Enix

Square Enix Holdings Financial Results: Six-Month Period Ended September 30, 2015

Square Enix Holdings reported strong financial growth for the six-month period ending September 30, 2015, driven primarily by the performance of its Digital Entertainment segment.

• Square Enix reported consolidated net sales of 86.4 billion yen and an operating income of 12.6 billion yen for the six-month period ended September 30, 2015, representing a year-over-year increase of 13.2 billion yen in sales and 4.1 billion yen in operating income.
• The Digital Entertainment segment remains the primary revenue driver, contributing 60.2 billion yen in net sales and 12.9 billion yen in operating income, with an operating margin of 21.5%.
• Quarter-over-quarter operating profit declined due to a reactionary drop in MMO expansion disc sales, losses on the evaluation of smart device and PC browser game content, and increased advertising expenses for HD games.

NEXON FY2015 Q2 Earnings Presentation: Summary of Q&As

This summary of the Nexon FY2015 Q2 earnings question-and-answer session outlines the company’s strategic outlook, operational performance, and financial expectations.

Nexon Q2 2015 Earnings Call

Nexon achieved robust financial growth during the first half of 2015, characterized by a 12 percent year-over-year revenue increase to JPY 94.6 billion and a substantial 56 percent rise in net income.

• Nexon reported a 12 percent year-over-year revenue increase to JPY 94.6 billion and a 56 percent rise in net income for the first half of 2015.
• The company successfully shifted its mobile revenue mix, with native mobile applications now accounting for approximately two-thirds of total mobile earnings.
• Core PC franchises, specifically Dungeon&Fighter and MapleStory, remain the primary drivers of the company's financial performance.

Reference Materials: Three-Month Period Ended June 30, 2015

Square Enix Holdings Co., Ltd. reported strong financial growth for the three-month period ending June 30, 2015, characterized by significant increases in both net sales and operating income compared to the same period in the previous year.

• Square Enix reported a strong start to the fiscal year ending March 31, 2016, with net sales increasing to 42.3 billion yen and operating income rising to 7.9 billion yen for the quarter ended June 30, 2015.
• The Digital Entertainment segment was the primary growth driver, with net sales increasing by 6.8 billion yen and operating income nearly doubling to 8.2 billion yen compared to the same period in 2014.
• Operating margins for the Digital Entertainment segment improved significantly, rising from 19.2% in the April-June 2014 quarter to 27.0% in the April-June 2015 quarter.

Consolidated Financial Results for the Three-Month Period Ended June 30, 2015: Square Enix Holdings

Square Enix Holdings reported strong financial growth for the three-month period ending June 30, 2015, driven primarily by the robust performance of its Digital Entertainment segment.

• Square Enix reported strong Q1 growth for the period ending June 30, 2015, with net sales reaching ¥42,282 million (up 12.0% YoY) and operating income rising 56.1% to ¥7,912 million.
• The Digital Entertainment segment, the company's primary revenue driver, saw net sales increase 29.2% to ¥30,297 million and operating income jump 81.6% to ¥8,191 million.
• Digital Entertainment growth was fueled by strong performance in smartphone and PC browser titles like 'DRAGON QUEST MONSTERS SUPER LIGHT' and 'FINAL FANTASY RECORD KEEPER,' alongside steady results from 'FINAL FANTASY XIV' and 'DRAGON QUEST X'.

Square Enix Holdings Financial Results Briefing: FY2015/3

Square Enix achieved significant financial growth during the 2015 fiscal year, characterized by an 8.3 percent increase in net sales to 167.9 billion yen and a substantial 55.8 percent rise in operating income to 16.4 billion yen.

• Square Enix reported strong FY2015/3 growth with net sales rising 8.3% to 167.9 billion yen and operating income surging 55.8% to 16.4 billion yen.
• Management projects FY2016 net sales of 200–220 billion yen and operating income of 17–25 billion yen, aiming to surpass the 200 billion yen revenue milestone for the first time.
• Financial performance was driven by mid-sized console titles, sustained profitability in massively multiplayer online games, and growth in the smart device segment.

