Financial Highlights: 1st Half of Fiscal Year Ending March 2014

The financial highlights detail Tecmo Koei Holdings’ performance for the first half of fiscal year 2013, ending March 31 2014. Net sales rose 12.6 % to ¥34,639 million from the same period in fiscal 2012, driven primarily by a 10.8 % increase in game software sales and a 27.9 % rise in online & mobile revenue, while pachislot & pachinko and amusement facilities segments saw modest declines. Gross profit expanded 43.5 % to ¥13,939 million, and operating income surged 83.8 % to ¥6,208 million, reflecting higher margins across most segments; operating income from game software grew 34.3 %, and online & mobile rose 62.1 %. Net income climbed 329.6 % to ¥5,656 million, with a significant jump in income before taxes (213.9 % increase). Forecasts for the full year project net sales of ¥37,000 million and operating income of ¥7,000 million, representing modest year‑over‑year growth.

On the balance sheet, total assets increased to ¥67,834 million from ¥63,594 million, largely due to a rise in investment securities and current assets. Current liabilities fell sharply from ¥12,303 million to ¥4,993 million, improving liquidity. Shareholders’ equity remained stable at approximately ¥82 billion, with retained earnings slightly lower due to higher operating expenses. The company’s cash position decreased from ¥13,851 million to ¥9,330 million, while marketable securities remained near ¥3.8 billion.

Overall, the first half of FY2013 shows robust revenue growth driven by core gaming and digital segments, strong profitability improvements, and a healthier balance sheet with reduced short‑term liabilities. The company projects continued growth into the full fiscal year, maintaining solid operating margins and a stable equity base.