Financial Results for the Fiscal Year Ending March 2022

Koei Tecmo achieved record-breaking financial performance during the fiscal year ending March 2022, characterized by a 20.5% increase in sales to ¥72.7 billion and a 41.5% surge in operating profit to ¥34.5 billion. This growth was primarily catalyzed by the Entertainment segment, where smartphone and social game revenues rose by 48.2% and cumulative mobile downloads increased by nearly 30%. High-performing titles such as Three Kingdoms Tactics and steady repeat sales of established console franchises like Nioh 2 allowed the company to meet its three-year medium-term profit targets in only one year.

The strategic focus for the upcoming fiscal year involves a transition toward long-term major title development under a new management plan. While sales are projected to rise further to ¥77 billion, operating profits are expected to experience a temporary decline as the company reinvests in its workforce and infrastructure. This includes a significant 23% increase in basic employee salaries and the establishment of a new IP Business Division and a Shanghai office to better penetrate the Chinese market and manage global licensing.

Future expansion strategies prioritize the creation of a new intellectual property capable of selling five million units and the development of mobile titles that generate ¥2 billion in monthly revenue. Geographically, the company is shifting its emphasis toward North America and Europe, forecasting a 15.6% growth in console unit sales to reach 9.4 million units globally. By balancing the steady revenue of licensed mobile content with the ambitious development of large-scale internal IPs, the organization aims to solidify its position as a global leader in the entertainment industry.