Updated Mar 21, 2026 by Bandai Namco
Financial · September 1, 2016
Published by Bandai Namco
Bandai Namco Holdings presented its FY 2015‑16 performance to underscore an IP‑centric growth model that integrates toys, network entertainment and visual‑music production across global markets. The company recorded ¥575.5 billion in net sales, a modest 1.8 % year‑on‑year increase, while operating income fell to ¥49.6 billion (‑8 %) and profit attributable to owners reached ¥34.6 billion, supported by ¥34.6 billion of free cash flow and a cash balance of ¥169 billion. Return on equity stood at 11.2 %, and total liabilities declined to ¥131 billion, lifting net assets to ¥2.82 trillion. Segment contributions were ¥206.4 billion from Toys & Hobby, ¥320.9 billion from Network Entertainment and ¥52.0 billion from Visual‑Music, with core franchises such as Mobile Suit Gundam, Dragon Ball, Super Sentai and Yo‑kai Watch driving the bulk of revenue. The “IP axis” strategy emphasized cross‑category exploitation of established and emerging intellectual property, enabling Gundam model shipments of 14.4 million units—30 % exported—and expanding adult‑women product lines in cosmetics and apparel. Live‑event initiatives for Love Live! scaled to stadiums in Japan, China, South Korea and Taiwan, while new music‑centric IPs and VR‑ZONE concepts broadened the entertainment portfolio. The report highlighted continued penetration
OUR MISSION DREAMS, STATEMENT FUN AND INSPIRATION “Dreams, Fun and Inspiration” are the Engine of Happiness. Through our entertainment products and services, BANDAI NAMCO will continue to provide “Dreams, Fun and Inspiration” to people around the world, based on our boundless creativity and enthusiasm. The BANDAI NAMCO Group develops entertainment-related products and services in a wide range of fields, including toys, network content, home video game software, arcade game machines, amusement facilities, and visual and music content. In accordance with our Mid-term Plan, which includes the vision of “NEXT STAGE—Empower, Gain Momentum, Accelerate Evolution,” we are aiming to be No. 1 with strong conviction. On that basis, we are committed to being “the Leading Innovator in Global Entertainment” and recording strong growth. THE LEADING OUR VISION INNOVATOR IN GLOBAL ENTERTAINMENT As an entertainment leader across the ages, BANDAI NAMCO is constantly exploring new areas and heights in entertainment. We aim to be loved by people who have fun and will earn their trust as “the Leading Innovator in Global Entertainment.”
CONTENTS 02 TODAY’S BANDAI NAMCO Group 04 The BANDAI NAMCO Group— 06 1 YEAR of Results (FY2016.3) 02 The BANDAI NAMCO Group— 04 08 BO COURSE AND VISION 06 ARD OF DIRECTORS AND AUDIT 10 & SUPERVISORY BOARD MEMBERS 08 CHAIRMAN’S MESSA GE 12 10 PRESIDENT’S 12 MESSA GE 16 SPECIAL FEATURE: Continually Taking On 16 30 Challenges with the IP Axis Strategy 30 CORPORATE GO VERNANCE 39 38 CSR INITIATIVES 39 FINANCIAL SECTION 75 CORPORATE D ATA 76 OVERVIEW OF MAIN GROUP COMPANIES Forward-Looking Statements The forward-looking statements in this annual report are based on the information available to management as of August 2016 and include various risks and uncertainties. Accordingly, actual results may differ materially from these projections for a variety of reasons. Major factors that could influence actual results include changes in the BANDAI NAMCO Group’s operating environment, market trends, and exchange rate fluctuations. Notes: 1. All figures in this annual report are rounded to the nearest unit. 2. FY2016.3 and the year under review represent the one-year period ended March 31, 2016. 3. Figures in this annual report are as of August 2016.
