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Investment

Gaming Industry Report: Q1 2023

The report presents a comprehensive snapshot of the global gaming industry for Q1 2023, emphasizing market growth, investment dynamics, and strategic shifts across regions. Global revenue reached $201 billion in 2023, up 9% YoY from a $184 billion base in 2022, with public markets showing a 10–20% rise year‑to‑date. Venture capital activity rebounded to pre‑2021 levels, with $761 million invested across 109 North American rounds in Q1 2023; early‑stage deals remain robust while late‑stage activity has slowed. AI investment, though not new to gaming, surged in 2021 and continues to focus on asset generation and conversational AI. Regulatory developments include the finalization of major M&A deals (e.g., Microsoft–Activision Blizzard) and a pending TikTok ban that could impact gaming advertising spend. Key strategic moves feature Epic Games’ launch of self‑publishing tools on its Epic Games Store, offering a 12% fee versus Steam’s 30%, and the integration of user‑generated content into Fortnite with a 40% revenue share for creators. Google’s pivot from Stadia to cloud‑based gaming infrastructure underscores a broader industry shift toward scalable, data‑driven services. Roblox’s demographic expansion has driven a 22% YoY increase in daily active users, reflecting successful monetization of older players. Geographically, Asia dominates venture funding (over $1.8 billion in Q1 2023), followed by North America ($1.9 billion) and Europe ($473 million). Emerging markets such as Africa, South America, and Australia show nascent but growing activity. Public gaming companies hold $48 billion in cash, supporting a healthy M&A environment. The report concludes with a list of major industry events and highlights Konvoy’s investment focus on frontier gaming platforms and technologies.

market-analysis investment global

KonvoyJan 2023

Financial

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

Koei Tecmo Holdings presented its financial results for the third quarter of the fiscal year ending March 2023, revealing a period of transition characterized by a year-over-year decline in sales and profits. Net sales reached 49.4 billion yen, a 10.6% decrease from the previous year, while net profit fell 52.4% to 13.5 billion yen. This downturn is attributed primarily to a high baseline in the prior year driven by major packaged game releases and significant non-operating losses on the valuation of derivatives caused by a volatile financial environment. The entertainment segment remains the primary driver of the business, contributing 46.3 billion yen in sales. While console software sales saw a decline in physical package revenue, digital sales remained resilient, accounting for 78.8% of the entertainment segment's total sales. Geographically, the company maintains a balanced profile, with 51.6% of revenue generated in Japan and 48.4% from overseas markets, particularly in Asia and North America. Despite the dip in revenue, total unit sales actually increased by 4.9% to 5.98 million units, bolstered by strong digital downloads. Looking ahead, the company revised its full-year earnings forecast, raising its operating profit target to 34 billion yen while lowering ordinary and net profit expectations due to the aforementioned non-operating expenses. Growth strategy for the fourth quarter relies on a robust pipeline of global releases, including high-profile titles such as Wild Hearts, Wo Long: Fallen Dynasty, and Atelier Ryza 3. Additionally, the mobile sector showed momentum with the successful launch of Nobunaga’s Ambition: Ha-do and continued regional expansion of existing smartphone IPs. To support this long-term growth, the company increased its total headcount by 15.7% to 2,400 employees.

market-analysis investment global

Koei TecmoJan 2023

Financial

Gaming Industry Report: Q2 2023

The report presents a comprehensive snapshot of the global gaming industry for Q2 2023, emphasizing market growth, investment dynamics, and emerging trends. Global revenue reached $201 billion in 2023, up 9% year‑over‑year, with North America and Asia‑Pacific driving the majority of gamer populations. Public market activity is robust; leading gaming ETFs such as ESPO and GAMR have outperformed the S&P 500, delivering 30.1% and 9.7% YTD gains respectively. Private‑market funding has contracted sharply, with Q2 2023 venture capital inflows falling 38% QoQ to $472 million across 85 Latin‑American rounds, reflecting a 60% decline in early‑stage deals and a 60% drop in North American early funding. Late‑stage VC activity remains comparatively resilient, though overall deal counts have fallen 22% QoQ. The largest platform and content deals in the quarter totaled $237 million, with Asia dominating tech‑platform investments (50% of top ten) and North America leading content deals. Geographically, Asia remains the most active region, while North America’s early‑stage pipeline has weakened. Europe shows flat VC activity, and Australia and South Africa recorded minimal deal flow. The report also highlights strategic corporate moves—Apple’s Vision Pro launch, Embracer Group’s restructuring toward first‑party IP, and the near‑completion of Microsoft–Activision Blizzard regulatory approvals—as well as broader industry shifts toward user‑generated content and generative AI applications. Overall, the gaming sector continues to expand in revenue while navigating a tightening investment environment and accelerating technological innovation.

