FinancialKoei Tecmo
Financial Highlights for the 3rd Quarter of Fiscal Year Ending March 2011 (FY2010)
1 Jan 20111 pages~2 min full read
Tecmo Koei reported a 11.1% year-on-year decline in Q3 net sales to 19.47 billion yen, though net losses narrowed significantly from 959 million yen to 91 million yen.
The core Game Software segment, the company's primary revenue driver, saw sales drop 13.1% to 11.96 billion yen, resulting in an operating loss of 1.45 billion yen.
Management projects a full-year recovery with net sales reaching 36.5 billion yen, representing a 5.8% increase over the previous fiscal year.
The Online and Mobile segment grew 10.2% to 3.35 billion yen, successfully swinging from a loss to a 500 million yen operating profit.
The Pachislot and Pachinko division demonstrated strong performance with a 46.8% increase in operating income.
Achieving the full-year operating income forecast of 5 billion yen requires a 680% increase over the prior year, contingent on a massive Q4 surge in the Game Software segment.
Tecmo Koei Holdings reported a challenging third quarter for the fiscal year ending March 2011, characterized by a year-on-year decline in net sales and continued operating losses. Total net sales for the third quarter reached 19.47 billion yen, representing an 11.1% decrease compared to the same period in the previous fiscal year. Despite this downturn, the company significantly narrowed its net loss from 959 million yen in the prior year to 91 million yen, suggesting improved cost management or more favorable non-operating conditions.
The core Game Software segment remained the primary revenue driver but saw a 13.1% decline in sales to 11.96 billion yen, resulting in an operating loss of 1.45 billion yen for the quarter. In contrast, the Online and Mobile segment showed growth, with sales increasing 10.2% to 3.35 billion yen and the division swinging from a loss to a 500 million yen operating profit. Other segments, including Media and Rights and Amusement Facilities, generally experienced sales contractions, though the Pachislot and Pachinko division maintained profitability with a 46.8% increase in operating income.
Management maintains an optimistic outlook for the full fiscal year, forecasting a recovery that would bring total net sales to 36.5 billion yen, a 5.8% increase over the previous full year. This projection relies on a massive surge in the final quarter to achieve a forecasted operating income of 5 billion yen, which would represent a 680% increase over the prior year’s results. The anticipated growth is heavily weighted toward the Game Software segment, where full-year sales are expected to reach 24.7 billion yen with a substantial return to profitability.
