Japanese memory chipmaker Kioxia expects operating profit for the April-June quarter to hit 1.3 trillion yen ($8.2 billion), capitalizing on surging demand from the artificial intelligence boom.
The company, a major producer of NAND flash memory chips, reported a 92.7% rise in operating profit to 870.4 billion yen for the fiscal year ended March, surpassing analyst estimates.
Kioxia is preparing to list American depositary shares on a U.S. exchange to broaden its investor base. Its stock has more than quadrupled year-to-date, giving the firm a market capitalization larger than Sony and Fast Retailing.
This surge mirrors a broader rally in memory stocks, with Samsung Electronics topping $1 trillion in valuation and SK Hynix closing in on that milestone.
Kioxia has undergone significant restructuring, including its carve-out from scandal-hit Toshiba by a Bain Capital-led consortium and a Tokyo listing in late 2024. The memory industry, known for large capital needs, remains exposed to volatile price cycles.