FY2023 Fourth Quarter Financial Results Briefing

GREE, Inc. reported FY2023 full‑year net sales of ¥75.4 billion and operating income of ¥12.5 billion, marking year‑on‑year growth across its diversified portfolio. The fourth quarter delivered ¥20.1 billion in sales and ¥5.0 billion in operating income, with the Investment Business providing a notable earnings boost while other segments performed near expectations. The company restructured its reporting from two to four business segments—Game and Anime, Metaverse, DX, and Commerce—to better reflect expanding domains. Game and Anime sales were slightly weakened by a post‑anniversary dip in Heaven Burns Red, yet overall profitability remained strong due to reduced advertising costs and investment contributions. Metaverse operations, split into platform, VTuber, B2B, and Web3 sub‑units, continue to invest heavily; FY24 sales are projected at ¥8.1 billion with operating income near break‑even, while FY26 targets a shift to profitability across all sub‑units. DX focuses on marketing and operational digital transformation services, forecasting FY24 sales of ¥5.7 billion with stable operating income, and FY26 aims for ¥7.9 billion in sales and ¥1.2 billion in income. Commerce, anchored by aumo Inc., expects FY24 sales of ¥1.5 billion and modest operating income, with a projected FY26 rise to ¥3.3 billion and ¥0.4 billion income as HR media initiatives mature.

Investment activities remain a key driver, with assets under management at ¥80 billion and significant distributions from fund exits and startup investments. The company projects consolidated FY24 operating income between ¥4.0 billion and ¥5.0 billion, excluding new game titles, while FY26 forecasts maintain a similar range with an anticipated 10 % return from investment holdings. GREE’s strategy emphasizes diversifying revenue streams beyond games, expanding overseas distribution, and building a multi‑layered development pipeline to stabilize earnings and support medium‑term growth.