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Financial
Fiscal Year Ending March 2018: 1st Half Financial Results
Koei Tecmo Holdings reported record-breaking financial performance for the first half of the fiscal year ending March 2018, achieving all-time highs in ordinary profit and net income. Despite a 10% year-over-year decrease in sales to 14.9 billion yen, ordinary profit rose 40.6% to 6.9 billion yen, and net income increased 33% to 5.0 billion yen. These results significantly exceeded initial management forecasts, driven by high-margin IP licensing and a strong performance in the entertainment segment, which remains the primary revenue driver. The geographic scope of the results reveals a strategic shift toward international markets. While domestic sales in Japan declined by 19.1%, overseas revenue grew by 15.6%, with the Asian market showing the most significant growth at 45.9%. Unit sales data further illustrates this trend, as overseas software sales rose to 69.3% of the total volume, nearly doubling in North America and Europe compared to the previous year. Key titles contributing to this success included Nioh, which surpassed 2 million units, and Fire Emblem Warriors. Looking ahead, the company maintains an optimistic full-year outlook, projecting sales of 42 billion yen and an operating profit of 11.5 billion yen. The strategy for the second half of the fiscal year focuses on multi-platform releases for the Nintendo Switch, PlayStation 4, and Steam, alongside the expansion of smartphone gaming through the new "midas" brand. Additionally, the company is diversifying its portfolio through location-based entertainment, such as the "VR Sense" cabinet, and strategic alliances with AI technology firms like HEROZ, Inc. to enhance future development capabilities.
Koei TecmoJan 2017
Financial
Fiscal Year Ending March 2019 Financial Results
Koei Tecmo achieved record-high profitability during the fiscal year ending March 2019, marking its ninth consecutive year of profit growth. Despite a 20.2% decline in total unit sales, net income rose 5.2% to 13.69 billion yen. This financial resilience is attributed to a strategic shift toward high-margin digital sales and IP licensing. Looking toward fiscal year 2020, the company aims to reach 51 billion yen in total sales, supported by a projected 61.4% recovery in overseas unit sales and a 10.3% increase in group-wide revenue. The strategic roadmap centers on three primary milestones: the launch of a new AAA title capable of selling 5 million units, the development of a smartphone game generating 1 billion yen in monthly revenue, and a comprehensive expansion into the Chinese market. To facilitate this global growth, the company is reevaluating the roles of its international offices and intensifying digital marketing efforts across Asia. Major franchises such as Nioh 2 and Dynasty Warriors remain central to this multi-platform approach, which balances original titles based on an Oriental worldview with high-profile collaborative projects. Shareholder returns remain a priority, evidenced by a 62.03% payout ratio and the issuance of a special dividend for the 2018 fiscal year. By leveraging its intellectual property across console and mobile sectors while expanding its footprint in China, the company seeks to solidify its position as a global entertainment leader. This transition from domestic stability to aggressive international expansion defines the current mid-term plan, focusing on high-volume individual titles and sustainable mobile revenue streams to drive long-term value.
Koei TecmoApr 2019
Financial
Financial Results for the First Half of the Fiscal Year Ending March 2026
Koei Tecmo experienced a year-on-year decline in financial performance during the first half of the fiscal year ending March 2026, with sales dropping 11.2% and operating profit falling 25.2%. This downturn resulted primarily from a sparse release schedule and lower revenue within the online and mobile segments. However, the company outperformed its internal forecasts due to resilient back-catalog sales and disciplined expense management. Full-year guidance remains unchanged as management anticipates a significant recovery in the second half, driven by a concentrated launch window for major titles such as Dynasty Warriors: Origins. The strategic focus for the remainder of the fiscal year involves a robust pipeline of eleven console and PC titles alongside two mobile releases. By prioritizing high-profile remakes like Romance of the Three Kingdoms 8 and Fatal Frame II, the company seeks to secure stable profit margins while transitioning toward a global, digital-first marketing infrastructure. This shift includes a move toward in-house publishing for large-scale projects and a concerted effort to expand market share in North America, Europe, and emerging regions such as the Middle East and North Africa. Long-term objectives are anchored by the Fourth Medium-Term Management Plan, which targets a cumulative three-year operating income of 100 billion yen. To achieve this, the company is balancing the maintenance of established franchises with the development of new intellectual properties and cross-media expansions into anime and merchandise. Furthermore, corporate governance milestones were met through a treasury share offering that increased the tradable share ratio to 37.3%, ensuring continued compliance with Tokyo Stock Exchange Prime Market listing criteria.
Koei TecmoJan 2025
Financial
Financial Results for the First Half of the Fiscal Year Ending March 2025
Koei Tecmo experienced a transitional first half for the fiscal year ending March 2025, characterized by an 11.4% decline in sales to 35,197 million yen and a 23.1% drop in operating profit. This downturn resulted from a sparse release schedule compared to the previous year, though the impact was mitigated by robust back-catalog performance and disciplined cost management regarding advertising and outsourcing. Despite these short-term headwinds, the organization exceeded initial profit forecasts and remains on track to meet full-year targets, anticipating a significant recovery driven by a dense schedule of major releases in the second half of the fiscal year. The long-term strategic objective is to secure a position among the top ten global gaming companies by maintaining a 30% operating profit margin and achieving an operating income target of 40 billion yen. This growth plan centers on the development of AAA-class titles, with a specific focus on establishing new intellectual properties capable of selling five million units. To facilitate this, a dedicated AAA Studio has been established alongside seven distinct development departments. These teams utilize the proprietary Katana Engine to enhance graphical fidelity and production efficiency through integrated AI and automation, ensuring a steady pipeline of self-published hits across console, PC, and mobile platforms. Global expansion remains a primary focus, with strengthened publishing infrastructures in North America, Europe, and China, alongside targeted entry into emerging markets in Southeast Asia and India. While domestic Japanese revenue is expected to soften, international growth is projected to drive a 6.4% increase in annual sales to 90 billion yen. To sustain this momentum, the organization is aggressively investing in human capital, planning to hire over 200 employees in the current fiscal year while implementing industry-leading salary increases and expanding corporate infrastructure. This multi-layered revenue strategy balances high-margin IP licensing with large-scale global development to ensure long-term financial stability and shareholder returns.
Koei TecmoOct 2024