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Square Enix Annual Report FY2007

Square Enix achieved a significant financial milestone during the fiscal year ended March 31, 2007, reporting a 31.3% increase in net sales to ¥163.5 billion and a 67.5% surge in operating income. This growth was primarily driven by the consolidation of Taito Corporation and the international success of major titles such as Final Fantasy XII. Despite these gains, net income fell 32% to ¥11.6 billion due to substantial extraordinary losses totaling over ¥11 billion. These losses stemmed from a strategic restructuring of the amusement segment, which included closing unprofitable arcades and divesting Taito’s karaoke business to focus on core competencies. The company is currently navigating a transition toward becoming a global content and community provider, shifting its focus from traditional software sales to persistent network services and mobile platforms. This strategy proved successful during the console hardware transition, as handheld titles like Dragon Quest Monsters: Joker and Final Fantasy III became primary growth drivers. While Japan remains the dominant market, international operations in North America and Europe now account for 23% of total revenue. This global expansion is supported by a robust liquidity position, with cash reserves nearing ¥100 billion and a total absence of interest-bearing debt. Management has set a long-term goal to double recurring income to ¥50 billion by capitalizing on the 315% growth in mobile segment operating income and expanding established franchises. To support this evolution, the company has strengthened its corporate governance and internal controls while adopting a 30% consolidated dividend payout ratio. Despite the challenges of goodwill amortization and impairment losses related to subsidiaries like UIEvolution, Inc., the financial structure remains stable, characterized by a shift toward increased foreign share ownership and a disciplined approach to risk management and capital allocation.

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Square EnixJul 2007

Financial

Annual Report 2007

The 2007 annual report presents Bandai Namco’s first full fiscal year after the 2005 merger, emphasizing the financial and strategic outcomes of the integration. Net sales reached ¥459 billion, a modest 1.8 % increase year‑on‑year, while operating income rose 18.4 % to ¥42.2 billion and net income surged 71.4 % to ¥24.3 billion, lifting return on equity to 9.4 %. Although the ¥470 billion sales target was missed, profitability exceeded internal goals, and overseas revenue grew to 22.4 % of total sales, reflecting a deliberate push into international markets. Performance varied across the five strategic business units. The Amusement Facility unit posted ¥88.2 billion in sales (+8.5 %) and more than doubled its operating profit, while the Game‑Contents unit generated ¥139.2 billion (+6.4 %) with an 18.6 % rise in operating income. Geographic analysis shows a 22.4 % jump in Americas sales to ¥53.99 billion, turning a loss into a ¥3.38 billion profit, whereas Japan sales slipped 1.8 % and operating income fell 11.9 %; Europe and other Asian markets delivered double‑digit growth. The balance sheet strengthened, with total assets climbing to ¥408.5 billion

mergers-acquisitions market-analysis mobile+2

Bandai NamcoMar 2007

Financial

Square Enix Annual Report FY2006

Fiscal year 2006 marked a period of aggressive structural expansion and strategic pivot for Square Enix, defined primarily by the acquisition of Taito Corporation. This consolidation drove net sales up 68.5% to ¥124.5 billion, as the company integrated Taito’s amusement and arcade operations into its traditional software portfolio. Financial performance was further bolstered by the record-setting global releases of *Final Fantasy XII* and *Kingdom Hearts II*, which shipped over 3.6 million units. However, despite record revenues, operating income fell 41.4% to ¥15.5 billion. This decline was attributed to a challenging transition in the console lifecycle, the underperformance of second-tier titles, and significant impairment hits, including a ¥3.9 billion write-down of goodwill related to the U.S. subsidiary UIEvolution. The acquisition of Taito fundamentally altered the corporate balance sheet, increasing total assets to ¥284.3 billion and necessitating the issuance of ¥50 billion in corporate bonds. While the new Amusement segment added substantial scale, it initially faced operating losses due to high investment costs and sluggish arcade sales. To mitigate these pressures, management initiated a divestment of non-core assets, such as Taito’s karaoke-on-demand business, and implemented a strategic shift toward "community management." This vision emphasizes multi-platform content delivery, network-compliant entertainment, and the application of game technology to non-entertainment sectors like education and IPTV. Geographically, Japan remained the primary revenue driver, accounting for 87% of sales, though the company noted significant growth in the Asian digital content market. The ownership structure also underwent a notable transformation, with foreign investment rising from 4.46% to 19.65% over a two-year period. Moving forward, the company aims to stabilize its expanded operations by targeting a 20% operating income ratio, focusing on cross-platform middleware development and the strengthening of global human resources to navigate the risks associated with next-generation hardware transitions.

