FinancialKoei Tecmo
Financial Highlights for the 1st Half of the Fiscal Year Ending March 2013
1 Jan 20131 pages~2 min full read
Tecmo Koei Holdings reported a 34.5% increase in net income to 554 million yen and a 26% rise in operating income to 897 million yen for the first half of the fiscal year ending March 2013.
Net sales remained nearly flat at 13,724 million yen, a marginal 0.7% increase, indicating that the company's profit growth was driven by improved operational efficiency rather than revenue expansion.
The game software segment, while seeing a 1% decline in sales, achieved a 69.1% surge in operating income, highlighting the high profitability of core titles.
The pachislot and pachinko segment experienced significant growth, with sales nearly doubling by 98.9%, which helped offset a 16.6% sales decline in the online and mobile segment.
The company projects a 9.8% increase in total net sales to 39,000 million yen for the full fiscal year, supported by an expected recovery in the online and mobile sector.
Annual operating income is forecasted to grow by 21.6% for the full fiscal year, driven by the continued strength of the game software segment and a diversified entertainment portfolio.
Tecmo Koei Holdings demonstrated steady financial growth during the first half of the fiscal year ending March 2013, characterized by significant improvements in profitability despite relatively flat top-line revenue. Net sales for the six-month period reached 13,724 million yen, representing a modest 0.7% increase compared to the same period in the previous year. However, operating income rose sharply by 26% to 897 million yen, while net income saw a substantial 34.5% year-over-year increase to 554 million yen. This performance suggests improved operational efficiency and a more profitable product mix during the first half of the year.
The game software segment remained the primary driver of the business, contributing 8,820 million yen in sales. While segment sales saw a marginal decline of 1%, its operating income surged by 69.1%, indicating high margins on core software titles. In contrast, the online and mobile segment experienced a downturn, with sales falling 16.6% and operating income dropping 52.9%. This decline was offset by exceptional growth in the pachislot and pachinko segment, which saw sales nearly double with a 98.9% increase, and the media and rights segment, which grew by 21.4%.
Looking toward the full fiscal year, projections remain optimistic with an anticipated 9.8% increase in total net sales to 39,000 million yen. The company expects a significant recovery in the online and mobile sector and continued strength in game software to drive a forecasted 21.6% increase in annual operating income. These consolidated financial results reflect a diversified entertainment portfolio across game development, digital content, and physical amusement facilities, primarily focused on the Japanese market during the 2011 to 2013 fiscal periods.
