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Koei Tecmo
Distilling the key insights…
Koei Tecmo Holdings achieved record-breaking financial performance during the 2015 fiscal year, marking a fifth consecutive year of profit growth and a second consecutive year of rising sales. This sustained momentum, which culminated in the highest profit levels since the merger of Koei and Tecmo, was primarily fueled by the successful execution of collaborative software titles, a strategic pivot toward mobile and online gaming platforms, and a concerted effort to expand intellectual property reach within global markets. These results enabled the company to issue its highest dividend payout to date, reflecting a commitment to returning value to shareholders.
The company’s financial health is underpinned by a robust asset management strategy, characterized by significant holdings in marketable securities and investment properties. As of March 31, 2015, the fair value of investment properties reached ¥11.05 billion, while marketable securities grew to ¥64.7 billion. These assets are managed through diversified portfolios and rigorous internal controls designed to mitigate credit and market risks. Furthermore, the company successfully navigated shifts in statutory tax rates and updated its accounting standards for retirement benefits to a benefit formula basis, ensuring compliance with Japanese accounting standards while maintaining financial stability.
Consolidated net sales for the fiscal year reached ¥37.799 billion, with the Game Software division serving as the primary engine for the company’s ¥9.942 billion in segment income. To enhance market accessibility and increase stock liquidity, a 1:1.2 stock split was announced for October 2015. Independent auditors have verified that these financial statements accurately reflect the company’s position, confirming that the strategic focus on IP creation and diversified digital expansion remains an effective model for long-term growth within the competitive global gaming industry.
Naavik · 2023