~~TODAY’S~~ BANDAI NAMCO Group FY2016.3 The BANDAI NAMCO Group comprises BANDAI NAMCO Holdings Inc., which is a pure holding company, three strategic business units (SBUs), and affiliated business companies that support the work of the SBUs. The SBUs, which encompass the operating companies in each field, formulate and implement business strategies and provide a diverse range of entertainment around the world. BANDAI NAMCO Holdings GROUP ORGANIZATION Net Sales Shareholders’ Equity Ratio ¥575.5 billion 70.6% Free Cash Flows Operating Income ¥34.6 billion ¥49.6 billion Number of Employees Return on Equity (ROE) 7,391 11.2% Asia, excluding Japan Overseas Sales Proportion Europe 6.9% 22.4% 8.0% Americas Reference R&D Investments 7.5% Contributions ¥54.6 to Net Sales by billion Geographic Japan Region 77.6% Net Income Per Share (Basic) ¥157.43 Note: Percentage figures are calculated based on external sales. Figures are estimates based on management accounting.
Strategic Business Units (SBUs) Note: Percentage figures are calculated based on sales before elimination of internal transactions. Toys and Hobby Core Company: BANDAI CO., LTD. Toys for boys Toys for girls Plastic models Net Sales Segment Income ¥206.4 billion ¥16.6 billion Sales Ratio Segment Income Ratio Vending machine Confectionery, foods Apparel capsule toys, cards Sundries 34.0% 31.2% Stationery Network Entertainment Core Company: BANDAI NAMCO Entertainment Inc. Network content Home video game software Net Sales Segment Income ¥320.9 billion ¥23.9 billion Sales Ratio Segment Income Ratio Arcade game machines Prizes Amusement facilities 52.9% 44.8% Visual and Music Production Core Company: BANDAI VISUAL CO., LTD. Motion pictures Music Net Sales Segment Income Motion ictures Music ¥52.0 billion ¥11.7 billion Sales Ratio Segment Income Ratio Live events Goods related to live events Live events Live viewing 8.6% 21.9% Distribution of video on demand (VOD) content Affiliated Business Companies (Supporting the Group) Group
Return on Equity Return on Assets (ROE) (ROA) Debt/Equity Ratio* 11.2% 11.4% 0.01times 303.5 317.3 441.8 448.3 19.8 248.8 268.0 342.2 374.2 405.1 Interest-bearing debt Total Net 213.1 14.1 Total Assets 14.0 14.0 0.09 13.3 (¥ billion) Assets 13.2 (¥ billion) (¥ billion) 11.2 12.2 11.4 Debt/Equity 9.2 ROE 9.1 9.7 ROA 10.7 Ratio* (%) (%) (Times) 0.05 4.4 0.03 0.01 1.9 0.01 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 * Debt/equity ratio = Interest-bearing debt/ Total shareholders’ equity Profit Attributable to Owners of Parent Cash Dividends per Share THE BANDAI NAMCO Group ¥34.6 billion ¥52 1 YOY 8.0% YOY ¥10 FY2016.3 Profit Attributable to Owners of Parent Cash Dividends per Share (¥ billion) 37.6 (Yen) 32.4 34.6 62* 19.3 25.1 26 45 35 52 YEAR 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 * FY2015.3 includes a special dividend of ¥10 Free Cash Flows Shareholders’ Equity Ratio Net Income per Share (Basic) ¥34.6 billion 70.6% ¥157.43 YOY 13.1% YOY ¥13.67 Free Cash Flows* 304.1 325.1 Consolidated Dividend Payout Ratio (¥ billion) 34.6 70.6 23.8 26.9 30.6 233.1 259.0 274.3 68.6 33.0% 21.6 Total Shareholders’ 66.0 66.0 Equity (¥ billion) Shareholders’ 61.8 Equity Ratio (%) 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 * Free cash flows = Net cash provided by operating activities + Net cash used in investing activities
