The Game

GREE Consolidated Financial Results for the Three Months Ended September 30, 2024

GREE, Inc. reported consolidated financial results for the first quarter of the fiscal year ending June 30, 2025, covering the period from July 1, 2024, to September 30, 2024.

GREE Holdings FY2025 Q1 Financial Results Briefing (Transcript)

GREE, Inc.’s financial results for the first quarter of fiscal year 2025 reflect a period of mixed performance characterized by operational growth in core segments offset by significant volatility in the investment portfolio.

• GREE reported ¥12.9 billion in net sales and a consolidated operating loss of ¥0.1 billion for FY2025 Q1, impacted by a ¥1.4 billion foreign exchange loss and an ¥0.8 billion loss in the Investment Business.
• The Metaverse segment demonstrated strong growth, with the VTuber business achieving a 71% year-over-year sales increase and a strategic goal to reach profitability by FY2026.
• The Investment Business underperformed due to ¥0.6 billion in valuation losses and write-downs, primarily stemming from crypto assets and funds nearing their settlement periods.

FY2024 Presentation Material

CyberAgent achieved record consolidated sales of 802.9 billion yen in fiscal year 2024, representing an 11.5% year-over-year increase, while operating profit surged 70.4% to 41.8 billion yen.

• CyberAgent achieved record consolidated sales of 802.9 billion yen in FY2024, an 11.5% year-over-year increase, with operating profit surging 70.4% to 41.8 billion yen.
• The Game business returned to growth for the first time in three years, generating 195.9 billion yen in sales and a 34.6% increase in operating profit driven by Umamusume: Pretty Derby and five new title launches.
• ABEMA reached a record 30.29 million weekly active users with a 22.4% increase in sales, and is now transitioning to a tiered pricing model to improve monetization.

FY2024 Consolidated Financial Results (Japanese GAAP): Japan

CyberAgent achieved significant financial expansion during the 2024 fiscal year, characterized by an 11.5% increase in consolidated net sales to ¥802,996 million and a dramatic 204.7% surge in net income.

• CyberAgent reported a 204.7% surge in net income for FY2024, with consolidated net sales rising 11.5% to ¥802,996 million.
• The Game Business drove performance with a 34.6% increase in operating income and ¥195,648 million in sales, despite recording ¥5,102 million in impairment losses.
• The ABEMA media platform significantly reduced annual losses from ¥11.5 billion to ¥1.9 billion, moving the segment closer to full profitability.

Akatsuki Management Strategy Briefing

Akatsuki is undergoing a fundamental strategic pivot to establish itself as a premier global digital content provider, focusing exclusively on high-end games, comics, and anime.

• Akatsuki is pivoting to a global, multi-device strategy, exiting domestic-only projects and real-life entertainment to focus exclusively on high-end games, comics, and anime.
• The company is investing 20 billion yen into next-generation, 3D multi-platform gaming, supported by a centralized development platform called Project Akatsuki.
• Key titles driving this global expansion include Atelier Resleriana, TRIBE NINE, and Kaiju No. 8 The Game, leveraging partnerships with Sony and Koei Tecmo to mitigate risk.

3Q FY2024 Presentation Material

CyberAgent demonstrated significant financial momentum during the third quarter of fiscal year 2024, characterized by a 10.9% year-over-year increase in consolidated sales to 190.3 billion yen and a nearly fivefold surge in operating income to 8.5 billion yen.

• CyberAgent reported a 10.9% year-over-year increase in consolidated sales to 190.3 billion yen and a nearly fivefold surge in operating income to 8.5 billion yen for 3Q FY2024.
• The company raised its full-year operating income forecast to 41 billion yen following the strong quarterly performance.
• The Game business returned to profitability with 5.1 billion yen in operating income on 38.8 billion yen in sales, driven by the May 2024 launch of Gakuen iDOLM@STER and the performance of Umamusume: Pretty Derby.

GREE Consolidated Financial Results for the Nine Months Ended March 31, 2024

GREE, Inc.’s consolidated financial results for the nine months ended March 31, 2024, reflect a period of contraction across most business segments.

1Q FY2024 Presentation Material: October to December 2023

CyberAgent’s financial results for the first quarter of fiscal year 2024, covering October to December 2023, demonstrate a strong start across its three primary business segments: Internet Advertisement, Game, and Media.

• CyberAgent reported consolidated net sales of 193.0 billion yen for 1Q FY2024, a 15.2% year-over-year increase, with operating income reaching 6.2 billion yen compared to a loss in the same period last year.
• The Media business, anchored by ABEMA, achieved an 8.3 billion yen improvement in operating performance, reducing losses to 0.9 billion yen alongside a 27.8% increase in sales and peak Weekly Active Users exceeding 20 million.
• The Internet Advertisement segment remains the company's largest revenue contributor, generating 105.3 billion yen in sales—a 10.1% year-over-year increase—with an operating profit margin of 5.4%.

Game & Network Services Segment

The Game & Network Services segment demonstrates a robust market position characterized by a PlayStation 5 monthly active user base of 118 million and a significant increase in per-console spending, which currently averages $731.

• The PlayStation 5 ecosystem maintains 118 million monthly active users with an average per-console spend of $731.
• The segment is executing a digital-first strategy, highlighted by 35% of PlayStation Plus subscribers migrating to premium tiers.
• PlayStation Studios is shifting from an acquisition-heavy phase to a multi-format expansion strategy, bringing core IP to PC and live service platforms alongside traditional console releases.

Summary of Financial Results for Third Quarter of Fiscal Year Ended December 31, 2023

This financial summary details the consolidated operating performance of KLab Inc. for the first nine months of the fiscal year ended December 31, 2023.

• KLab Inc. reported a 33.2% year-over-year revenue decline to 8,355 million yen for the first nine months of 2023, resulting in an operating loss of 731 million yen.
• The core Game Business experienced a sharp contraction in paid user income, which fell from 10.8 billion yen in 2022 to 6.4 billion yen in 2023.
• The company's 'Other' segment, now focused on blockchain ventures, grew revenue to 583 million yen and shifted from a loss to a 291 million yen profit.

FY2024 First Quarter Financial Results

The first quarter of FY2024 reflects a transitional period characterized by a strategic pivot toward the Metaverse and Commerce segments amid a temporary downturn in investment income.

• Consolidated net sales fell 22% quarter-on-quarter to ¥15.8 billion, while operating income dropped 75% to ¥1.2 billion.
• The Investment Business reported an 86% decline in sales and a ¥0.2 billion operating loss, though the portfolio maintains an 18% internal rate of return on ¥82.7 billion in assets.
• The Game and Anime segment remains the primary revenue driver at ¥11.7 billion, supported by a pipeline of 17 titles scheduled for release through FY2026.

FY2023 Fourth Quarter Financial Results

GREE Group concluded fiscal year 2023 with net sales of ¥75.4 billion and operating income of ¥12.5 billion, demonstrating resilience despite a revenue contraction in the final quarter.

• GREE Group reported FY2023 net sales of ¥75.4 billion and operating income of ¥12.5 billion, with the Investment Business emerging as a primary profit driver following a 1,489% year-over-year increase in operating income.
• The Game and Anime division is implementing a multilayered development strategy featuring a pipeline of 17 titles through 2026 to mitigate revenue declines caused by the post-promotional dip of Heaven Burns Red.
• The Metaverse segment has been restructured into four specialized units—Platform, VTuber, B2B, and Web3—with a strategic goal of achieving an overseas sales ratio exceeding 50% by 2026.