Nexon First Quarter 2015 Financial Results

Nexon’s financial performance for the first quarter of 2015 demonstrates a successful execution of its strategic focus on high-quality game development and expansion within the free-to-play market.

• Nexon reported Q1 2015 total revenues of 52.0 billion yen, a 9% year-over-year increase driven by strong performance in China and Korea.
• Net income attributable to owners of the parent grew 15% to 18.5 billion yen, while operating income rose 5% to 22.2 billion yen.
• Mobile game revenues reached 8.4 billion yen, marking a 16% increase, while native game revenues grew 2.8 times compared to Q1 2014.

Nexon Q1 2015 Investor Presentation

Nexon’s first-quarter 2015 investor presentation outlines a period of strong financial performance and strategic execution, characterized by revenue growth and successful operations in key Asian markets.

• Nexon reported Q1 2015 total revenues of ¥52.0 billion, a 9% year-over-year increase, and an operating income of ¥22.2 billion, a 5% increase.
• Net income for the quarter reached ¥18.5 billion, representing a 15% year-over-year growth, supported by a ¥10 billion share repurchase program.
• Financial performance exceeded the company's initial outlook due to strong results in China and Korea and disciplined management of marketing and HR expenditures.

Financial Results: Fiscal Year Ended March 31, 2015

The financial results for Square Enix Holdings for the fiscal year ended March 31, 2015, demonstrate a period of significant growth and operational recovery.

• Square Enix reported strong fiscal growth for the year ending March 31, 2015, with net sales rising 8.3% to 167.9 billion yen and operating income increasing 55.8% to 16.4 billion yen.
• The Digital Entertainment segment served as the primary revenue driver, generating 111.9 billion yen in sales and 17.3 billion yen in operating income.
• Performance was bolstered by the stable revenue streams of MMO titles, specifically Final Fantasy XIV and Dragon Quest X, alongside growth in the smart device market.

Square Enix Holdings Co., Ltd. Reference Materials: Nine-Month Period Ended December 31, 2014

Square Enix Holdings Co., Ltd. provides a financial overview for the nine-month period ending December 31, 2014, detailing significant growth in profitability and revenue compared to the same period in the previous fiscal year.

• Square Enix reported strong growth for the nine-month period ending December 31, 2014, with net sales increasing to 118.9 billion yen (up from 102.5 billion yen) and net income rising to 10.9 billion yen (up from 5.2 billion yen).
• The Digital Entertainment segment was the primary driver of performance, with net sales growing by 18.9 billion yen and operating income increasing by 7.3 billion yen compared to the same period in 2013.
• Operating margins for the Digital Entertainment segment improved significantly, rising from 12.0% in the prior-year period to 18.7% for the nine months ended December 31, 2014.

2015 Annual Report

Square Enix Holdings concluded the 2015 fiscal year with robust financial performance, characterized by an 8.3% increase in net sales to ¥167.8 billion and a significant 49.0% rise in net income to ¥9.8 billion.

• Square Enix Group's mission is to spread happiness globally by providing high-quality content, services, and products that enable customers to create unforgettable experiences and discover their own happiness.
• The company plans to launch "RISE OF THE TOMB RAIDER" on Xbox One and Xbox 360 in November 2015, PC in early 2016, and PlayStation 4 in late 2016. The Tomb Raider series has shipped over 45 million copies worldwide since 1996, and its film adaptation grossed over $300 million.
• "JUST CAUSE 3" is scheduled for release on Xbox One, PlayStation 4, and PC on December 1, 2015, continuing a franchise known for explosive action and player freedom since 2006.

Square Enix Holdings Financial Results Briefing: Six-Month Period Ended September 30, 2014

Square Enix achieved significant financial growth during the six-month period ending September 30, 2014, reporting net sales of ¥73.1 billion and an operating income of ¥8.5 billion.

• Square Enix reported net sales of ¥73.1 billion and an operating income of ¥8.5 billion for the six-month period ending September 30, 2014.
• The Digital Entertainment segment drove financial performance through high-definition console launches, consistent MMO revenue, and strong smart device application contributions.
• The Amusement segment experienced a decline due to a lack of new machine releases and reduced foot traffic in Japanese retail environments.