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Square EnixJul 2006

Financial

Namco Bandai Holdings Annual Report 2006

The 2006 annual report presents the first full‑year results of the joint holding company formed by the September 2005 merger of Bandai and Namco, outlining a strategy that leverages cross‑business synergies across toys, hobby products, visual media, network services, amusement facilities and game software. Financial performance for fiscal 2006 reached ¥450.8 billion in net sales, ¥35.7 billion in operating profit and ¥14.2 billion in net income, delivering earnings of ¥54.4 per share and a ¥12 dividend, while return on equity fell to 5.8 % for Bandai and 9 % for Namco. The report notes that weaker amusement‑facility and game‑software markets forced inventory write‑downs and a deferred‑tax‑asset allowance, causing the group to miss its internal targets. Revenue concentration remained heavily Japan‑centric, with roughly 81 % of sales generated domestically and 19 % from overseas markets. The medium‑term management plan targets a rise in overseas sales to 25 % of total revenue by FY 2009 and ultimately 50 % long‑term, supported by the “Entertainment Hub” model that integrates character merchandising with technology to create and distribute content across multiple channels. Projected additions include ¥5 billion in new toys and hobby sales and ¥30 billion from new amusement‑facility formats, with operating‑margin goals of 15‑20 % across the five Strategic Business Units. Governance is structured around a ten‑member board, a four‑member statutory auditor board and a series of standing committees that oversee strategy, personnel, CSR, compliance and crisis management, complemented by ten internal‑control policies introduced from FY 2007. The consolidated balance sheet shows shareholders’ equity of ¥243.6 billion, strong operating cash generation of ¥31.8 billion, and a year‑end cash balance of ¥113.2 billion after

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Bandai NamcoMar 2006

Financial

Square Enix Annual Report FY2005

Fiscal 2004 marked a period of record financial performance and strategic consolidation for Square Enix following the 2003 merger of Enix and Square. Net sales rose 16.9% to ¥73.86 billion, while net income more than tripled to ¥14.93 billion. This growth was underpinned by a robust equity ratio of 82.7% and a substantial cash position of over ¥81 billion with no interest-bearing debt. While the domestic Japanese market remained the primary revenue driver, accounting for approximately 82% of total sales, the company expanded its international footprint through the establishment of Square Enix (China) and increased foreign investment, which rose to 12% of total shares. The Games (Offline) segment remained the largest revenue contributor, generating ¥41 billion behind the success of Dragon Quest VIII, which sold 3.6 million units. However, the most significant growth occurred in digital segments, with mobile phone content and online games increasing by 63.2% and 55.2% respectively. Final Fantasy XI reached a milestone of 500,000 global subscribers, validating the shift toward recurring revenue models. To support this digital evolution, the company capitalized ¥17.9 billion in software development costs and acquired UIEvolution to enhance its technical flexibility in content delivery. Management’s "Phase 2" strategy focuses on navigating the transition to next-generation consoles through a "Polymorphic Content" approach, which emphasizes cross-platform availability and economies of scope. By leveraging established intellectual properties across mobile, online, and traditional media, the company aims to mitigate risks associated with rising development costs and the volatility of the used game market. Despite a temporary revenue decline in Western markets due to a lack of major releases, the company remains positioned for growth through cross-industry alliances and the expansion of its network-based services globally.

