FY2021 Fourth Quarter Financial Results

GREE achieved a significant financial turning point in fiscal year 2021, reporting net sales of ¥56.8 billion and operating income of ¥5.4 billion. This growth was largely propelled by the global expansion of the game business, highlighted by a 54% increase in overseas coin consumption. Despite a general downward trend in total coin consumption from 14.0 billion to 11.7 billion yen year-over-year—primarily due to fluctuations in smartphone app engagement—the company successfully strengthened its balance sheet. Total assets rose to ¥141.4 billion with a robust net cash position of ¥86.8 billion, supported by a strategic reduction in quarterly operating costs and a stabilized workforce of approximately 1,600 employees.

The corporate strategy centers on three primary pillars: the foundational game business, the scaling advertising and media sector, and the emerging Metaverse platform, REALITY. To ensure long-term sustainability, the company intends to release two to three in-house game titles annually while aggressively investing in Metaverse functionality, such as the "World" feature. Furthermore, the investment and incubation segment has proven highly effective, generating roughly ¥13 billion in cumulative profit. These diversified revenue streams are intended to provide a stable earnings base while the company pursues a target return on equity of 10% or higher.

Shareholder value remains a core priority, evidenced by a ¥9.9 billion stock repurchase and an increased dividend of ¥12.5 per share. By balancing aggressive investment in high-growth areas like the Metaverse with disciplined cost management in its traditional segments, the organization aims to transition from a period of stabilization to one of sustained global expansion. The focus for the upcoming period remains on strengthening international distribution and scaling vertical media portfolios to capitalize on shifting digital consumption patterns.