Library

Market Analysis

FY2020 Third Quarter Results Briefing

The briefing presents FY2020 third‑quarter results for GREE Inc., highlighting net sales of ¥15.4 billion, operating income of ¥1.2 billion and EBITDA of ¥1.4 billion, with operating income exceeding forecasts. Net sales fell from the prior quarter due to portfolio pruning and COVID‑19 impacts on advertising, yet profitability rose thanks to strong performance of the first‑party title “Another Eden” and cost efficiencies, particularly in variable advertising spend and reduced depreciation from office relocation expenses. Operating‑income ratio climbed to 8.0 %, up 3.0 percentage points. Key business developments include the expansion of “Another Eden” into 71 countries, achieving a 1.4‑fold overseas sales increase, and the upcoming global launch of “SINoALICE” on July 1, slated for distribution in 139 territories. The live‑entertainment platform REALITY is adding original content such as the VTuber music program “Buion!!” and streamer ranking events. Licensed titles continue to perform well, exemplified by the Chinese release of “One‑Punch Man” topping sales charts. Outlook for Q4 anticipates weaker sales and profit due to ongoing COVID‑19 effects on advertising, with potential restructuring measures—including portfolio review and fixed‑cost reductions—expected to incur a one‑time loss. The company plans to maintain earnings stability in FY2021 through swift action and cost control, while continuing shareholder returns via a stock‑repurchase program of up to ¥2.5 billion and a dividend forecast of ¥10 per share, unchanged from the previous year.

market-analysis game-publishing mobile+3

GREE

Report

FY2020 Fourth Quarter Financial Results Briefing

FY2020 financial results for GREE, Inc. show a full‑year net sales total of ¥62.7 billion with operating income of ¥3.2 billion and EBITDA of ¥3.9 billion, driven by a strengthened game business, expanded live‑entertainment platform REALITY, and focused media operations. In the fourth quarter alone, net sales were ¥15.0 billion; operating income dipped to a loss of ¥0.1 billion, while EBITDA rose modestly to ¥0.1 billion. Adjusted for one‑time restructuring costs, operating income recovered to ¥0.8 billion, indicating a solid profit‑generation base. Key findings include a net sales decline from the prior quarter largely attributable to weaker media revenue amid COVID‑19, while game and live‑entertainment segments remained stable. Fixed costs increased by ¥0.91 billion, primarily due to restructuring initiatives such as business discontinuations and office consolidations in the media arm. Variable costs held steady at ¥6.15 billion, and the company’s cost structure remained largely unchanged except for one‑time items. The fiscal year 2021 outlook centers on aggressive investment in the three pillars: game development (engine, IP, and China distribution), expansion of REALITY’s user base, and media portfolio growth. Planned releases include new titles like Assault Lily and KNIGHT OF SIDONIA, with global distribution of SINoALICE already active in 139 territories. Shareholder returns feature a ¥2.5 billion stock‑repurchase program and a planned dividend of ¥10 per share, targeting a 20 % payout ratio. The company projects mid‑to‑high hundred‑million operating income for FY2021, contingent on game performance and event conditions.

market-analysis investment mobile+2

GREE

Report

FY2015 First Quarter Financial Results

The first‑quarter fiscal 2015 results show net sales of ¥25.4 billion and operating income of ¥6.4 billion, a decline in sales but a flat operating margin compared with the previous quarter due to a ¥1.4 billion cut in advertising costs. Net sales fell 9.9% year‑over‑year, driven by softer performance of existing titles in Japan and overseas markets. EBITDA rose modestly to ¥8.01 billion, while ordinary income increased by ¥2.27 billion largely from a ¥17.2 billion exchange gain on USD‑denominated loans. An extraordinary loss of ¥2.03 billion was recorded from write‑downs of assets related to discontinued titles, reducing net income to ¥3.48 billion. Cost structure analysis indicates a 7% reduction in total costs to ¥19.0 billion, largely from advertising (down 13% QoQ) and commission fees. Variable costs fell by ¥1.19 billion, while fixed costs decreased marginally. The company’s strategy focuses on accelerating native game development, having shifted resources from web games and added 12 new production lines. Three first‑party native titles are slated for launch in the winter, and partnerships with LINE and KDDI aim to expand cross‑border reach. For FY15 first half, the company forecasts net sales of ¥49.0 billion and operating income of ¥10.5 billion, assuming minimal seasonal impact and continued cost control. The outlook emphasizes native hit titles as the primary growth driver, with web games supporting earnings and new ventures in mobile video advertising and venture capital investments.

