Financialmixi
Consolidated Financial Results for the Nine Months Ended December 31, 2021
1 Feb 202212 pages~29 min full read
Mixi, Inc. reported a 7.6% decline in net sales to ¥81,089 million and a 28.8% drop in profit to ¥7,428 million for the nine months ending December 31, 2021.
See it on page 10Management issued a downward forecast for the full fiscal year, projecting an annual profit decrease of over 40% compared to the previous year.
See it on page 2The company is aggressively diversifying beyond gaming by acquiring a 51.3% stake in F.C. Tokyo for ¥1.15 billion and investing in the medical service CALL DOCTOR.
See it on page 11Mixi committed up to ¥6 billion in credit facilities to develop physical entertainment infrastructure through TOKYO-BAY ARENA Co., Ltd.
See it on page 12A change in revenue recognition accounting for the flagship title Monster Strike—shifting from currency consumption to character utility—resulted in a ¥1,272 million increase in operating income.
See it on page 8Despite a reduction in cash reserves of over ¥30 billion due to investments and a ¥7.5 billion share buyback program, the company maintains a strong equity ratio of 84.4%.
See it on page 1Mixi, Inc. experienced a period of financial contraction and strategic pivot during the nine months ending December 31, 2021. Net sales fell 7.6% to ¥81,089 million, while profit attributable to owners saw a sharper decline of 28.8% to ¥7,428 million. These results prompted management to issue a downward revision for the full-year forecast, anticipating an annual profit decrease of over 40% compared to the prior fiscal year. Despite these declines, the company maintains a robust equity ratio of 84.4%, though cash reserves were reduced by more than ¥30 billion to fund aggressive investment activities and a ¥7.5 billion share buyback program.
The financial landscape was notably influenced by a shift in accounting standards regarding revenue recognition for the flagship title Monster Strike. By transitioning from recognizing revenue at the point of virtual currency consumption to an estimated period of character utility, the company realized a ¥1,272 million increase in operating income. This technical adjustment reflects a broader effort to modernize financial reporting while navigating the maturation of its core gaming assets.
Strategically, the organization is diversifying its portfolio through significant capital allocation in the sports and medical sectors. The acquisition of a 51.3% controlling stake in TOKYO FOOTBALL CLUB (F.C. Tokyo) for ¥1.15 billion and a substantial investment in the medical service CALL DOCTOR signal a move toward multi-industry expansion. Furthermore, the commitment of up to ¥6 billion in credit facilities for the development of arena leasing operations via TOKYO-BAY ARENA Co., Ltd. underscores a long-term thesis focused on physical entertainment infrastructure and sports management as future growth drivers.
