Odaily reported that AI investor 루팡 posted on X that Kioxia’s market value has recently surpassed 50 trillion yen, while the company is still taking a cautious approach to future capital spending compared with its previous peak. According to the figures cited in the post, Kioxia plans to invest an average of 470 billion yen per year during fiscal years 2026 to 2028. That would represent a 66% increase from 2025, but it would still be roughly 10% below the historical high of 510.4 billion yen recorded in fiscal 2023.
Investment Pace Remains Below the Previous High
루팡 noted that Kioxia invested 1 trillion yen in its Yokkaichi plant in 2022. After that period, the company recorded losses for five consecutive quarters as demand declined. Following that downturn, Kioxia’s current focus has shifted to cash-flow management centered on the Kitakami plant. Even as the NAND market has entered an upward cycle, the planned capital expenditure level has not returned to the fiscal 2023 peak.
The NAND market is currently facing a worsening supply shortage. The post said contract prices in the second quarter of 2026 rose 70% to 75% from the previous quarter. Against that backdrop, Kioxia plans to convert 50% of its total shipments into long-term supply agreements by 2028, aiming to build a more stable revenue base. The plan shows that the company is balancing expansion with tighter cash-flow discipline.
Supply Controls and Related Industry Effects
According to 루팡, after Kioxia restricts market supply, Samsung Electronics and SK hynix may gain related opportunities, while Korean companies in NAND process materials, components and equipment may also benefit. With NAND in an upcycle, changes in supply management and the rising share of long-term supply agreements have become central elements in understanding Kioxia’s operating strategy.
The post also noted that the consortium involving SK hynix still holds an 18% stake in Kioxia. As Kioxia’s enterprise value rises, the scale of SK hynix’s potential investment gains may increase. This shareholding links changes in Kioxia’s valuation more directly with parts of the Korean memory industry chain.