- 01
Mixi, Inc. experienced a significant Q1 fiscal 2020 downturn, with net sales dropping 39.9% to ¥20,780 million and operating income falling 85.2% to ¥1,637 million compared to the previous year.
- 02
The Entertainment Business segment was the primary driver of the decline, with revenue contracting from ¥32,709 million to ¥19,969 million year-over-year.
- 03
The company projects a difficult full fiscal year, forecasting a 30.6% decline in net sales to ¥100,000 million and an 88.7% drop in profit to ¥3,000 million.
- 04
Despite operational losses, the company maintains a strong balance sheet with ¥138,393 million in cash and deposits and a high equity ratio of 93.8%.
- 05
Mixi acquired SFIDANTE Inc. for ¥1,599 million in Q1 to integrate smartphone-photo print services into its 'FamilyAlbum' app, resulting in ¥1,504 million of provisional goodwill.
- 06
The Lifestyle Business segment underperformed during the quarter, recording a segment loss of ¥272 million.
- 07
To align leadership with shareholder interests during this period of decline, the company authorized the issuance of over 400,000 stock options to directors and corporate officers in July 2019.