Bandai Namco Holdings Financial Highlights for the First Quarter: FY2027.3

Key insights

7 takeaways

01
Bandai Namco Holdings reported a strong first quarter for FY2027.3, with net sales reaching 328.5 billion yen (up 9.3% YoY) and operating profit rising significantly to 69.2 billion yen (up 33.3% YoY).
02
The Toys and Hobby segment was the primary growth driver, with sales surging 31.2% YoY to 192.8 billion yen and operating profit jumping 88.8% to 53.9 billion yen.
03
The Digital Business segment experienced a decline in performance, with sales dropping 15.7% YoY to 90.9 billion yen and operating profit falling 30.8% to 15.0 billion yen.
04
Home console game performance saw a sharp decrease in Q1, with unit sales falling to 7 million units from 10.8 million units in the same period last year.
05
Major IP performance remained robust, with ONE PIECE leading groupwide sales at 37.8 billion yen, followed by DRAGON BALL at 29.9 billion yen and Mobile Suit Gundam at 65.6 billion yen.
06
The Amusement business showed steady growth, with segment sales increasing 12.6% YoY to 38.1 billion yen, supported by a 107.6% YoY increase in existing-store sales in Japan for the first quarter.
07
Regional operating profit results were mixed, with Japan contributing 64.0 billion yen (up 31.0% YoY) and the Americas seeing a substantial profit increase to 6.4 billion yen (up 166.0% YoY), while Europe reported an operating loss of 0.6 billion yen.

Summary

Bandai Namco Holdings reported strong financial performance for the first quarter of the fiscal year ending March 31, 2027. The company achieved net sales of 328.5 billion yen, representing a 9.3% increase compared to the same period in the previous fiscal year. Operating profit saw significant growth, rising to 69.2 billion yen, a 33.3% increase year-over-year. This upward trajectory in profitability was driven largely by the Toys and Hobby segment, which remains the company’s primary revenue engine.

The Toys and Hobby business segment reported net sales of 192.8 billion yen, a substantial 31.2% increase over the prior year, with operating profit nearly doubling to 53.9 billion yen. Conversely, the Digital business segment experienced a contraction, with net sales falling to 90.9 billion yen—an 84.3% performance relative to the previous year—and operating profit declining to 15.0 billion yen. This downturn in the digital sector was primarily attributed to a reduction in home console game unit sales, which totaled 6.98 million units for the quarter, down from 10.76 million in the same period of the prior year.

Geographically, Japan remains the dominant market, contributing 245.6 billion yen in net sales and 64.0 billion yen in operating profit. The Asian market also showed positive momentum with a 17.2% increase in sales. While the Americas and Europe faced minor fluctuations, the company maintains a stable outlook for the remainder of the fiscal year. The overall strategy continues to leverage major intellectual properties, such as Mobile Suit Gundam, One Piece, and Dragon Ball, which remain central to the group's diversified portfolio across toys, digital content, and amusement facilities.