FromSoftware

Kadokawa Q3 FY2026 Financial Results (Japanese GAAP)

This financial report details the consolidated results for KADOKAWA Corporation during the first nine months of the fiscal year ending March 31, 2026, covering the period from April 1, 2025, to December 31, 2025.

• Kadokawa’s operating profit plummeted 59.7% to 6.3 billion yen for the first nine months of FY2026, while net income fell 70.0% to 2.2 billion yen on net sales of 202.9 billion yen.
• The Publication and IP segment experienced a 90.2% decline in operating profit, driven by rising personnel costs and a lack of major domestic hits, despite growth in U.S. and Asian markets.
• The Animation and Live-Action segment shifted to an operating loss of 904 million yen due to a reliance on new, less established titles compared to the previous year's major successes.

Kadokawa Earnings Results Briefing: 2nd Quarter Ended September 30, 2025

Kadokawa’s earnings briefing for the second quarter of the fiscal year ending March 31, 2026, details a period of significant financial contraction, prompting a downward revision of full-year forecasts.

• Kadokawa significantly lowered its full-year operating profit forecast for the fiscal year ending March 31, 2026, from 16.7 billion JPY to 10.3 billion JPY, a 38.3% decrease from initial expectations.
• First-half consolidated operating profit fell 47.8% year-on-year to 5.55 billion JPY, driven by underperformance in the Publication/IP Creation and Animation/Film segments.
• The Publication/IP Creation segment will undergo organizational restructuring in January 2026 to separate high-potential comic and light novel businesses from other genres to improve editorial efficiency and restore operating margins to 10%.

Kadokawa Corporation: Summary of Consolidated Financial Results for the Year Ended March 31, 2024

Kadokawa Corporation concluded the fiscal year ending March 31, 2024, with consolidated net sales of 258,109 million yen, representing a modest 1.0% year-over-year increase.

• Kadokawa Corporation reported fiscal year 2024 net sales of 258,109 million yen, a 1.0% year-over-year increase, while operating profit fell 28.8% to 18,454 million yen due to the absence of Elden Ring's prior-year performance and increased strategic investments.
• The company recognized 2,507 million yen in impairment losses, primarily driven by the underperformance of the Tokorozawa Sakura Town facility and exits from specific business lines.
• Kadokawa maintains a stable financial position with a 56% equity ratio, despite a reduction in cash reserves caused by debt repayment and treasury share repurchases.

KADOKAWA CORPORATION: Summary of Consolidated Financial Results for the Year Ended March 31, 2023

Kadokawa Corporation achieved significant financial growth during the fiscal year ended March 31, 2023, reporting net sales of 255,429 million yen, a 15.5% increase over the previous period.

Kadokawa Corporation Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

Kadokawa Corporation achieved substantial financial growth during the nine-month period ending December 31, 2022, characterized by a 20.4 percent increase in net sales to 189.7 billion yen and a 51.7 percent rise in operating profit to 19.4 billion yen.

Kadokawa Corporation Summary of Consolidated Financial Results for the Six Months Ended September 30, 2022

Kadokawa Corporation experienced a period of robust financial expansion during the first half of the fiscal year ending September 30, 2022, characterized by significant revenue growth and strategic restructuring.

• Kadokawa Corporation reported a 17.0% year-over-year increase in consolidated net sales to 122,639 million yen and a 33.2% rise in operating profit to 13,237 million yen for the six months ending September 30, 2022.
• The Game segment experienced a 255.1% revenue surge, driven primarily by the global commercial success of the title Elden Ring.
• Kadokawa reduced its ownership stake in FromSoftware from 100% to 69.7% via a third-party share allotment, generating 21,984 million yen in capital surplus to fund global game intellectual property development.

Kadokawa Financial Results: Fiscal Year Ended March 31, 2020

Kadokawa achieved a return to profitability for the fiscal year ending March 31, 2020, recording 8.087 billion yen in operating income.

• Kadokawa returned to profitability for the fiscal year ending March 31, 2020, reporting 8.087 billion yen in operating income.
• Financial recovery was driven by growth in the e-book sector and structural reforms within the DWANGO division.
• FromSoftware’s gaming portfolio, specifically Sekiro: Shadows Die Twice and Dark Souls III, provided significant commercial support to the company's performance.