FinancialCyberAgent
Partial Correction to FY2023 Consolidated Financial Results [Japanese GAAP]
1 May 202518 pages~32 min full read
CyberAgent’s FY2023 operating income plummeted 66.9% to ¥22,351 million, driven largely by a 62.5% profit decline in the Game Business due to lower revenue from high-margin titles.
See it on page 5Net income attributable to owners of the parent dropped significantly to ¥3,540 million from ¥22,901 million in the previous year, reducing basic earnings per share from ¥45.29 to ¥6.99.
See it on page 18The Media Business, anchored by ABEMA, grew revenue by 25.8% behind events like the FIFA World Cup Qatar 2022 but remained unprofitable with a segment loss of ¥12,873 million.
See it on page 5Despite earnings pressures, the company maintained a strong liquidity position with ¥201,780 million in cash and cash equivalents, bolstered by the issuance of convertible bonds.
See it on page 5The Internet Advertisement Business expanded its market share during the period but suffered a 26.3% decrease in segment profit.
See it on page 5Management projects a 34.2% increase in operating income for FY2024, relying on a pipeline of new game releases and reduced deficits in the Media Business.
See it on page 6CyberAgent remains heavily reliant on the Japanese domestic market, which accounts for over 90% of the company's total sales and assets.
See it on page 16CyberAgent’s consolidated financial results for the fiscal year ended September 30, 2023, reveal a period of transition characterized by modest top-line growth alongside a sharp contraction in profitability. While net sales rose 1.3% to ¥719,451 million, operating income plummeted 66.9% to ¥22,351 million. This decline was primarily driven by the Game Business, where operating income fell 62.5% to ¥22,708 million due to reduced revenue from high-margin titles. Consequently, net income attributable to owners of the parent dropped significantly from ¥22,901 million in the previous year to ¥3,540 million, resulting in a decrease in basic earnings per share from ¥45.29 to ¥6.99.
The Media Business, anchored by the streaming platform ABEMA, demonstrated strong revenue growth of 25.8%, bolstered by high-profile events such as the FIFA World Cup Qatar 2022. However, the segment continued to operate at a loss of ¥12,873 million. Simultaneously, the Internet Advertisement Business expanded its market share but experienced a 26.3% decrease in profit. Despite these earnings pressures, the company maintained a robust liquidity position, ending the period with ¥201,780 million in cash and cash equivalents, supported by financing activities including the issuance of convertible bonds.
Operations remain heavily concentrated in the Japanese domestic market, which accounts for over 90% of total sales and assets. Looking toward the 2024 fiscal year, projections suggest a recovery with a forecasted 34.2% increase in operating income. This anticipated growth is predicated on a pipeline of new game releases and a narrowing of deficits within the Media Business. The transition to a group tax sharing system further reflects the evolving corporate structure across its five primary reportable segments: Media, Internet Advertisement, Game, Investment Development, and Other Businesses.
