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Financial
Financial Results for the Third Quarter of the Fiscal Year Ending March 2024
Koei Tecmo Holdings reported its financial results for the first nine months of the fiscal year ending March 2024, highlighting a period of significant revenue growth driven by the online and mobile sectors. Net sales reached 61,136 million yen, a 23.7% increase year-over-year. While operating profit saw an 11.7% decline to 20,316 million yen due to rising platform fees, advertising costs, and royalty expenses associated with new titles, ordinary profit doubled to 33,825 million yen. This surge in ordinary profit was primarily attributed to non-operating income, including gains from the disposal of marketable securities. The entertainment segment remains the primary business driver, with mobile games achieving record-high sales. Key contributors included the first-anniversary events for Nobunaga’s Ambition: Hadou and the successful launch of Atelier Resleriana, which surpassed 3 million downloads. In contrast, the console sector saw a decline in unit sales compared to the previous year, totaling 5.07 million units globally. However, digital sales reached a record 74.2% of total units sold. Geographically, Japan accounted for 61.1% of total sales, reflecting the strong domestic performance of new mobile titles, while overseas markets represented 38.9% of revenue. Strategic initiatives for the final quarter include the global launch of the AAA action RPG Rise of the Ronin in March 2024 and the expansion of mobile titles to international markets and Steam. The company also announced a capital and business alliance with Akatsuki Inc., acquiring a 7.97% stake to strengthen collaborative development. Despite fluctuations in operating costs and the global financial environment, the company maintained its full-year forecast, citing a robust pipeline of upcoming releases and stable performance across its amusement and real estate segments.
Koei TecmoJan 2024
Financial
Financial Results for the Third Quarter of the Fiscal Year Ending March 2023
Koei Tecmo Holdings presented its financial results for the third quarter of the fiscal year ending March 2023, revealing a period of transition characterized by a year-over-year decline in sales and profits. Net sales reached 49.4 billion yen, a 10.6% decrease from the previous year, while net profit fell 52.4% to 13.5 billion yen. This downturn is attributed primarily to a high baseline in the prior year driven by major packaged game releases and significant non-operating losses on the valuation of derivatives caused by a volatile financial environment. The entertainment segment remains the primary driver of the business, contributing 46.3 billion yen in sales. While console software sales saw a decline in physical package revenue, digital sales remained resilient, accounting for 78.8% of the entertainment segment's total sales. Geographically, the company maintains a balanced profile, with 51.6% of revenue generated in Japan and 48.4% from overseas markets, particularly in Asia and North America. Despite the dip in revenue, total unit sales actually increased by 4.9% to 5.98 million units, bolstered by strong digital downloads. Looking ahead, the company revised its full-year earnings forecast, raising its operating profit target to 34 billion yen while lowering ordinary and net profit expectations due to the aforementioned non-operating expenses. Growth strategy for the fourth quarter relies on a robust pipeline of global releases, including high-profile titles such as Wild Hearts, Wo Long: Fallen Dynasty, and Atelier Ryza 3. Additionally, the mobile sector showed momentum with the successful launch of Nobunaga’s Ambition: Ha-do and continued regional expansion of existing smartphone IPs. To support this long-term growth, the company increased its total headcount by 15.7% to 2,400 employees.
Koei TecmoJan 2023
Financial
Consolidated Quarterly Data Appendix: FY2025 3rd Quarter
Koei Tecmo’s financial performance through the third quarter of fiscal year 2025 demonstrates robust growth driven by a strong international presence and the steady expansion of its core intellectual properties. Consolidated sales reached 51,729 million yen year-to-date, supported by a healthy 32% profit ratio in the third quarter. The Entertainment segment remains the primary engine of this success, contributing 47.5 billion yen to total revenue. This performance is increasingly global in scope, with overseas sales accounting for 36.1% of total revenue and a significant 75.9% of total game units sold. Digital transformation remains a key trend for the firm, as evidenced by a 68% digital download rate across 6.06 million units sold during the period. The company’s long-term stability is anchored by its flagship franchises, with Dynasty Warriors and Nobunaga’s Ambition reaching lifetime milestones of 24 million and 11 million units, respectively. While the Online and Mobile sector slightly edges out Console and PC sales in terms of year-to-date revenue, both segments remain vital to the corporate strategy. To support this continued growth, the organization has expanded its consolidated headcount to 2,849 employees, positioning itself to meet a full-year sales forecast of 92,000 million yen. Future growth is predicated on an aggressive multi-platform release schedule extending into 2026. Strategic focus is shifting toward next-generation hardware, with several high-profile titles slated for the Nintendo Switch 2, including Hyrule Warriors: Age of Imprisonment and Pokémon Pokopia. The pipeline also features major sequels to established action franchises, such as Ninja Gaiden 4 and Nioh 3, alongside continued investment in the mobile market through both in-house development and licensed IP for the Chinese market. This diversified approach across hardware cycles and geographic regions underscores a commitment to maintaining high profitability through a mix of legacy brand management and new platform adoption.
Koei TecmoOct 2025
Financial
Financial Results for the Fiscal Year Ending March 2020
Koei Tecmo achieved record-breaking financial performance for the fiscal year ending March 2020, characterized by a 9.4% increase in net sales to ¥42.6 billion and a 16.6% rise in operating profit to ¥14.1 billion. This growth was primarily catalyzed by the Online/Mobile segment, where high-performing IP licensing titles, most notably Romance of the Three Kingdoms Senryaku-ban in the Chinese market, generated significant royalty income. The console segment also contributed robustly through the successful launch of Nioh 2 and a steady shift toward digital distribution, which accounted for nearly 40% of total console unit sales. The geographic footprint of the business continues to expand, with overseas sales rising to 37% of total revenue. This international growth is supported by a multi-platform strategy designed to leverage established intellectual properties through both internal development and high-profile external collaborations. By diversifying revenue streams across mobile royalties and traditional software sales, the company exceeded its initial fiscal targets, leading to an increased dividend of 61 yen per share. This multi-tiered revenue structure provides a stable financial foundation even as the industry faces broader macroeconomic shifts. Looking ahead, the outlook remains cautious due to the operational uncertainties introduced by the COVID-19 pandemic, leading to the omission of specific earnings estimates for the following fiscal year. Instead, the strategic focus shifts toward long-term sustainability, emphasizing global IP development and a commitment to environmental, social, and governance goals. While forward-looking projections remain subject to market risks and volatility, the current trajectory underscores a successful transition toward a digitally-driven, globally-oriented business model.
Koei TecmoApr 2020