Sales of Major IPs* (Group total) Mobile Suit Gundam series ¥78.6 billion DRAGON BALL series ¥34.9 billion Yo-kai Watch series ¥32.9 billion ONE PIECE ¥23.3 billion Power Rangers series ¥19.1 billion * IP: Characters and other intellectual property Network Entertainment Business: Sales by Major Category BANDAI NAMCO Holdings Inc. and Consolidated Subsidiaries Network content Home video game software For the Fiscal Years Ended March 31 ¥103.9 billion ¥95.7 billion of Results Arcade game machines Amusement facilities ¥57.9 billion ¥58.6 billion Home Video Game Software Sales Net Sales of Visual and Visual and Music Production SBU: (Group total) Music Production SBU Number of Copyrighted Products 26,686 thousand ¥52.0 billion (As of 2016.3) NUMBER OF COPYRIGHTED PRODUCTS Sales of BANDAI VISUAL CO., LTD. Europe Japan packaged 768 software 13,272<sub> thousand</sub> 4,698<sub> thousand</sub> ¥17.8<sub> billion</sub> 49.7<sub>%</sub> 17.6<sub>%</sub> 34.3<sub>%</sub> Sunrise Inc., BANDAI NAMCO Pictures INC. North America Manufacturing of animation, 8,716<sub> thousand</sub> licensing operations, 32.7<sub>%</sub> distribution and events, and others ¥34.1<sub> billion</sub> 65.7<sub>%</sub> NUMBER OF WORKS WITH MASTER LICENSE RECORDINGS Lantis Co., Ltd. Number of works published Approx.67,500 Approx.39,500 of YEAR THE
The 2015 annual report presents Bandai Namco’s strategic blueprint to become the world’s leading innovator in entertainment, anchored by an IP‑centric growth model and a three‑year “NEXT STAGE” mid‑term plan. The narrative links the company’s 2005 integration anniversary to a renewed “IP‑axis” strategy that drives product development, cross‑SBU collaboration, and geographic expansion, especially across Asia. Financial results for fiscal 2015 show consolidated net sales of ¥565.5 billion, up 11.4 % year‑on‑year, with operating income rising 26.1 % to ¥56.3 billion and an operating margin of 10 %. Net income surged 50 % to ¥37.6 billion, lifting ROE to 13.2 % and ROA to 14.0 %. Operating cash flow reached ¥50.1 billion, expanding cash‑and‑cash‑equivalents to ¥153.8 billion, and a record dividend of ¥62 per share was declared. The mid‑term targets aim for ¥600 billion in net sales and ¥60 billion in operating profit by FY 2018, with a ROE above 10 %. Segment goals include Toys & Hobby sales of ¥250 billion and ¥18 billion profit, Network Entertainment sales of ¥310‑¥
Bandai Namco’s 2017 integrated report presents a comprehensive account of the company’s financial, strategic, and governance performance, emphasizing the central role of its “IP‑axis” strategy in achieving record results. By leveraging core intellectual properties across games, toys, visual media, and music, the group generated ¥620.1 billion in net sales and ¥63.2 billion in operating profit, a 27.7 % year‑on‑year increase, while free‑cash flow rose 47.7 %. The Network Entertainment segment contributed 57.9 % of sales and 63.8 % of profit, with flagship franchises such as Mobile Suit Gundam (¥74 billion) and Dragon Ball (¥61 billion) underpinning cross‑media expansion and overseas growth in Asia, Europe, and the Americas. Strategic outlook is framed by the newly launched three‑year “NEXT STAGE” plan, which targets global IP expansion, regional autonomy, and continued innovation to meet mid‑term objectives a year ahead of schedule. Governance is reinforced through a ten‑member board—including three independent directors—and an audit‑supervisory board meeting Japanese Corporate Governance Code standards. A robust compliance and risk‑management framework, performance‑linked director compensation, and extensive investor‑relations activities underscore the company’s commitment to transparency and stakeholder trust. Corporate‑social‑responsibility initiatives achieved a 27 % reduction in CO₂ emissions since FY2012 and introduced universal‑design products and supplier audits. Financially, profit attributable to owners reached ¥44.2 billion, EPS rose to ¥201, and dividends of ¥15.4 billion were declared. Acquisitions such as