market-analysis japan game-publishing

Square EnixJul 2005

Financial

Square Enix Annual Report FY2004

The fiscal year ending March 31, 2004, marked the successful integration of Enix Corporation and Square Co., Ltd. following their April 2003 merger. This transition resulted in record-high financial performance, characterized by consolidated net sales of ¥63,202 million and a robust operating margin of 30.7%. The newly formed entity established a strong financial foundation with an 87.4% shareholders' equity ratio and significant cash reserves, signaling a stable transition into a unified corporate structure. The strategic focus shifted toward a "polymorphic content" model, designed to maximize the value of established intellectual property across multiple platforms, including mobile and network-based digital entertainment. While offline games remained the primary revenue driver at ¥37,988 million, the online segment achieved a critical turnaround. Driven by the global expansion of Final Fantasy XI, online operations moved from an operating loss to a profit of ¥2,348 million. Additionally, the publication segment, bolstered by the Fullmetal Alchemist series, and the establishment of internal distribution channels in North America contributed to diversified growth. Geographically, Japan remained the dominant market, though overseas sales grew to nearly 30% of total revenue. The company also expanded its technological capabilities through the $58 million acquisition of middleware developer UIEvolution. Despite the bankruptcy of affiliate Digicube, which necessitated impairment losses, the overall financial outlook remained positive. Management set ambitious medium-term goals to become a leading global digital content provider by 2010, targeting continued margin strength through franchise expansion and enhanced community management in the burgeoning network-based gaming sector.

mergers-acquisitions market-analysis japan

Square EnixJul 2004

Report

3Q FY2022 Presentation Material: Japan

3Q FY2022 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Quarterly Results (April - June 2022) 3. Internet Advertisement Business 6. Medium to long-term strategy FY2022 Game sales declined from the peak made by the title released last year.

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CyberAgent

Report

Summary of Consolidated Financial Results: Six Months Ended September 30, 2022

The six‑month financial results for Koei Tecmo Holdings, covering April 1 to September 30, 2022, show a decline in key performance metrics compared with the same period in 2021. Net sales fell by 6.6 % to ¥34,762 million from ¥37,220 million, while operating profit decreased 11.6 % to ¥18,321 million from ¥16,423 million. Ordinary profit and profit attributable to the parent dropped 29.5 % and 24.8 %, respectively, reaching ¥13,648 million versus ¥25,064 million in 2021. Earnings per share also contracted, with diluted EPS falling from ¥54.38 to ¥40.15. Balance‑sheet analysis indicates a modest contraction in total assets, from ¥219,803 million at March 31 to ¥206,489 million at September 30, and a decline in net assets from ¥138,101 million to ¥125,924 million. The equity ratio slipped slightly from 62.6 % to 60.7 %. Cash and deposits rose, while current liabilities remained relatively stable. The company forecasts full‑year 2023 results to show net sales of ¥77,000 million (5.8 % increase year‑on‑year) but operating profit of ¥32,500 million (5.9 % decrease). Ordinary profit is projected at ¥42,500 million, a 12.7 % decline, with comprehensive income expected at ¥31,500 million (10.9 % drop). Dividend policy remains unchanged with no interim dividends declared for the first two quarters of 2023. Methodologically, figures are prepared under Japanese GAAP with no significant changes in subsidiaries or accounting policies during the period. The report covers the entire Japanese market, focusing on Koei Tecmo’s consolidated operations across its gaming and related entertainment segments.

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Koei Tecmo

Report

Summary of Financial Results for Fiscal Year Ended December 31, 2014: Japan

Summary of Financial Results for Fiscal Year Ended December 31, 2014 (Japanese GAAP) (Consolidated) hall p This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. Name of listed company: KLab Inc.