market-analysis investment global+1

KonvoyJan 2023

Financial

Gaming Deals Report: 2023

The Gaming Deals Report for 2023 documents a pronounced contraction in the sector’s deal activity. Private investment fell to $2.7 billion, with 403 deals executed—down from a peak of 567 in 2021. M&A activity, while still substantial at $78.2 billion, experienced a 43 % drop in closed transactions (121 versus 221 in 2022). Public offerings rebounded modestly to $4.2 billion after a sharp dip in 2021, largely driven by the Microsoft‑Activision acquisition. Late‑stage rounds and corporate co‑investments remain the most active segments, underscoring a shift toward consolidation and strategic partnerships. Artificial intelligence has emerged as a steady growth driver rather than a disruptive shock. From 2020 to 2023, AI‑related deals totaled 29 transactions with a combined value of $5.6 billion, surpassing blockchain and esports investment volumes. The data indicate that AI is increasingly viewed as a long‑term productivity enhancer and strategic growth lever, while web3 ventures remain niche and esports continues to struggle with monetisation. The report’s scope covers global gaming industry transactions over the 2023 calendar year, encompassing private equity, venture capital, M&A, and public offerings across all major market segments. It highlights key trends in deal flow, capital allocation, and sectoral investment priorities, offering a comprehensive snapshot of the industry’s evolving financial landscape.

mergers-acquisitions investment market-analysis+1

InvestGameJan 2023

Financial

Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

Koei Tecmo Holdings Co., Ltd. reported its consolidated financial results for the nine-month period ending December 31, 2022, revealing a significant year-on-year decline across major profitability metrics. Prepared under Japanese GAAP, the data reflects the performance of the Japanese game developer and publisher during a period of contraction compared to the previous fiscal year. Net sales for the nine-month period reached 49,439 million yen, representing a 10.6% decrease from the 55,327 million yen recorded in the same period in 2021. Operating profit fell by 15.2% to 22,994 million yen. The most substantial declines were observed in ordinary profit and profit attributable to owners of the parent, which plummeted by 56.5% and 52.4% respectively. Earnings per share consequently dropped from 85.10 yen to 42.78 yen. These results were heavily impacted by non-operating expenses, specifically a 12,626 million yen loss on the valuation of derivatives and a 7,373 million yen loss on the redemption of securities. The company’s financial position also saw a reduction in total assets, which decreased from 219,803 million yen at the end of March 2022 to 189,092 million yen by December 31, 2022. This was driven largely by a sharp decline in current assets, including cash, deposits, and short-term securities. Despite the downturn in nine-month performance, the full-year forecast for the period ending March 31, 2023, anticipates a slight recovery in top-line growth, with net sales projected to reach 77,000 million yen, a 5.8% increase over the previous full fiscal year. However, full-year net income is still expected to remain 33.5% lower than the prior year's results.

investment market-analysis japan

Koei TecmoJan 2023

Report

White Paper Catalan Video Game Industry 2023

The 2023 white paper on Catalonia’s video‑game industry presents a detailed assessment of the sector’s economic performance and labour dynamics for the year 2022. It establishes that the regional market generated €709 million in revenue, reflecting a 7.5 percent decline compared with the previous year, while employment rose to 4 619 workers, an increase of 8.7 percent. This juxtaposition of falling turnover and rising headcount suggests a shift toward more labour‑intensive activities, such as development and ancillary services, even as overall sales pressures persist. The analysis situates the sector within Catalonia’s broader creative economy, emphasizing its continued relevance as a source of high‑skill jobs and its capacity to attract talent despite modest revenue contraction. The data underline the resilience of the local ecosystem, which appears to be sustaining employment growth through diversification and possibly increased public or private investment in development capacities. Overall, the findings portray a video‑game industry that, while facing short‑term market headwinds, maintains a solid employment base and remains a pivotal component of Catalonia’s digital and cultural output. The report implies that strategic support and continued innovation could reverse the revenue dip and further strengthen the region’s position in the European gaming landscape.

