Consolidated Financial Results for the Fiscal Year Ended March 31, 2015

Key insights

7 takeaways

01
Driven by the success of the mobile title Monster Strike, mixi, Inc. achieved a net sales surge of 828.9% to ¥112.9 billion for the fiscal year ended March 31, 2015.See it on page 1
02
The company transitioned from a net loss in the previous year to a net income of ¥32.9 billion, with cash reserves increasing nearly fourfold to ¥65.4 billion.See it on page 6
03
The Entertainment Business segment became the primary growth engine, with segment sales rising from ¥3.3 billion to over ¥102.2 billion.See it on page 34
04
To sustain growth, the company increased advertising expenditures nearly ninefold to ¥9.7 billion and settlement fees to ¥32.7 billion.See it on page 46
05
Strategic diversification included the ¥11.5 billion acquisition of ticket marketplace Hunza, Inc. and the purchase of fashion e-commerce platform MUSE & Co., Ltd.See it on page 30
06
Over 90% of the company's sales and assets remain concentrated in the Japanese market.See it on page 35
07
Following a five-for-one stock split, the company projects fiscal year 2016 net sales to reach ¥185 billion.See it on page 38

Summary

The fiscal year ended March 31, 2015, marked a transformative period of hyper-growth and financial recovery for mixi, Inc., primarily driven by the explosive success of the mobile title Monster Strike. Net sales surged by 828.9% to ¥112.9 billion, facilitating a dramatic turnaround from a net loss in the previous year to a net income of ¥32.9 billion. This performance significantly bolstered the balance sheet, with total assets expanding from ¥26.4 billion to ¥104.1 billion and cash reserves increasing nearly fourfold to ¥65.4 billion.

The Entertainment Business segment became the primary engine of this expansion, with sales rising from ¥3.3 billion to over ¥102.2 billion. To sustain this momentum, the company aggressively scaled its operational investments, increasing advertising expenditures nearly ninefold to ¥9.7 billion and settlement fees to ¥32.7 billion. This liquidity also funded a strategic diversification of the Media Platform Business through high-profile acquisitions, including the ¥11.5 billion purchase of ticket marketplace Hunza, Inc. and the acquisition of fashion e-commerce platform MUSE & Co., Ltd. These moves, alongside entries into the matchmaking and marriage support sectors, resulted in a substantial increase in goodwill to ¥14.1 billion.

Geographically, the company remains heavily concentrated in the Japanese market, which accounts for over 90% of sales and assets. Following a five-for-one stock split and a significant rise in net assets per share, the company has shifted toward a more robust shareholder return policy, including increased dividend payouts. Projections for fiscal year 2016 anticipate continued growth, with net sales expected to reach ¥185 billion as the company leverages its strengthened capital structure and diversified service portfolio.