DeNA FY2022 Results Briefing: Q&A Summary

Key insights

6 takeaways

01
DeNA aims for its healthcare and medical division to achieve 20 billion yen in revenue and 5 billion yen in operating profit by fiscal year 2024.See it on page 2
02
The company is targeting full-year profitability for its healthcare and medical sectors in fiscal year 2023.See it on page 2
03
DeNA is planning the construction of a new arena in Kawasaki, scheduled for completion by 2028, to support its sports business and local development strategy.See it on page 1
04
Management is shifting the Pococha live streaming platform's strategy from pandemic-era acquisition to long-term user retention to return the service to a growth phase.See it on page 1
05
The company is prioritizing the stabilization of core business segments while maintaining a cautious approach to new service testing and infrastructure costs.See it on page 1
06
Strategic growth in the medical sector is being driven by the expansion of the Join service and targeted M&A activity.See it on page 2

Summary

DeNA’s fiscal year 2022 results briefing highlights the company’s strategic focus on stabilizing core business segments while scaling its healthcare and sports divisions. The primary objective for the upcoming fiscal years is to transition from portfolio strengthening to sustained profitability and growth. Management emphasizes that while short-term quarterly fluctuations are expected due to seasonal demand—particularly in pharmaceutical-related data services—the long-term trajectory remains focused on achieving specific revenue and operating profit targets by fiscal year 2024.

The healthcare and medical sector serves as a critical growth pillar, with the company targeting full-year profitability for both areas in fiscal year 2023. By fiscal year 2024, the division aims to reach a combined 20 billion yen in revenue and 5 billion yen in operating profit. This growth is supported by the expansion of the Join service across medical facilities and a broader strategy of integrating M&A activity to meet evolving social health needs. Simultaneously, the sports business is positioned under a community-focused "Serve" approach, leveraging the Yokohama DeNA BayStars and Kawasaki Brave Thunders to drive local development, or machizukuri, while planning for a new arena in Kawasaki by 2028.

Regarding the live streaming platform Pococha, the company is shifting its focus from pandemic-era demand spikes to long-term user retention. By refining acquisition methods and fostering a highly active user base, the company intends to return the service to a growth phase. While the game business continues to operate across diverse international markets, management maintains a cautious approach to new service testing, such as live sports streaming, prioritizing the delivery of user delight while managing the costs associated with infrastructure development and regional expansion.