market-analysis game-development monetization+5

GREE

Report

FY2021 Third Quarter Financial Results Briefing

The briefing presents FY2021 third‑quarter financial results for GREE Inc., highlighting a net sales figure of ¥13.9 billion, operating income of ¥1.7 billion and EBITDA of ¥1.9 billion, all exceeding forecasts. Operating income rose by ¥1.2 billion from the prior quarter to ¥1.72 billion, driven by strong performance of the newly released title “Assault Lily: Last Bullet” and cost‑control measures that reduced variable costs, royalties, and fixed labor and outsourcing expenses by ¥0.9 billion to a total cost of ¥12.2 billion. Key operational developments include the launch of “Assault Lily: Last Bullet” on January 20, its rapid climb to 16th in app‑sales rankings, and the planned release of “That Time I Got Reincarnated as a Slime” later in 2021. The company maintains a pipeline of two to three new in‑house titles annually, with additional IP collaborations such as “SINoALICE” and “DanMachi.” Live‑entertainment activities on the REALITY platform expanded through new avatar gacha offerings and user events, while advertising campaigns continued to energize communities. Financial outlook remains positive: operating income for Q4 is projected at roughly ¥1 billion, and full‑year FY2021 forecasts anticipate growth in both operating income and net income. Dividend policy targets a 2 % distribution of earnings, with an FY2021 payout forecast of ¥11 per share. Stock repurchase activity has reached 60 % of a planned upper limit of ¥12 billion, underscoring management’s commitment to shareholder value.

market-analysis game-publishing live-ops+2

GREE

Report

FY2022 Second Quarter Financial Results Briefing

The briefing presents GREE Inc.’s financial performance for FY2022 second quarter, highlighting a net sales figure of ¥19.5 billion and operating income of ¥2.5 billion, both up markedly from the prior quarter largely due to a new title launch. EBITDA reached ¥2.7 billion, with the Internet and Entertainment Business contributing the full operating income margin. The company attributes growth to the strong start of “That Time I Got Reincarnated as Slime: ISEKAI Memories,” which achieved over two million downloads within two months and secured a top‑four sales ranking globally. Forecasts for the third quarter project operating income between ¥1.5 billion and just under ¥2 billion, driven by anticipated new releases. Operationally, GREE expanded its Metaverse platform REALITY, adding multilingual support and interactive features for up to eight avatars. The Advertising and Media Business introduced a new SaaS marketing tool, “aumo My Business,” targeting physical stores, and partnered with regional tourism bodies to promote local content. Investment activities remained steady; the LP fund and CVC arms invested in domestic and international venture funds, with IRR figures of 17 % (growth phase) and 22 % (exit phase), outperforming domestic benchmarks. Cost analysis shows advertising expenses rose by ¥200 million, commission fees increased with sales, and fixed costs climbed due to bonus provisions. Total operating costs reached ¥17 billion, up ¥4.9 billion quarter‑on‑quarter. Share repurchase and cancellation activities reduced the share count by 35 million shares, lowering outstanding equity. Overall, GREE’s strategy focuses on sustaining game revenue growth, expanding metaverse and SaaS offerings, and maintaining a robust investment portfolio.

market-analysis monetization metaverse+3

GREE

Report

Summary of Consolidated Financial Results: Second Quarter Fiscal Year Ending March 31, 2016

The consolidated financial results for Hibiya Engineering, Ltd. for the first half of the fiscal year ending March 31, 2016, detail a period of challenging operating conditions within the Japanese construction sector. Despite a broader economic recovery supported by government stimulus, the company faced significant pressure from rising material and labor costs. The primary objective of the report is to provide a transparent account of the company’s financial performance and operational status during the six-month period ending September 30, 2015. Financial performance metrics indicate a contraction in business volume, with net sales declining 3.0% year-on-year to 27,252 million yen and orders received falling 5.3% to 35,863 million yen. While the company continued to implement cost-reduction measures, it reported an operating loss of 539 million yen, an improvement over the 975 million yen loss recorded in the same period of the previous year. Similarly, the ordinary loss narrowed to 331 million yen from 755 million yen, and the loss attributable to owners of the parent decreased to 270 million yen from 494 million yen. The company’s financial position reflects a reduction in total assets to 72,023 million yen, largely driven by a significant decrease in accounts receivable from completed construction contracts. Total liabilities also saw a substantial decline to 14,646 million yen, primarily due to lower accounts payable. Regarding accounting methodology, the company adopted new standards concerning business combinations and consolidated financial statements starting in the first quarter of the fiscal year. These changes, which include updated terminology for non-controlling interests and revised allocation procedures for acquisition expenses, had no material impact on earnings. Management maintains its previously announced full-year forecast, projecting net sales of 74,000 million yen and an operating income of 2,500 million yen.