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KLab

Report

Financial Results for the First Quarter: Fiscal Year Ending March 2026

Koei Tecmo Holdings reported first‑quarter results for the fiscal year ending March 2026, showing a 15.9 % decline in sales to ¥17.6 billion and a 55.5 % drop in net profit to ¥13.6 billion compared with the same period a year earlier. Operating profit fell 37.6 % to ¥5.7 billion, while ordinary profit decreased 53.1 % to ¥18.7 billion. The decline is attributed mainly to weaker performance in the online and mobile entertainment segment, where sales dropped ¥2.8 billion; personnel costs rose, but variable costs fell due to lower sales volumes. Segment analysis reveals the entertainment division contributed ¥16.6 billion in sales, down 18 % from year‑ago, with operating profit falling ¥2.0 billion. The amusement segment benefited from licensing income and new facility openings, adding ¥297 million in sales and ¥88 million in operating profit. Real‑estate revenue rose modestly from the KT Zepp Yokohama venue, while the “Others” segment recorded a loss of ¥310 million. Forecasts for FY25 project sales growth to ¥92.0 billion, an increase of 10.6 % from FY24, with operating profit expected at ¥31.0 billion (‑3.5 % from FY24). Net profit is projected at ¥27.0 billion, a 28.2 % decline from FY24, reflecting higher development and personnel costs anticipated in the second half of the year. Dividend per share is forecast at ¥43, down 28 % from FY24. The company maintains a Tokyo Stock Exchange Prime Market listing strategy, targeting a 35 % tradable‑share ratio by March 2026. Growth investment plans focus on human capital, with a projected 10 % annual increase in personnel costs and ¥25 billion allocated for new office space. M&A activity remains opportunistic, centered on intellectual‑property synergies. Geographically, the firm prioritizes expansion in North America, Europe, and China for console/PC titles, while online/mobile growth targets Japan, China, and surrounding regions with a long‑term global outlook. The pipeline for the fourth medium‑term management plan includes several major releases, such as “NIOH 3” and “NOBUNAGA’S AMBITION: Awakening Complete Edition,” slated for early 2025 and mid‑2025 respectively.

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Koei Tecmo

Report

FY2023 Second Quarter Financial Results Briefing

FY2023 second‑quarter results for GREE, Inc. show net sales of ¥16.6 billion and operating income of ¥1.7 billion, with EBITDA at ¥1.8 billion. The Internet and Entertainment Business generated ¥1.5 billion of operating income, exceeding forecasts largely due to the strong performance of the mobile title Heaven Burns Red. The company highlighted continued global rollout of this IP, including Korean and traditional Chinese releases scheduled for February 10, and noted its inclusion on Google Play’s “Best Games of 2022” list. Overseas sales for the metaverse platform REALITY doubled between June and December 2022, with expanding monetization and new content features such as an avatar shop and collaborative stickers. Financially, ordinary income fell quarter‑on‑quarter because of foreign‑exchange losses on assets denominated in foreign currencies, and net income turned a ¥0.9 billion loss after a valuation loss on investment securities. Operating costs declined by ¥0.2 billion to ¥14.8 billion, with no significant structural changes. The Investment and Incubation Business moved into profitability in Q2 after a loss in Q1, driven by distribution from investees. Asset‑under‑management figures remained stable, while new investments were made in six venture funds and eleven startups. The company maintains its FY23 outlook, projecting third‑quarter Internet and Entertainment operating income between ¥1.0 billion and ¥1.5 billion, with potential upside from global distribution gains. Scope covers Japan‑based operations with significant overseas revenue streams; the period is FY2023 Q2, and segments include Internet & Entertainment, Metaverse, Commerce & DX, Game & Anime, and Investment & Incubation. Data derive from internal financial statements and operational metrics presented in the briefing.

