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Aiming
Distilling the key insights…
This report outlines the financial performance and business status of Aiming Inc. for the second quarter of its 10th fiscal year, covering the period from April 1, 2020, to June 30, 2020. The company operates exclusively within the online game industry, focusing on the development and operation of smartphone and PC titles.
During this period, the company reported a net sales figure of 2,434 million yen, representing a 17.8% decrease compared to the same period in the previous year. This decline was primarily attributed to reduced revenue from existing titles, such as the smartphone and PC versions of "CARAVAN STORIES," alongside the discontinuation of several other titles. Despite the drop in revenue, the company successfully improved its operating loss to 181 million yen, compared to a 375 million yen loss in the prior year. This improvement was driven by cost-reduction measures, including the divestiture of the Osaka studio to Doki Doki Groove Works and a reduction in personnel at the Taiwan studio, which lowered labor and overhead expenses.
The company continues to face challenges regarding its status as a going concern due to recurring operating and net losses. To address these, management is focusing on operational efficiency for existing titles and the anticipated profit contribution from the new title "Dragon Quest Tact," which launched in July 2020. Financial stability has been bolstered by the issuance and exercise of the 7th series of stock acquisition rights, which provided 1,689 million yen in funding during the first half of the year. As of June 30, 2020, the company’s cash and cash equivalents stood at 2,153 million yen, reflecting a significant increase from the start of the fiscal year.
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