GREE Consolidated Financial Results for the Three Months Ended September 30, 2024

GREE, Inc. reported consolidated financial results for the first quarter of the fiscal year ending June 30, 2025, covering the period from July 1, 2024, to September 30, 2024. The company experienced a challenging quarter, marked by a decline in net sales to 12,941 million yen, an 18.0% decrease compared to the same period in the previous year. The group recorded an operating loss of 133 million yen, contrasting with the 1,255 million yen operating profit reported in the first quarter of the prior fiscal year. Net loss attributable to shareholders of the parent reached 1,644 million yen, resulting in a basic loss per share of 9.61 yen.

Performance across business segments was mixed. The Game and Anime Business, which focused on existing titles without new releases during the quarter, saw net sales decline by 22.6% to 9,063 million yen. The Investment Business also struggled, reporting an operating loss of 813 million yen due to reduced income from investment funds and the revaluation of held stocks. Conversely, the Metaverse Business maintained stable performance with 1,957 million yen in net sales, while the DX Business—which now incorporates the former Commerce Business—showed growth, achieving 1,749 million yen in net sales and 208 million yen in operating profit.

The company maintains a stable financial position with an equity-to-asset ratio of 74.7% as of September 30, 2024. However, due to the volatility of the Investment Business and broader market conditions, management has suspended the disclosure of consolidated earnings forecasts for the fiscal year ending June 30, 2025. During the quarter, the company implemented organizational changes, including the merger of the Commerce Business into the DX Business and the establishment of a new entity to facilitate a transition toward a holding company structure.