market-analysis europe spain+3

DEVJan 2023

Report

Gaming Industry Report: Q1 2023

The report presents a comprehensive snapshot of the global gaming industry for Q1 2023, emphasizing market growth, investment dynamics, and emerging trends. Global revenue reached $201 billion in 2023, up 9% year‑over‑year from a $184 billion base in 2022, with public markets showing a 10–20% rise YTD. Venture capital activity rebounded to pre‑2021 levels, with $761 million invested across 109 North American rounds, a 29% quarter‑over‑quarter increase. Early‑stage deals remained robust while late‑stage activity slowed, reflecting a shift toward growth and seed funding. Geographic analysis reveals Asia as the dominant recipient of venture capital, followed by North America; Europe and Africa show slower but notable activity, while South America and Australia remain nascent. Key industry developments include Epic Games’ launch of self‑publishing tools for its Epic Games Store, positioning it as a direct competitor to Steam with a 12% fee structure. Epic also introduced user‑generated content incentives for Fortnite, leveraging its massive player base to overcome the classic chicken‑and‑egg problem. Google’s pivot from Stadia to a cloud‑based gaming infrastructure underscores a broader industry shift toward platform services. Roblox’s demographic expansion has driven a 22% year‑over‑year increase in daily active users, highlighting the value of broader age‑group engagement. Regulatory headlines feature high‑profile mergers such as Microsoft’s acquisition of Activision Blizzard and Meta’s purchase of Supernatural, alongside the U.S. FTC’s decision to abandon its TikTok antitrust suit, signaling a complex regulatory environment for gaming and related digital platforms. Overall, the report underscores continued market expansion, evolving monetization models, and a dynamic investment landscape shaped by technology, regulation, and consumer behavior.

market-analysis investment ai+1

NintendoJan 2023

Legal

Życiorys Zawodowy: Andrzej Włodzimierz Dudek

Andrzej Włodzimierz Dudek serves as the Vice President of the Management Board for the issuing entity, bringing over twenty years of international experience in investment banking, private equity, and corporate management. His professional background is supported by an elite academic foundation, having graduated with honors from the University of Cambridge and the Wharton School at the University of Pennsylvania. His studies focused on mathematics, computer science, and economics, earning him several prestigious scholarships including the Joseph Wharton and Benjamin Franklin awards. The scope of his career spans major financial hubs including New York and London, where he held significant roles at top-tier global firms. His experience includes positions at McKinsey & Company, Boston Consulting Group, and Booz Allen & Hamilton. Notably, he served as an analyst in mergers and acquisitions at Morgan Stanley and later as Vice President and Head of CEE Investment Banking at Barclays Capital. During his tenure at Barclays, he achieved substantial growth for the firm, nearly tripling results in the Central and Eastern European region and increasing the scale of operations in Poland fivefold. In addition to his banking career, he has held high-level executive and oversight positions within the energy and technology sectors. He previously served as the Vice President and CFO of Polskie Sieci Energetyczne S.A. and held supervisory board roles at Polkomtel S.A. and Elektrownie Szczytowo-Pompowe S.A. Currently, he is a member of the supervisory board of Erato Energy S.A. and the founder and CEO of Global Teleclinic & Assistance. His external business activities are formally classified as non-competitive with the issuer’s operations, and he maintains a clean legal standing with no entries in the National Debtors Register.

employment investment mergers-acquisitions+1

PlayWayDec 2022

Legal

Raport Bieżący ESPI Nr 1 9/2022

This regulatory disclosure details the shareholder structure and voting power distribution during the Extraordinary General Meeting of PlayWay S.A. held on December 13, 2022. The primary objective of the filing is to fulfill statutory transparency requirements regarding significant voting blocks present at a specific corporate assembly. The scope is limited to the Polish gaming sector, specifically focusing on the internal governance and ownership concentration of one of the country’s most prominent game developers and publishers at the end of the 2022 fiscal year. The data reveals a high level of ownership concentration centered on the company’s leadership. Krzysztof Kostowski, serving as the President of the Management Board, was the sole shareholder holding at least 5% of the votes at the meeting. He controlled 2,700,000 votes, which represented a dominant 95.27% of the voting power present at the Extraordinary General Meeting. This figure corresponds to 40.91% of the total aggregate number of votes within the entire company. The methodology for this disclosure follows the legal framework established by the Act on Public Offering, which mandates the publication of lists of shareholders with significant influence during general meetings. The findings underscore a centralized decision-making structure where the founder and executive leadership maintain substantial control over corporate resolutions. This snapshot provides critical insight into the governance dynamics of the Polish stock exchange-listed gaming entity, highlighting that the majority of participating voting power was held by a single internal stakeholder during this specific session.

