Financial

Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending December 31, 2021: Japanese GAAP

1 August 20218 pages2,014 words

Summary

KLab Inc. reported a significant downturn in financial performance for the first half of the fiscal year ending December 31, 2021. Revenue fell by 22.6% year-over-year to 12.3 billion yen, resulting in an operating loss of 842 million yen and a net loss attributable to owners of the parent of 1.7 billion yen. This represents a sharp reversal from the same period in 2020, which saw a modest profit. The decline was primarily driven by a contraction in the core game business, where revenue dropped from 15.8 billion yen to 12.1 billion yen. The financial results were further impacted by substantial extraordinary losses, specifically a 1.54 billion yen impairment loss. This follows a previous impairment of goodwill in the research and consulting segment during the prior year. Consequently, the company’s total assets decreased from 23.5 billion yen at the end of 2020 to 21.0 billion yen by June 30, 2021. Despite these losses, the company maintained a stable equity ratio of 70.1%. Geographically focused on the Japanese market and listed on the Tokyo Stock Exchange, the company revised its full-year forecasts to reflect ongoing volatility. Projections for the fiscal year end suggest a wide range of potential outcomes, with revenue expected between 27 billion and 32 billion yen and net results ranging from a 1.3 billion yen loss to a 200 million yen profit. No dividends were paid or forecasted for the period. The data was prepared in accordance with Japanese GAAP and covers the consolidated performance of the parent company and its subsidiaries.

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