FILE PHOTO: Advantest's logo is pictured in Tokyo, Japan June 4, 2024. REUTERS/Sam Nussey/File Photo
TOKYO (Reuters) -Japanese chip testing equipment maker Advantest forecast on Friday its operating profit to grow 6% next fiscal year, buoyed by demand for its testing tools for chips used in the artificial intelligence tasks.
Advantest "does not recognise more than a minor direct impact" from tariffs but the business environment is increasingly uncertain, the company said in an earnings release.
"We are talking a cautious approach, particularly beyond what we can see in the first half," CEO Douglas Lefever told an earnings briefing.
The company reported operating profit of 228.2 billion yen ($1.59 billion) for the year ended March 31, up sharply from 81.6 billion yen in fiscal year 2024.
Advantest expects an operating profit of 242 billion next fiscal year.
It said it would buy back about 19 million shares for up to 70 billion yen.
Its shares closed up 4.6% ahead of earnings on Friday and have fallen around 33% this year so far.
($1 = 143.2400 yen)
(Reporting by Sam Nussey; Editing by Rashmi Aich and Tomasz Janowski)
