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Financial
FY2026 First Quarter Financial Results
The first quarter of FY2026 reflects a period of strategic transition and resilient profitability, with consolidated net sales reaching ¥12.8 billion and operating profit totaling ¥1.1 billion. While these figures represent a sequential decline in sales, they exceeded internal expectations and demonstrate a 63% year-over-year increase in operating profit. The current fiscal year is positioned as a foundational "bottom" year for earnings due to aggressive investments in a new console title, with a return to significant growth projected for FY2027. Management has revised full-year estimates upward to ¥56.4 billion in sales, anticipating a smaller profit decline than originally forecasted. The Game segment remains the primary revenue driver at ¥7.5 billion, benefiting from overseas outsourced development and reduced advertising expenses following the wind-down of major promotions. Simultaneously, the newly rebranded VTuber Business achieved record quarterly operating profit of ¥0.4 billion, supported by steady live streaming growth and effective cost controls. While the Production and IP sub-segments currently face temporary losses due to heavy investment and delayed revenue cycles in anime, they are expected to reach profitability in the second half of the year. The DX Consulting Business emerged as a high-growth pillar, reaching record quarterly sales of ¥1.9 billion through large-scale digital marketing projects. The Investment Business continues to provide significant financial upside, reporting a substantial year-over-year increase in operating profit to ¥1.4 billion driven by management fees and success fees from a ¥53 billion asset pool. Despite some valuation losses in specific funds, the segment maintains a high unrealized portfolio value of ¥38.9 billion. Across all segments, the group is targeting a medium-term profit CAGR of 20% to 25% through FY2028, supported by a strong 70% equity ratio and a diversified portfolio spanning gaming, virtual entertainment, and digital transformation services.
GREENov 2025
Financial
FY2025 Second Quarter Financial Results
GREE Group achieved strong second-quarter results for fiscal year 2025, recording consolidated net sales of ¥15.6 billion and an operating profit of ¥2.2 billion. This performance was primarily fueled by successful anniversary events within the Game and Anime segment and substantial dividends from the Investment Business. While the core operational segments—Game and Anime, Metaverse, and DX—generated ¥13.7 billion in sales, the company issued a conservative downward revision for the full-year forecast. This adjustment reflects anticipated year-over-year declines in sales and profit due to delayed new title releases and rising development costs for console games. The Game and Anime business remains a cornerstone of the group's portfolio, surpassing internal expectations in the second quarter with an operating profit of ¥1.21 billion. Simultaneously, the Metaverse segment demonstrated robust growth, particularly through its VTuber business, which saw a 211% year-over-year sales increase. The DX Business is currently in a transitional investment phase, shifting from project-based work to a recurring-earnings SaaS model. Although these investments are expected to temporarily suppress short-term margins, the group maintains an aggressive medium-term target of a 41% profit CAGR through fiscal year 2027. The Investment Business provided significant volatility and upside, contributing to a major quarterly surge in profit through fund dividends. With ¥49.6 billion in assets under management, this segment is increasingly focused on third-party capital management while maintaining a portfolio that consistently outperforms venture capital benchmarks. Geographically centered on the Japanese market but expanding its digital reach, the group is balancing long-term stability in its legacy segments with high-growth trajectories in its emerging Metaverse and DX operations, underpinned by a commitment to sustainability and internet safety.
GREEFeb 2025
Financial
GREE Holdings FY2026 Q2 Financial Results Briefing (Transcript)
GREE Holdings reported solid financial results for the second quarter of fiscal year 2026, characterized by improved profitability across its core business segments despite a downward revision in sales expectations. Consolidated net sales reached ¥12.7 billion with an operating profit of ¥0.4 billion. While the Game Business remains a primary revenue source, the company is increasingly reliant on its "continuous growth businesses"—VTuber, IP, and DX—to drive future earnings. Management has raised the full-year operating profit forecast from ¥3.6 billion to ¥4.4 billion, citing effective company-wide cost controls and strong performance in the VTuber sector. The Game Business generated ¥7.1 billion in quarterly sales, with existing titles performing better than anticipated and a new console game scheduled for announcement in the third quarter. The VTuber Business achieved record-high quarterly sales, driven by a 50% quarter-on-quarter increase in the Production Business. The IP Business returned to profitability due to delayed anime distribution revenue, while the DX Business focused on transitioning toward recurring earnings and potential M&A activity. Conversely, the Investment Business recorded an operating loss due to valuation losses on investee funds, though the company maintains a high-quality portfolio with steady asset accumulation. Geographically focused on the Japanese market with expanding overseas VTuber events, the report covers the three-month period ending in the second quarter of FY2026. The methodology involves a segment-by-segment financial analysis comparing quarterly and year-over-year performance. Leadership maintains that FY2026 represents an earnings floor, with a projected return to a growth trend in FY2027 and FY2028 as new game titles and production initiatives scale.
GREEFeb 2026
Financial
GREE Holdings FY2026 Q1 Financial Results Briefing (Transcript)
GREE Holdings reported its financial results for the first quarter of fiscal year 2026, highlighting a period of strategic reorganization and disciplined profit management. The company achieved consolidated net sales of ¥12.8 billion and an operating profit of ¥1.1 billion. A significant structural update involved renaming the Metaverse segment to the VTuber Business, now divided into Platform and Production sub-segments to better reflect current activities. While overall sales saw a slight decline due to a slowdown in the Game Business, profits exceeded initial projections across all four core segments due to effective cost controls and reduced variable expenses. The Game Business remains the largest revenue contributor at ¥7.5 billion, though it experienced a decline in momentum from existing titles. To offset this, the company is pivoting toward console development, with one proprietary IP title scheduled for release in FY2026. Conversely, the VTuber Business reached a historical high in operating profit, driven by a 142% year-over-year increase. This growth was attributed to reduced payment processing fees and the narrowing of losses in the Production Business, which is expected to reach monthly profitability within the current fiscal year. The IP and DX Businesses showed mixed results; the IP segment was impacted by delayed revenue recognition in its anime division, while the DX segment benefited from large consulting orders. The Investment Business remained stable, contributing to net profit through foreign exchange gains and securities sales. Geographically focused on the Japanese market with expanding global IP interests, GREE maintains its medium-term target of reaching a profit floor in FY2026 before returning to a growth trajectory in FY2027 and FY2028. Management emphasized a shift toward recurring earnings and high-quality internal IP to drive long-term value.
GREENov 2025