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GREE

Report

FY2020 2Q Financial Results Presentation

The presentation reports GREE Inc.’s second‑quarter 2020 financial performance, highlighting a net sales figure of ¥16.4 billion and operating income of ¥0.8 billion, surpassing forecasts. EBITDA reached ¥1.1 billion, while net income climbed to ¥2.6 billion largely due to a ¥3.0 billion gain from the sale of investment securities. Year‑over‑year and quarter‑on‑quarter profit growth is emphasized, with operating income projected for the third quarter between ¥0.5 billion and just under ¥1.0 billion. Key business drivers include the successful launch of a third‑party distributed title in November, which boosted net sales and coin consumption. The first‑party IP “Another Eden” expanded overseas sales, achieving a 2.7‑fold increase from November to December across the United States, Europe, and Asia, supported by intensified global marketing. The live‑entertainment platform REALITY continues to grow, introducing low‑latency mode and partnering with Cluster Inc. for integrated avatar functionality. Operationally, variable costs rose due to higher commission and advertising expenses, while fixed costs remained stable except for a one‑time depreciation increase from office relocations. The investment securities portfolio maintained a book value of ¥19 billion against an assessed value of ¥36 billion, confirming strong performance. Strategically, GREE plans to release one additional title in FY20 and 4–6 new titles for FY21 onward, including collaborations with Visual Arts (Heaven Burns Red) and SYMPHOGEAR (Assault Lily: Last Bullet). Existing titles such as SINoALICE, DanMachi, SYMPHOGEAR, and Shoumetsu Toshi continue to receive fan‑community engagement campaigns. The company’s advertising and media initiatives aim to broaden user acquisition through targeted partnerships and campaigns.

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GREE

Report

FY2023 Fourth Quarter Financial Results Briefing

GREE, Inc. reported FY2023 full‑year net sales of ¥75.4 billion and operating income of ¥12.5 billion, marking year‑on‑year growth across its diversified portfolio. The fourth quarter delivered ¥20.1 billion in sales and ¥5.0 billion in operating income, with the Investment Business providing a notable earnings boost while other segments performed near expectations. The company restructured its reporting from two to four business segments—Game and Anime, Metaverse, DX, and Commerce—to better reflect expanding domains. Game and Anime sales were slightly weakened by a post‑anniversary dip in Heaven Burns Red, yet overall profitability remained strong due to reduced advertising costs and investment contributions. Metaverse operations, split into platform, VTuber, B2B, and Web3 sub‑units, continue to invest heavily; FY24 sales are projected at ¥8.1 billion with operating income near break‑even, while FY26 targets a shift to profitability across all sub‑units. DX focuses on marketing and operational digital transformation services, forecasting FY24 sales of ¥5.7 billion with stable operating income, and FY26 aims for ¥7.9 billion in sales and ¥1.2 billion in income. Commerce, anchored by aumo Inc., expects FY24 sales of ¥1.5 billion and modest operating income, with a projected FY26 rise to ¥3.3 billion and ¥0.4 billion income as HR media initiatives mature. Investment activities remain a key driver, with assets under management at ¥80 billion and significant distributions from fund exits and startup investments. The company projects consolidated FY24 operating income between ¥4.0 billion and ¥5.0 billion, excluding new game titles, while FY26 forecasts maintain a similar range with an anticipated 10 % return from investment holdings. GREE’s strategy emphasizes diversifying revenue streams beyond games, expanding overseas distribution, and building a multi‑layered development pipeline to stabilize earnings and support medium‑term growth.