market-analysis investment japan

Hibiya Engineering

Report

Consolidated Financial Results for the Six Months Ended September 30, 2022: Japan

MIXI, Inc. reports consolidated financial results for the six months ended September 30 2022 under Japanese GAAP, covering April 1–September 30. Net sales rose 21.1 % to ¥65,734 million, while operating income increased 23.1 % to ¥11,249 million and ordinary income attributable to the parent fell 68.2 % to ¥1,960 million due to a significant loss on withdrawal from business and other extraordinary items. EBITDA grew 21.3 % to ¥13,484 million. Comprehensive income for the period was ¥3,073 million, a 49 % decline from ¥6,025 million in the prior year. Basic earnings per share dropped sharply to ¥26.96 from ¥83.11, reflecting the large operating loss and extraordinary charges. Total assets increased to ¥221,903 million, with net assets at ¥184,517 million and an equity ratio of 82.0 %. Cash and cash equivalents fell to ¥118,893 million after substantial outflows for treasury share repurchases and dividend payments. The company maintained a stable equity base, with paid‑in capital unchanged at ¥9,698 million and retained earnings at ¥178,498 million. MIXI forecasts a full‑year net sales of ¥133,000 million (up 9.0 %) but expects operating income to decline by 11.7 % to ¥19,500 million and ordinary income to fall 13.0 % to ¥15,500 million, driven by a projected loss on withdrawal from business and reduced operating margins. Dividend policy remains unchanged at ¥55 million per share for the fiscal year ending March 31 2023. The report covers Japan exclusively, spans a six‑month period within FY 2022–23, and includes data from subsidiaries such as CONNECTIT Inc., acquired in October 2022. Methodological notes indicate adoption of fair‑value measurement guidance with no material impact on the results, and a reclassification of investment activities into a separate reportable segment effective from FY 2023.

market-analysis investment japan+1

mixi

Report

Consolidated Financial Results: Three Months Ended June 30, 2022

The quarterly consolidated financial results for mixi, Inc. cover the three‑month period ending June 30 2022 under Japanese GAAP. Net sales rose to ¥31,022 million from ¥28,529 million in the same period a year earlier, reflecting an 8.7 % increase driven primarily by the Digital Entertainment segment, notably Monster Strike. Operating income fell to ¥5,557 million from ¥6,015 million, a 7.6 % decline, largely due to higher operating expenses and a shift in revenue recognition for investment activities. Ordinary income attributable to owners of the parent decreased by 12 % to ¥5,326 million, while comprehensive income contracted to ¥3,548 million (10.5 % of sales). Earnings per share declined from ¥54.04 to ¥48.57 (basic) and from ¥53.32 to ¥47.82 (diluted). Total assets were ¥215,217 million with net assets of ¥185,626 million, maintaining an equity ratio near 85 %. Cash and cash equivalents fell to ¥116,117 million, largely due to significant treasury share repurchases of ¥2.3 billion and dividend payments totaling ¥3.7 billion. The company forecasts full‑year 2023 sales of ¥120,000 million (up 1.6 %) but expects operating income to decline by 38.5 % to ¥12,500 million and ordinary income to drop 47.1 % to ¥8,500 million, reflecting continued investment‑related restructuring and higher cost bases. No revisions to the forecast were announced. Methodologically, the report relies on quarterly consolidation of all subsidiaries, with no changes in significant subsidiaries or accounting policies except for the adoption of fair‑value measurement guidance. The data are presented in Japanese yen, rounded to the nearest million, and include detailed segment disclosures for Digital Entertainment, Adjustment, Quarterly Entertainment, Sports, Lifestyle, and Investment businesses. The report is intended for Tokyo Stock Exchange investors and analysts, with a scheduled conference call on August 5 2022.

