The company reported a 63% quarter-over-quarter decline in operating profit to ¥0.4 billion and a 12% year-over-year sales decrease to ¥12.7 billion, citing core game underperformance and lower investment dividends.

According to "FY2026 Second Quarter Financial Results": The company reported a 63% quarter-over-quarter decline in operating profit to ¥0.4 billion and a 12% year-over-year sales decrease to ¥12.7 billion, citing core game underperformance and lower investment dividends.

Management has lowered the full-year sales forecast to ¥52.4 billion but maintains a ¥4.4 billion operating profit target by prioritizing cost controls and high-margin recurring revenue in DX and platform sectors.

According to "FY2026 Second Quarter Financial Results": Management has lowered the full-year sales forecast to ¥52.4 billion but maintains a ¥4.4 billion operating profit target by prioritizing cost controls and high-margin recurring revenue in DX and platform sectors.

The VTuber production business is a primary growth driver, achieving record-high quarterly sales and a 105% year-over-year increase in operating profit.

According to "FY2026 Second Quarter Financial Results": The VTuber production business is a primary growth driver, achieving record-high quarterly sales and a 105% year-over-year increase in operating profit.

Despite current earnings pressure, the company projects a 48% compound annual growth rate for profit through fiscal year 2028, positioning the current period as an earnings floor.

According to "FY2026 Second Quarter Financial Results": Despite current earnings pressure, the company projects a 48% compound annual growth rate for profit through fiscal year 2028, positioning the current period as an earnings floor.

The core game business experienced a 24% sales decline, though operational efficiencies allowed profits to exceed internal expectations.

According to "FY2026 Second Quarter Financial Results": The core game business experienced a 24% sales decline, though operational efficiencies allowed profits to exceed internal expectations.

The company maintains a strong balance sheet with an equity ratio of 70% and total net assets of ¥64.6 billion, supported by an investment portfolio with ¥22.4 billion in unrealized value.

According to "FY2026 Second Quarter Financial Results": The company maintains a strong balance sheet with an equity ratio of 70% and total net assets of ¥64.6 billion, supported by an investment portfolio with ¥22.4 billion in unrealized value.

Future growth strategy centers on a diversified pipeline, including a first-party console RPG, a major third-party IP title, and expanded investments in anime production and merchandising.

According to "FY2026 Second Quarter Financial Results": Future growth strategy centers on a diversified pipeline, including a first-party console RPG, a major third-party IP title, and expanded investments in anime production and merchandising.

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Key Insights

FY2026 Second Quarter Financial Results

GREE~42 min full read

01
The company reported a 63% quarter-over-quarter decline in operating profit to ¥0.4 billion and a 12% year-over-year sales decrease to ¥12.7 billion, citing core game underperformance and lower investment dividends.
See it on page 25
02
Management has lowered the full-year sales forecast to ¥52.4 billion but maintains a ¥4.4 billion operating profit target by prioritizing cost controls and high-margin recurring revenue in DX and platform sectors.
See it on page 16
03
The VTuber production business is a primary growth driver, achieving record-high quarterly sales and a 105% year-over-year increase in operating profit.
See it on page 33
04
Despite current earnings pressure, the company projects a 48% compound annual growth rate for profit through fiscal year 2028, positioning the current period as an earnings floor.
See it on page 56
05
The core game business experienced a 24% sales decline, though operational efficiencies allowed profits to exceed internal expectations.
See it on page 25
06
The company maintains a strong balance sheet with an equity ratio of 70% and total net assets of ¥64.6 billion, supported by an investment portfolio with ¥22.4 billion in unrealized value.
See it on page 73
07
Future growth strategy centers on a diversified pipeline, including a first-party console RPG, a major third-party IP title, and expanded investments in anime production and merchandising.
See it on page 48

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