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GREE

Report

Financial Results for the First Quarter of Fiscal Year Ending March 2025

The quarterly financial release presents KOEI TECMO HOLDINGS’ first‑quarter fiscal 2025 results, showing a modest decline in consolidated sales to ¥17.6 billion from ¥18.3 billion, a 3.8 % year‑over‑year drop driven mainly by reduced console and online/mobile sales. Operating profit fell ¥1.8 billion to ¥5.7 billion, a 23.8 % decline, while ordinary and net profits rose to ¥18.7 billion and ¥13.6 billion, respectively, reflecting higher operating leverage and lower tax rates. Segment analysis indicates the entertainment division—encompassing console, download, DLC, and mobile titles—experienced a 3.1 % sales decline, with physical console units down 7.4 % and digital download units falling 5.9 percentage points. The amusement segment’s consignment sales dropped sharply, whereas real‑estate sales saw a modest increase in operating profit due to reduced repair costs. Regional performance shows Japan’s contribution falling 6.9 %, while overseas sales grew marginally (0.5 %) and Europe experienced a 101.7 % jump, driven by new title launches. Cost structure shifts include a slight reduction in COGS and outsourcing expenses, offset by increased variable costs. Headcount rose 7.9 % to 2,736 employees, with employment and advertising costs trending upward. The company maintains its FY2024 guidance unchanged, targeting ¥90 billion in sales and a 33.3 % operating profit margin, supported by planned releases of major titles such as “Romance of the Three Kingdoms 8” and “Fairy Tail 2.” The TSE Prime listing compliance remains close to the 35 % tradable‑share threshold, with planned treasury conversion actions.

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Koei Tecmo

Report

Summary of Main Supplementary Explanations Questions and Answers: FY2024 First Quarter GREE Results Briefing

The briefing clarified GREE’s strategic focus and financial outlook for FY2024. Development activities remain fluid, with no concrete release schedule disclosed due to external IP dependencies and shifting priorities. In the Metaverse platform segment, the REALITY service showed robust growth in the first quarter, driven by Japan and North America. Monetization diversified across avatars and gifting, contributing to earnings from the platform business. The DX Business continues to expand its client base, split between game and entertainment firms—leveraging GREE’s expertise in advertising, customer service, and quality assurance—and national‑scale food and beauty companies that benefit from digital marketing support. Growth in the latter segment is noted to outpace industry averages. Financial projections for the second quarter exclude investment activities, estimating consolidated operating income around ¥0.5 billion. Year‑end guidance remains unchanged from the August 3, 2023 announcement, targeting consolidated operating income between ¥4.0 and ¥5.0 billion for FY2024, with no significant impact expected from new game or anime titles or the investment arm. The company’s emphasis on platform monetization and diversified DX services underpins its confidence in maintaining steady earnings growth amid a competitive digital landscape.

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GREE

Report

Financial Highlights: 2nd Quarter FY2025

The financial highlights cover the first half of fiscal year 2025 for Koei Tecmo Holdings, a Tokyo‑listed video game and entertainment company. The six‑month period ending September 30 shows net sales of ¥31,268 million, down 11.2% YoY, while operating profit fell 25.2% to ¥7,964 million and ordinary profit declined 15.3% to ¥17,795 million. Comprehensive income surged 256.4%, driven largely by gains on investment securities and derivatives, reaching ¥46,411 million versus a 44.2% loss of ¥13,021 million in the prior year’s half. Profitability metrics reveal a decline in gross margin from ¥20,593 million to ¥17,238 million and operating margin from 30.6% to 25.4%. Net income attributable to the parent fell 15.7% to ¥13,465 million, with basic earnings per share decreasing from ¥50.58 to ¥42.61. Total assets increased 49% to ¥314,239 million, largely due to a rise in investment securities and cash balances. Net assets grew 31% to ¥248,726 million, with the equity‑to‑asset ratio improving from 89.9% to 78.9%. The report notes no significant consolidation changes, accounting policy shifts, or restatements. Treasury shares were reduced from 20.25 million to 2.01 million during the period, reflecting a public offering and secondary issuance. Dividend policy remains unchanged, with no cash dividends declared for the first half of FY 2025. The company’s financial position is strengthened by higher liquidity and a solid equity base, but operating performance has weakened relative to the previous year.