The 2006 annual report presents the first full‑year results of the joint holding company formed by the September 2005 merger of Bandai and Namco, outlining a strategy that leverages cross‑business synergies across toys, hobby products, visual media, network services, amusement facilities and game software. Financial performance for fiscal 2006 reached ¥450.8 billion in net sales, ¥35.7 billion in operating profit and ¥14.2 billion in net income, delivering earnings of ¥54.4 per share and a ¥12 dividend, while return on equity fell to 5.8 % for Bandai and 9 % for Namco. The report notes that weaker amusement‑facility and game‑software markets forced inventory write‑downs and a deferred‑tax‑asset allowance, causing the group to miss its internal targets. Revenue concentration remained heavily Japan‑centric, with roughly 81 % of sales generated domestically and 19 % from overseas markets. The medium‑term management plan targets a rise in overseas sales to 25 % of total revenue by FY 2009 and ultimately 50 % long‑term, supported by the “Entertainment Hub” model that integrates character merchandising with technology to create and distribute content across multiple channels. Projected additions include ¥5 billion in new toys and hobby sales and ¥30 billion from new amusement‑facility formats, with operating‑margin goals of 15‑20 % across the five Strategic Business Units. Governance is structured around a ten‑member board, a four‑member statutory auditor board and a series of standing committees that oversee strategy, personnel, CSR, compliance and crisis management, complemented by ten internal‑control policies introduced from FY 2007. The consolidated balance sheet shows shareholders’ equity of ¥243.6 billion, strong operating cash generation of ¥31.8 billion, and a year‑end cash balance of ¥113.2 billion after
The 2018 integrated report presents Bandai Namco’s strategic and financial narrative, emphasizing a record‑high fiscal performance and a forward‑looking “CHANGE for the NEXT” mid‑term plan (FY 2018‑2021). Consolidated net sales reached ¥678.3 billion, up 9.4 % year‑on‑year, while operating profit climbed 18.6 % to ¥75.0 billion, delivering an operating margin of 11.1 % and basic earnings per share of ¥246.3. Shareholder returns were reinforced with a total dividend of ¥123 per share, including a ¥25 special dividend. Growth was driven primarily by the Network Entertainment unit and the launch of a new IP‑Creation Unit, which generated 309 copyrighted titles (2,560 hours of content) and is supported by a ¥25 billion strategic‑investment fund aimed at multiplying IP value 100‑ to 1,000‑fold. The “IP‑axis” strategy extends core franchises such as Gundam, PAC‑MAN, Aikatsu! and IDOLiSH7 across animation, games, toys, novels and live‑action, while new‑entertainment initiatives target digital‑first content, mature fan markets, e‑sports and location‑based venues. Expansion in China includes flagship stores, hologram anti‑counterfeit seals and integrated e‑commerce, reinforcing the group’s global footprint. Corporate governance was strengthened through an independent board of 11 directors (three outside) and an audit‑supervisory board meeting stringent independence criteria, complemented by a risk‑compliance charter, business continuity planning and transparent stakeholder engagement. The CSR agenda, under the “Dreams, Fun and Inspiration” mission, achieved a roughly 20 % reduction in CO₂ emissions, deployment of LED lighting, green‑procurement standards banning 29 hazardous substances, and extensive supplier audits. Financially, the company managed a rise in debt to ¥1.47 trillion, a modest decline in cash reserves, and an effective tax rate of 25.7 % aided by R&D credits. Consistent ROE above 10 % and a clean audit opinion underscore the robustness of the business model, while directors call for further earnings‑model innovation, accelerated global expansion, and diversified talent development to sustain the vision of becoming the leading entertainment company.