FY2021 First Quarter Financial Results Briefing

FY2021 first‑quarter results for GREE, Inc. show a robust financial performance with net sales of 15.2 billion yen and operating income of 1.6 billion yen, exceeding forecasts and achieving an operating margin above 10 %. Net income rose sharply by 3.2 billion yen compared to the prior quarter, largely due to a valuation loss on investment securities and a partial reversal of deferred tax assets. EBITDA reached 1.8 billion yen, underscoring healthy profitability.

The company’s game business drove the growth, highlighted by the global launch of SINoALICE on July 1st across 139 countries. Coin consumption in the app increased by 40 % from the previous quarter, and existing titles maintained strong sales momentum. Fixed costs fell by 1.41 billion yen, with a further 580 million yen reduction after excluding one‑time expenses, attributed to restructuring and lower outsourcing costs. The company also announced a share repurchase program capped at 20 million shares and 12 billion yen to enhance shareholder returns.

Strategic expansion into China continued with the September release of DanMachi and a November launch of Another Eden, supported by local partners. The live‑entertainment platform REALITY added new content and avatar options, while the advertising and media segment grew its user base to over 10 million monthly users. Looking ahead, GREE plans to release two to three new in‑house titles annually, including Assault Lily: Last Bullet and licensed properties such as One‑Punch Man, with additional projects in development. The company expects operating income for Q2 to remain in the mid‑to‑high hundred million yen range, reinforcing its earnings pillars across game, live entertainment, and advertising/media businesses.