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Koei Tecmo

Report

Financial Results for the Second Quarter of the Fiscal Year Ending March 2023

Financial Results for the Second Quarter of the Fiscal Year Ending March 2023 2. Impact of COVID-19 Pandemic on 3. Second Quarter: Financial Overview 4. 2Q FY2023 March: Initiatives 5. FY2023 March: Financial Projections 2. Impact of COVID-19 Pandemic on 3. Second Quarter: Financial Overview 4. 2Q FY2023 March: Initiatives 5.

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Opendoor

Report

Financial Results for the First Half of the Fiscal Year Ending March 2020: Japan

Koei Tecmo Holdings Co., Ltd. reports first‑half fiscal 2019 results ending March 2020, showing a 4.8 % decline in sales to ¥17.407 billion versus the previous year, driven by a 21.2 % drop in console package sales and a 10.8 % fall in total entertainment revenue, while online/mobile segments grew modestly. Operating profit fell 26.6 % to ¥3.439 billion, largely due to higher fixed costs from expanded development capacity and lower gains on securities. Ordinary profit decreased 29.2 % to ¥6.077 billion, yet net profit remained near the prior year at ¥5.931 billion, supported by a 18.6 % rise in non‑operating income from real‑estate sales and an extraordinary gain on property disposal. The company attributes the sales shortfall to delayed console releases, notably “Attack on Titan 2” and “Fire Emblem: Three Houses,” while online titles such as “Uncharted Waters VI” and the “Three Kingdoms” series maintained strong performance. Geographically, Japan accounts for 65 % of sales with a 6.4 % YoY decline, whereas overseas revenue rose 1.9 % to ¥5.814 billion; North America contributed the largest growth (28.1 %) at ¥2.195 billion. Digital sales increased 140 % in units, with overseas digital penetration reaching 78 %. The company’s mid‑term plan remains unchanged: target FY2020 sales of ¥43 billion, operating profit of ¥12 billion, and net profit of ¥13 billion, with a focus on launching a 5‑million‑copy console title and a mobile title generating ¥1 billion monthly. Investment plans include a ¥13.866 billion real‑estate project and increased development expenditures, reflecting an emphasis on expanding global IPs and multi‑platform releases.

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Koei Tecmo

Report

FY2024 Third Quarter Financial Results Briefing

GREE, Inc. reported FY2024 third‑quarter results with net sales of ¥17.2 billion, operating profit of ¥2.5 billion and EBITDA of ¥2.6 billion, reflecting a mix of strong Game and Anime performance against weaker Commerce and Investment segments. The Game and Anime Business drove a 93 % QoQ rise in operating profit, largely due to the successful two‑year anniversary events for *Heaven Burns Red*. Sales growth in this segment offset declines elsewhere, while the Metaverse Business posted a 6 % YoY sales increase to ¥1.61 billion and entered positive operating profit territory at ¥80 million, supported by Platform and VTuber sub‑segments. The DX Business achieved QoQ sales growth to ¥1.54 billion but saw a YoY profit decline, with Social DX showing positive trends after launching a joint venture in influencer marketing. Commerce Business earnings weakened due to a Google algorithm update, though a V‑shaped recovery is expected in Q4. The Investment Business broke even, maintaining an AUM of approximately ¥80 billion and continuing VC investments. Methodologically, the briefing aggregates quarterly financials across seven business units, citing sales, operating profit, and cost structures. Forecasts for Q4 FY2024 anticipate a reactive decline post‑anniversary events, projecting sales of ¥9.6–11.3 billion and operating profit of ¥1.6–1.9 billion, while full‑year FY2024 operating profit is projected between ¥5–6 billion excluding Investment contributions. Dividend policy was revised to a 3 % DOE and up to 30 % payout ratio, with FY2024 dividends forecast at ¥16.5 per share. Medium‑term targets aim for FY2026 sales of ¥15–16 billion and operating profit around ¥2.0 billion for the Metaverse Business, with comparable growth objectives across other segments.

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GREE