the growth. There is no change in that. Memory-related business will get stronger in the second half. So DRAM may be strong. Miura-san, do you have any comment or flash? Flash may increase in the second half. Thank you very much. I understand. Thank you, Mr. Yoshida.
Since there is no person to ask questions, with this, I would like to conclude the 2025 consolidated business results and the forecast briefing. Thank you very much for joining today.