FinancialKLab
Summary of Financial Results for Third Quarter of Fiscal Year Ending December 31, 2018 (Japanese GAAP)
1 Nov 201812 pages~16 min full read
KLab Inc. reported revenue of 24.9 billion yen for the first nine months of 2018, marking a 36.7% year-over-year increase driven by titles like Captain Tsubasa: Dream Team, BLEACH Brave Souls, and YU☆YU☆HAKUSHO 100% Maji Battle.
See it on page 4Operating income grew 24.4% to 3.9 billion yen, while profit attributable to owners of the parent rose by a more modest 1.6% to 2.6 billion yen.
See it on page 2Full-year 2018 forecasts were revised to 31.5 billion yen in revenue and 4.0 billion yen in operating income, with the company projecting a year-over-year decline in annual profits due to the volatility of new game launches.
See it on page 5Operating costs rose significantly, with cost of sales increasing 42.6% due to higher royalties and commissions, and SG&A expenses rising 27.8% as a result of increased advertising spend.
See it on page 4The company maintains a stable financial position with total assets of 19.9 billion yen and an equity ratio of 73.0%, supported by a 3.4 billion yen investment in software in progress.
See it on page 1Corporate actions during the period included the retirement of 870,000 shares of treasury stock and the implementation of an employee stock ownership plan.
See it on page 10KLab Inc. reported significant growth in its consolidated financial results for the first nine months of the fiscal year ending December 31, 2018. Revenue reached 24.9 billion yen, a 36.7% increase over the same period in 2017. This growth was primarily driven by the strong performance of Captain Tsubasa: Dream Team, anniversary campaigns for BLEACH Brave Souls, and the successful August 2018 launch of YU☆YU☆HAKUSHO 100% Maji Battle. Operating income rose 24.4% to 3.9 billion yen, while profit attributable to owners of the parent saw a modest increase of 1.6% to 2.6 billion yen.
The financial position remains stable with total assets of 19.9 billion yen and an equity ratio of 73.0%. While current assets decreased due to lower cash holdings, non-current assets rose significantly, driven by a 3.4 billion yen investment in software in progress. Expenditures also increased, with cost of sales rising 42.6% due to higher royalties and commissions, and selling, general, and administrative expenses increasing 27.8% following higher advertising spend.
Geographically focused on the Japanese market with global reach through its mobile titles, KLab revised its full-year 2018 forecasts to 31.5 billion yen in revenue and 4.0 billion yen in operating income. While revenue is expected to grow 17.6% year-over-year, the company anticipates a decline in annual profits compared to 2017, citing the volatility of new title success. The methodology follows Japanese GAAP, and the results include segment data for the core Game Business and secondary research and consulting operations. Notable corporate actions during the period included the retirement of 870,000 shares of treasury stock and the implementation of an employee stock ownership plan.
