Financialmixi
Consolidated Financial Results for the Three Months Ended June 30, 2018
1 Aug 20189 pages~15 min full read
Mixi, Inc. reported a significant Q1 FY2019 downturn, with net sales falling 28.3% year-over-year to ¥34,561 million and operating income dropping 45.4% to ¥11,029 million.
See it on page 6Profit attributable to owners of the parent declined by 46.8% to ¥7,294 million for the three-month period ended June 30, 2018.
See it on page 2The Entertainment segment remains the primary revenue driver at ¥32,709 million, though this represents a sharp decrease from the ¥44,981 million recorded in the same period the previous year.
See it on page 8The company’s full-year forecast for the period ending March 31, 2019, projects a 7.5% decrease in annual net sales to ¥175,000 million and a 33.7% drop in operating income to ¥48,000 million.
See it on page 2Despite declining performance, the company maintains a strong financial position with an equity ratio of 91.2% and total assets of ¥178,800 million.
See it on page 1The Lifestyle business segment recorded a loss of ¥424 million on sales of ¥1,851 million during the quarter.
See it on page 8Mixi executed approximately ¥10,000 million in treasury share repurchases during the quarter and implemented share remuneration-type stock options for directors to align executive interests with shareholder value.
See it on page 7Mixi, Inc. reported a significant decline in financial performance for the first quarter of fiscal year 2019, covering the three-month period ended June 30, 2018. Net sales fell by 28.3% year-over-year to ¥34,561 million, while operating income dropped 45.4% to ¥11,029 million. Profit attributable to owners of the parent followed a similar downward trend, decreasing 46.8% to ¥7,294 million. Despite these contractions, the company maintained a strong financial position with an equity ratio of 91.2% and total assets of ¥178,800 million.
The results reflect a transition in the company’s business portfolio, marked by a reclassification of reportable segments into Entertainment and Lifestyle businesses. The Entertainment segment remains the primary revenue driver, contributing ¥32,709 million in sales, though this represents a sharp decline from the ¥44,981 million generated in the same period the previous year. The Lifestyle segment recorded a loss of ¥424 million on sales of ¥1,851 million. Cash flow data indicates a substantial increase in treasury share repurchases, totaling approximately ¥10,000 million during the quarter, which contributed to a decrease in cash and deposits.
Looking ahead, the full-year forecast for the period ending March 31, 2019, anticipates continued pressure on margins. Annual net sales are projected at ¥175,000 million, a 7.5% decrease from the prior year, with operating income expected to fall by 33.7% to ¥48,000 million. To align executive interests with shareholder value during this period, the company resolved to issue share remuneration-type stock options to its directors. The financial data was prepared in accordance with Japanese GAAP and underwent internal review prior to its release to institutional investors and analysts on the Tokyo Stock Exchange.
