Updated Mar 23, 2026 by Nippon Ichi Software
Consolidated sales for Q2 FY2026/03 plummeted 49.2% to ¥1,244 million, resulting in a widened operating loss of ¥322 million compared to ¥206 million in the prior year.
The core entertainment business, encompassing game development and digital distribution, saw a 50.6% revenue decline to ¥1,184 million and an operating loss of ¥96 million.
Cash balances dropped by ¥1,544 million to ¥3,652 million, driven by a negative operating cash flow of ¥306 million and significant investing outflows of ¥1.48 billion.
Full-year revenue is projected to fall 9.9% to ¥4,774 million, with management anticipating that operating and ordinary losses will continue to widen.
The company's financial position weakened as equity declined to ¥7,635 million and the equity ratio dropped from 69.6% to 67.2%.
The student-dormitory and services segment grew sales by 25.1% to ¥60 million, though the division remained unprofitable with an operating loss of ¥8 million.
Consolidated sales for Q2 FY2026/03 plummeted 49.2% to ¥1,244 million, resulting in a widened operating loss of ¥322 million compared to ¥206 million in the prior year.
The core entertainment business, encompassing game development and digital distribution, saw a 50.6% revenue decline to ¥1,184 million and an operating loss of ¥96 million.
Cash balances dropped by ¥1,544 million to ¥3,652 million, driven by a negative operating cash flow of ¥306 million and significant investing outflows of ¥1.48 billion.
Full-year revenue is projected to fall 9.9% to ¥4,774 million, with management anticipating that operating and ordinary losses will continue to widen.
The company's financial position weakened as equity declined to ¥7,635 million and the equity ratio dropped from 69.6% to 67.2%.
The student-dormitory and services segment grew sales by 25.1% to ¥60 million, though the division remained unprofitable with an operating loss of ¥8 million.