market-analysis investment japan+1

mixi

Report

Consolidated Financial Results for the Six Months Ended September 30, 2016

Consolidated financial results for mixi, Inc. cover the six‑month period from April 1 to September 30, 2016, and provide a forecast for the fiscal year ending March 31, 2017. Net sales fell 9.1 % to ¥86,669 million from ¥95,351 million in the same period a year earlier, while operating income declined 21.5 % to ¥34,284 million and ordinary income dropped 22.0 % to ¥33,809 million. Profit attributable to owners of the parent decreased 19.5 % to ¥22,879 million, with comprehensive income at ¥22,756 million. Basic and diluted earnings per share contracted from ¥347.23 to ¥275.99, reflecting a 20 % decline in earnings. Total assets decreased from ¥165,039 million to ¥154,730 million, while net assets rose modestly from ¥121,490 million to ¥128,015 million, improving the equity ratio to 82.6 % from 73.6 %. Share repurchases and treasury share retirements increased the treasury balance to ¥525 million. Cash and cash equivalents fell from ¥126,316 million to ¥119,144 million, driven by higher operating cash outflows and financing activities. The fiscal‑year forecast projects net sales of ¥218,000 million (up 4.4 %) but operating income of ¥80,000 million (down 15.8 %), with ordinary income and profit attributable to owners projected at ¥80,000 million (down 15.6 %) and ¥54,000 million (down 11.5 %), respectively. Earnings per share are expected to reach ¥655.94, reflecting a continued decline in profitability. Geographically, the company operates solely within Japan; the report covers all business segments—Media Adjustment and Entertainment Platform—with no significant changes in subsidiary scope. Methodologically, figures are prepared under Japanese GAAP with no accounting policy changes except those required by standard revisions. The forecast is based on current information and acknowledges potential risks that could affect actual results.

market-analysis investment japan+1

mixi

Report

Summary of main supplementary explanations questions and answers at the FY2025 First Quarter GREE results briefing held on November 5, 2024 PDF

The briefing clarified GREE’s strategic focus for FY2025 first‑quarter results, emphasizing both gaming and investment operations. In the gaming segment, the company confirmed that advance registrations for the English version of “Heaven Burns Red” are strong and that distribution will be handled by Yostar Games, whose track record in expanding English‑speaking fan communities is expected to generate significant buzz. GREE highlighted ongoing community building efforts prior to launch, underscoring a proactive marketing approach. Regarding the investment business, management acknowledged that valuation‑loss risk remains comparable to Q1 FY2025 levels. The primary driver of past losses was large investments in funds nearing the end of their operating periods; however, diversification and limited exposure to such funds mitigate long‑term impact. GREE maintains that while short‑term volatility may persist, medium‑to‑long‑term earnings should remain stable as funds mature and yield dividends or asset sales. The company reiterated its commitment to investing in GREE‑Group managed funds, including GREE Ventures, and expects related risks to surface only after several years. Overall, the briefing presented a balanced outlook: aggressive growth in the gaming arm through strategic partnerships and community engagement, coupled with cautious yet steady investment practices aimed at preserving earnings stability amid inherent valuation risks.

market-analysis game-publishing investment+3

GREE

Report

FY2024 Fourth Quarter Financial Results Briefing

The briefing presents GREE, Inc.’s FY2024 financial performance and strategic outlook. Net sales for the fiscal year reached ¥61.3 billion, operating profit stood at ¥6.0 billion, and EBITDA was ¥6.3 billion, aligning with expectations. Quarterly results for 4Q mirrored forecasts: ¥14.1 billion in sales, ¥1.4 billion operating profit, and ¥1.5 billion EBITDA. A revised dividend policy raised the year‑end payout to ¥16.5 per share, targeting a 30 % payout ratio and a dividend‑of‑earnings ratio near 3 %. Segment restructuring is underway; the Commerce Business merges into DX Business starting FY2025 to clarify B2B positioning. Continuous‑growth businesses—Metaverse and DX—are positioned as core earnings engines, with a target CAGR of 120–140 % for operating profit. Long‑term investment businesses, notably Game and Anime, face higher volatility; FY2025 forecasts anticipate sales of ¥60.2 billion and operating profit of ¥3.8 billion, with a temporary dip in 1Q due to rising development costs. The Metaverse segment achieved ¥6.5 billion in sales and ¥1.3 billion operating profit, driven by platform gains and a 190 % YoY rise in VTuber merchandise. DX Business reported ¥1.75 billion sales and ¥0.22 billion profit, with a shift toward SaaS solutions to replace labor‑intensive outsourcing. Investment Business generated modest profit of ¥0.15 billion in 4Q, with assets under management rising to ¥35.3 billion. Overall, GREE projects FY2025 sales of ¥60–61 billion and operating profit around ¥3.8 billion, while medium‑term targets for FY2026 and FY2027 are moderated due to adjusted release schedules in Game and Anime. The company emphasizes stable earnings from core segments, aggressive investment in new titles, and restructuring of B2B services to secure recurring revenue streams.

