Financial Results for the First Half: Fiscal Year Ending March 2025

Key insights

7 takeaways · ~3 min read

01
Koei Tecmo Holdings significantly exceeded its initial forecasts for the first half of FY2025, with Operating Profit up 33.1% (¥2,651 million), Ordinary Profit up 61.5% (¥8,000 million), and Net Profit up 59.8% (¥5,975 million), despite sales being 7.4% lower than forecast.See it on page 1
02
The strong performance was driven by better-than-expected sales from the back catalog in Console/PC games, while sales of self-published mobile titles launched in 2023 were weaker than anticipated.See it on page 8
03
The company saw a decrease in personnel costs, outsourcing costs, and advertising expenses during the first half of FY2025, contributing to improved profitability.See it on page 4
04
Koei Tecmo plans to release several major console/PC titles in late 2024 and early 2025, including "ROMANCE OF THE THREE KINGDOMS 8 REMAKE" (Oct 2024), "FAIRY TAIL 2" (Dec 2024), "DYNASTY WARRIORS: ORIGINS" (Jan 2025), and "Atelier Yumia" (Mar 2025).See it on page 20
05
For the full FY2024, Koei Tecmo projects sales of ¥90,000 million (up 6.4% YoY) and operating profit of ¥30,000 million (up 5.3% YoY), but anticipates a decrease in Ordinary Profit by 12.6% and Net Profit by 11.2% compared to FY2023.See it on page 4
06
The company is actively expanding its development system, planning to hire over 200 people for FY2024, establishing an "AAA Studio," and improving graphic and high-speed processing technologies with the KATANA ENGINE.See it on page 28
07
Koei Tecmo is working to improve its tradable share ratio to over 35% to maintain its listing on the TSE Prime Market, utilizing a scheme involving treasury share acquisition and Euro-yen convertible bonds with stock acquisition rights maturing in December 2024.See it on page 44

Summary

This document was created by machine translating the Japanese version. Financial Results for the First Half of the Fiscal Year Ending March 2025 KOEI TECMO HOLDINGS CO, LTD Kenjiro Asano Director, Senior Executive Officer & CFO FY23 1st Half FY24 1st Half Vs Previous Year Amount Profit Ratio Amount Profit Ratio Amount Percent Sales 39,722 - 35,197 - (4,525) -11.4% Operating Profit 13,855 34.9% 10,65...