Financial Results for the First Quarter: Fiscal Year Ending March 2026

Key insights

7 takeaways · ~3 min read

01
Koei Tecmo Holdings' total sales for Q1 FY25 decreased by 2,807 million Yen to 14,800 million Yen, and operating profit decreased by 2,149 million Yen to 3,574 million Yen, compared to Q1 FY24.See it on page 3
02
The Entertainment segment experienced the largest decline, with sales dropping by 2,998 million Yen to 13,583 million Yen and operating profit falling by 1,995 million Yen to 3,706 million Yen, primarily due to a decrease in the online mobile sector.See it on page 3
03
Within the Entertainment segment, mobile game sales saw a significant decrease of 2,370 million Yen, from 9,720 million Yen in Q1 FY24 to 7,350 million Yen in Q1 FY25, attributed to declining sales and licensing royalties from FY2023 titles.See it on page 8
04
Koei Tecmo's 4th Medium-Term Management Plan (MTMP4) aims for a cumulative operating profit of over 100 billion Yen and cumulative sales of over 300 billion Yen over three years, re-challenging an annual operating profit of 40 billion Yen with a 30% or more operating profit margin.See it on page 34
05
MTMP4 focuses on strengthening the development system, including hiring over 200 new graduates for FY24 and establishing an AAA Studio, alongside improving graphic technology (KATANA ENGINE) and utilizing other general-purpose engines like Unreal Engine.See it on page 26
06
The company plans to expand globally, focusing on North America, Europe, and China for Console/PC, and prioritizing Japan, China, and neighboring regions for Online/Mobile in the short term, with global expansion aimed for the medium to long term.See it on page 17
07
The Amusement segment showed growth, with sales increasing by 297 million Yen to 1,054 million Yen and operating profit rising by 88 million Yen to 103 million Yen, driven by increased licensing income in the SP business and new store contributions in the AM facility business.See it on page 4

Summary

Financial results for the first quarter of the fiscal year ending March 2026 1. Financial Highlights and Forecasts 1. Financial Highlights and Forecasts 3. Frequently Asked Questions - Summary of Disclosed Information Financial Highlights: Consolidated Results FY24 Q1 FY25 Q1 Vs Previous Year Amount Profit Ratio Amount Profit Ratio Amount Percent Sales 17,607 - 14,800 - (2,807) -15.9% Operating Profit...