Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

Mixi, Inc. achieved significant financial growth during the fiscal year ended March 31, 2021, characterized by a 6.4% increase in net sales to ¥119.3 billion and a substantial 45.8% rise in profit attributable to owners, totaling ¥15.6 billion. This performance was underpinned by a surge in net cash from operating activities, which nearly doubled to ¥34.7 billion. The company’s liquidity remains exceptionally strong, concluding the period with ¥149.8 billion in cash and cash equivalents. This robust capital position supported a stable dividend of ¥110 per share and the authorization of a ¥10 billion share repurchase program intended to enhance capital efficiency.

Strategic realignments and acquisitions defined the corporate landscape during this period. The group restructured its operations into three core segments: Digital Entertainment, Sports, and Lifestyle. Following the finalized accounting for acquisitions such as Chiba Jets Funabashi and Net Dreamers, the company reallocated significant costs toward customer-related intangible assets. Expansion into the sports and hospitality sectors continued post-period with the acquisition of a 20.02% stake in HUB CO., LTD. for approximately ¥1 billion, signaling a commitment to diversifying the portfolio beyond traditional digital gaming.

Despite the strong historical performance, the outlook for the 2022 fiscal year remains conservative. Projections indicate a potential contraction in profitability, with operating income and net profit forecasted to decline by as much as 47.7% and 45.8%, respectively. This cautious guidance suggests that while the company successfully navigated the previous year's market conditions and improved its cash flow through disciplined investing and operational growth, it anticipates significant headwinds or increased investment requirements that may impact short-term earnings.