Puzzle & Dragons

Analyst Bulletin: Mobile Game Market Review July 2022

The July 2022 mobile game market review provides a comprehensive analysis of significant industry trends, content updates, and event strategies across the United States, China, and Japan.

• Major mobile titles including PUBG Mobile, Genshin Impact, and Diablo Immortal leveraged high-profile content updates and collaborations in July 2022 to drive player engagement and revenue.
• Music-themed integrations became a dominant trend, highlighted by the BLACKPINK virtual concert in PUBG Mobile and the introduction of a BGM collection system in Puzzle & Dragons.
• Collaborations remained a primary event strategy, exemplified by Cookie Run: Kingdom’s 50-day Disney partnership and Langrisser’s limited-time event with the Gintama anime series.

Top 20 Mobile Games by Revenue, Downloads, and Advertising: June 2022

The June 2022 analysis ranks the top twenty global mobile games across revenue, downloads, and advertising.

• Pokémon GO revenue grew 60% month-over-month in June 2022, fueled by Fest 2022 events and a new NBA-partnered AR title.
• Diablo Immortal generated over $10 million on both the App Store and Google Play within its first month following a June 2 release.
• Uma Musume Pretty Derby experienced a 40% revenue decline on the App Store as players migrated to new South Korean and Chinese servers, causing the Japanese version to drop 13 spots.

GungHo Online Entertainment: Consolidated Financial Results for the 1st Quarter of FY 2022

GungHo Online Entertainment’s consolidated financial results for the first quarter of fiscal year 2022 demonstrate a period of sustained profitability driven by the long-term performance of core intellectual properties.

• GungHo Online Entertainment reported Q1 FY2022 net sales of 23,954 million yen and an operating profit of 7,507 million yen, maintaining a strong 31.3% operating profit margin.
• Flagship title Puzzle & Dragons remains the primary revenue driver, reaching its 10-year anniversary in February 2022 with over 59 million cumulative downloads in Japan.
• The company maintains a robust financial position with 110,299 million yen in cash and deposits as of the end of the first quarter.

10 Years of Puzzle & Dragons: Evolution of a Mature Game

Puzzle & Dragons serves as a primary case study for the longevity and evolution of mature mobile titles within the Japanese market.

• Puzzle & Dragons maintains a dominant position in the Japanese market by combining match-3 core gameplay with heavy midcore meta-progression, despite a negative revenue trend in recent years.
• The game has successfully utilized over 150 collaboration events with major brands like Marvel, Final Fantasy, and Hello Kitty to drive significant download spikes and player engagement.
• Monetization has evolved beyond traditional gacha mechanics to include inventory expansion, ad-linked rewards for stamina and gacha pulls, and a monthly subscription service that boosts experience gain.

GungHo Online Entertainment FY2021 Financial Results

GungHo Online Entertainment’s financial results for the fiscal year ending December 31, 2021, demonstrate a period of sustained growth characterized by increased revenue and profitability.

GungHo Online Entertainment Financial Results Briefing: FY2021

GungHo Online Entertainment’s fiscal year 2021 financial results demonstrate a period of sustained growth driven by the continued monetization of core intellectual properties and the aggressive global expansion of the Ragnarok franchise.

• GungHo Online Entertainment reported strong FY2021 financial results with consolidated net sales of 104.6 billion yen and an operating profit of 32.8 billion yen.
• The flagship title Puzzle & Dragons remained the primary driver of domestic performance, maintaining high monthly active user counts through consistent collaboration events.
• Subsidiary Gravity successfully scaled the Ragnarok franchise internationally, with the regional rollouts of Ragnarok Origin and Ragnarok X: Next Generation significantly boosting revenue in Southeast Asia and North America.

GungHo Online Entertainment Financial Results Briefing: FY2021 Q3

GungHo Online Entertainment’s fiscal year 2021 third-quarter financial results demonstrate a period of growth driven by the successful performance of core intellectual properties and the expansion of its subsidiary, Gravity.

• GungHo reported growth in both net sales and operating income for Q3 2021 on both a quarter-over-quarter and year-over-year basis.
• The flagship title Puzzle & Dragons maintained high monthly active user counts through consistent live-service updates, with preparations underway for its 10th anniversary in early 2022.
• The Nintendo Switch title Ninjala surpassed 8 million worldwide downloads, supported by e-sports integration and planned anime adaptations.

GungHo Online Entertainment FY2021 Q2 Financial Results

GungHo Online Entertainment’s financial results for the second quarter of the fiscal year ending December 2021 demonstrate strong growth across its global gaming operations.

• GungHo reported significant growth for Q2 2021, with net sales rising 21.0% to 51,036 million yen and operating profit increasing 39.5% to 17,225 million yen.
• Profit attributable to owners of the parent surged by 66.4% year-over-year, reaching 13,278 million yen.
• Flagship title Puzzle & Dragons maintained stable monthly active users through consistent updates and collaborations, serving as a primary driver of financial performance.

GungHo Online Entertainment Financial Results: FY2020 Q4

GungHo Online Entertainment’s financial results for the fourth quarter of fiscal year 2020 demonstrate a period of sustained growth driven by the successful monetization of core intellectual properties and the expansion of its subsidiary, Gravity.

• GungHo Online Entertainment achieved 98.8 billion yen in consolidated net sales and 30.1 billion yen in operating profit for the full fiscal year 2020.
• Puzzle & Dragons remained the primary revenue driver in Q4 2020, maintaining high monthly active user counts through its 9th-anniversary celebrations and strategic collaborations.
• Subsidiary Gravity significantly bolstered financial results through the regional launches of Ragnarok Origin in South Korea and Ragnarok X: Next Generation in Taiwan, Hong Kong, and Macau.

Ninjala: Battle Action Game Overview

GungHo Online Entertainment pursues a multi-faceted growth strategy centered on the maximization of existing intellectual property and the creation of new, globally distributed gaming experiences.

• GungHo Online Entertainment reported 98,844 million yen in net sales and 30,157 million yen in operating income for 2020.
• The mobile title Puzzle & Dragons surpassed 56 million downloads in Japan as of November 2020 and reached its 9th anniversary in 2021.
• The Nintendo Switch PvP title Ninjala achieved over 6 million worldwide downloads by January 2021.

GungHo Online Entertainment FY2020 Q2 Financial Results

GungHo Online Entertainment’s financial results for the second quarter of the fiscal year ending December 2020 reflect a period of contraction compared to the previous year.

GungHo Online Entertainment FY2019 Financial Results

GungHo Online Entertainment’s financial results for the fiscal year ending December 31, 2019, demonstrate consistent growth in both revenue and profitability.