FinancialKLab
Summary of Financial Results for First Quarter of Fiscal Year Ending December 31, 2018
1 May 201812 pages~17 min full read
KLab Inc. reported a 51.0% year-over-year revenue increase to 7.92 billion yen for Q1 2018, driven by the strong performance of mobile titles including Captain Tsubasa: Dream Team, Utano☆Princesama Shining Live, and Bleach: Brave Souls.
See it on page 8Operating income grew 43.8% to 1.34 billion yen, while profit attributable to owners of the parent rose 16.9% to 805 million yen.
See it on page 2The company maintains a full-year 2018 revenue forecast of 33.5 billion to 38.5 billion yen and an operating income forecast of 3.75 billion to 6.25 billion yen, accounting for potential volatility in new game performance.
See it on page 2Costs of sales increased by 51.8% due to higher royalties, commissions, and outsourcing expenses, while non-operating expenses included 159 million yen in foreign exchange losses.
See it on page 4The company's equity ratio improved to 73.8% in Q1 2018, up from 67.4% at the end of 2017.
See it on page 1KLab executed a share buyback of 261,100 shares for approximately 499 million yen following the quarter's end to enhance capital efficiency.
See it on page 8KLab Inc. reported significant growth in its consolidated financial results for the first quarter of the fiscal year ending December 31, 2018. Covering the period from January 1 to March 31, 2018, the data reveals a 51.0% year-over-year increase in revenue, reaching 7.92 billion yen. This growth was primarily driven by the strong performance of mobile titles including Captain Tsubasa: Dream Team, Utano☆Princesama Shining Live, and Bleach: Brave Souls.
Operating income rose 43.8% to 1.34 billion yen, while profit attributable to owners of the parent increased 16.9% to 805 million yen. These gains were achieved despite rising costs of sales, which grew 51.8% due to higher royalties, commissions, and outsourcing expenses related to game development. Non-operating expenses were impacted by 159 million yen in foreign exchange losses resulting from the re-evaluation of foreign currency receivables.
The financial status remains stable with an equity ratio of 73.8%, up from 67.4% at the end of 2017. Total assets decreased slightly to 17.6 billion yen, largely due to a reduction in cash and deposits, while non-current assets rose following increased investment in software in progress. Subsequent to the quarter's end, the company executed a share buyback of 261,100 shares for approximately 499 million yen to improve capital efficiency.
Looking ahead, KLab maintains a range-based forecast for the full fiscal year 2018, projecting revenue between 33.5 billion and 38.5 billion yen. This methodology accounts for the inherent volatility in the success of new game titles. The company anticipates operating income to fall within the range of 3.75 billion to 6.25 billion yen, reflecting a neutral to positive outlook depending on market trends and the performance of the existing mobile gaming portfolio.
