Tokyo Electron weighs China chip risk as it upgrades profit outlook

Threat of stricter U.S. export controls looms for Japan chipmaking equipment suppliers

Demand for AI-related chipmaking capacity remains strong, Tokyo Electron says. (Tokyo Electron)

KYOKA YUASA, TSUYOSHI TAMEHIRO and HIROKI MASUDA, Nikkei staff writers

November 13, 2024 02:36 JST

TOKYO -- Japanese chipmaking equipment maker Tokyo Electron has upgraded what was already a record full-year profit forecast, but it faces a slowdown in Chinese demand and the risk of tougher U.S. restrictions on technology exports to China.

The company said Tuesday that it expects group net profit to rise 45% to 526 billion yen ($3.4 billion) for the fiscal year ending March 2025, up 48 billion yen from its earlier forecast.