market-analysis investment japan+1

GREE

Report

FY2022 First Quarter Financial Results

The first‑quarter fiscal year 2022 results show net sales of ¥13.7 billion, operating income of ¥1.6 billion, and EBITDA of ¥1.6 billion, reflecting a 4% decline in sales versus the prior quarter but an improvement over the same period last year. Operating income fell by 1.6 billion yen from the previous quarter, largely due to a rebound in anniversary events for core titles such as *Another Eden* and *SINoALICE*. The decline was partially offset by gains in the Investment and Incubation Business, which contributed ¥0.47 billion to operating income. Cost structure analysis indicates total costs decreased by ¥0.6 billion QoQ to ¥12.1 billion, driven mainly by lower commission fees and reduced variable costs. Advertising expenses rose to ¥0.82 billion, reflecting increased investment in the Metaverse platform *REALITY* and global promotional activities. Labor costs remained stable, while outsourcing expenses for game development increased. The company continued to expand its gaming portfolio, launching *That Time I Got Reincarnated as a Slime: ISEKAI Memories* and pre‑registering *Heaven Burns Red*. Metaverse initiatives saw expanded avatar content and global distribution, while media collaborations broadened community engagement. Investment activities maintained a stable long‑term income stream, with assets under management around ¥67 billion across corporate venture capital and LP funds. Share repurchase activity reached roughly 15.4 million shares, totaling ¥13.6 billion, as part of a flexible capital policy aimed at enhancing shareholder returns. The overall outlook emphasizes growth in sales and profit through stable operations of core gaming titles, new releases, and continued investment in emerging digital platforms.

market-analysis game-development metaverse+2

GREE

Report

FY2020 Second Quarter Financial Results

The FY2020 second‑quarter results show a net sales volume of ¥16.4 billion, up 0.64 % from the prior quarter and down 1.29 % year‑over‑year, reflecting a successful launch of a third‑party distributed title and continued growth in first‑party IP sales across the United States, Europe, and Asia. Operating income reached ¥0.81 billion, a decline of ¥0.36 billion versus the previous quarter largely due to higher royalty and advertising expenses, yet still surpassing forecast expectations. EBITDA stood at ¥1.09 billion, a modest QoQ decrease of ¥0.20 billion, while net income surged to ¥2.55 billion, driven by a ¥3.0 billion gain from investment‑security sales. Cost analysis indicates total operating costs rose by ¥1.0 billion QoQ to ¥15.62 billion, with variable costs increasing by ¥0.02 billion and fixed costs rising by ¥1.00 billion, largely attributable to elevated advertising spend during the year‑end season campaign and higher commission costs linked to increased sales. Labor costs remained stable, while depreciation and goodwill amortization were unchanged. Strategic initiatives highlighted include the simultaneous global release of a third‑party title, expansion of the REALITY virtual live‑distribution platform with low‑latency enhancements, and intensified media marketing campaigns that boosted overseas sales by 2.7× for the “Another Eden” series. The company projects firm profitability in future quarters, supported by its diversified game, live‑entertainment, and advertising businesses.

market-analysis game-publishing mobile+4

GREE

FY2020 Third Quarter Results Briefing

FY2020 Fourth Quarter Financial Results Briefing

FY2015 First Quarter Financial Results

FY2021 Third Quarter Financial Results Briefing

FY2025 First Quarter Financial Results

FY2018 Third Quarter Financial Results

FY2018 Fourth Quarter Financial Results

FY2026 First Quarter Financial Results

FY2025 Third Quarter Financial Results

FY2022 Second Quarter Financial Results Briefing

Summary of Consolidated Financial Results: Second Quarter Fiscal Year Ending March 31, 2016

Consolidated Financial Results for the Six Months Ended September 30, 2022: Japan

Consolidated Financial Results: Three Months Ended June 30, 2022

Consolidated Financial Results for the Six Months Ended September 30, 2016

Consolidated Financial Results for the Fiscal Year Ended December 31, 2025: IFRS

Summary of main supplementary explanations questions and answers at the FY2025 First Quarter GREE results briefing held on November 5, 2024 PDF

FY2024 Fourth Quarter Financial Results Briefing

FY2022 First Quarter Financial Results

FY2020 Second Quarter Financial Results

FY2015 Second Quarter Financial Results