investment game-publishing poland

PlayWayDec 2022

Legal

Raport bieżący ESPI nr 1 8/2022

The Extraordinary General Meeting of PlayWay S.A., held on December 13, 2022, resulted in the successful adoption of all proposed resolutions concerning the company’s corporate governance and operational framework. The proceedings adhered strictly to the planned agenda, with no items being withdrawn from consideration and no formal objections raised by shareholders for inclusion in the minutes. This meeting reflects the administrative and legal compliance of one of Poland’s leading game developers and publishers, operating within the regulatory environment of the Warsaw Stock Exchange. The voting process demonstrated a high level of shareholder consensus, as every resolution submitted for a vote was passed. The documentation confirms the legitimacy of these decisions by recording the specific number of shares from which valid votes were cast, the percentage of share capital represented, and the exact distribution of votes categorized as for, against, or abstaining. This transparency ensures that the company meets its legal obligations under the Act on Public Offering and the Regulation of the Minister of Finance regarding periodic information provided by securities issuers. While the specific strategic content of each resolution is handled as an attachment to the formal announcement, the primary outcome is the confirmation of stable corporate oversight and the formalization of shareholder-approved mandates. The meeting serves as a critical point in PlayWay’s 2022 fiscal timeline, ensuring that the executive board has the necessary legal backing to proceed with its corporate strategy. The governance activities described are centered on the Polish market and apply to the entirety of PlayWay’s extensive group of development studios and intellectual property holdings.

investment game-publishing poland

PlayWayDec 2022

Financial

2022-23 Half-Year Results Up

Nacon reported a significant increase in profitability for the first half of the 2022-23 fiscal year, covering the period from April 1 to September 30, 2022. Total sales reached 77.5 million euros, a 6.2% increase over the previous year, while net income surged by 123.5% to 8.4 million euros. This financial performance was primarily driven by the publishing division, which saw revenues grow by 72.3% to 47.0 million euros. The success of new releases such as Steelrising and Session Skate Sim, combined with a 33.3% increase in back-catalogue sales, offset a sharp 34.7% decline in the accessories segment. The shift in product mix toward higher-margin software publishing resulted in a gross margin of 61.4%, up from 52.1% in the prior year. Despite these gains, the accessories business faced headwinds due to a high base effect in the United States and a global downturn in the headset market. Furthermore, net debt increased to 63.6 million euros, reflecting the 34.1 million euro acquisition of Daedalic Entertainment and rising inventory costs linked to the global electronic components crisis. Looking ahead, the company maintains a positive outlook for the remainder of the fiscal year, though it has adjusted expectations to account for the delayed release of several major titles into the fourth quarter. Management anticipates slight year-over-year growth in sales and operating income for the full 2022-23 period. Long-term growth is expected to accelerate in the 2023-24 fiscal year, supported by a pipeline of 50 games currently in development, including the highly anticipated The Lord of the Rings: Gollum, which is now scheduled for the first half of the next fiscal year.

market-analysis investment france

NaconNov 2022

Financial

Skonsolidowany Raport Kwartalny za Okres 3 i 9 Miesięcy: Q3 2022

PCF Group S.A., operating under the People Can Fly brand, demonstrated significant financial growth and operational expansion throughout the first nine months of 2022. The primary objective of the financial performance review is to detail the group’s transition toward higher profitability and increased investment in its development pipeline. For the period ending September 30, 2022, the group achieved a net profit of 38.68 million PLN, contributing to total retained earnings of 114.86 million PLN. This performance represents a notable year-over-year improvement, as pre-tax profits rose to 54.3 million PLN from 33.8 million PLN during the same nine-month window in 2021. The group’s liquidity and cash management remained robust, with net cash flow from operating activities increasing to 52.9 million PLN. These funds supported a strategic focus on long-term growth, evidenced by 19.0 million PLN in investments toward intangible assets and the acquisition of subsidiaries. Despite a dividend distribution of 8.09 million PLN and the valuation of warrants related to the publisher Square Enix, the group maintained a strong equity position. This follows a successful 2021 fiscal year which concluded with a net profit of 61.4 million PLN and a total equity balance of 257.4 million PLN. Geographically and operationally, the findings reflect the activities of a global game development entity headquartered in Poland, managing complex relationships with international publishing partners. The financial statements, approved by the Management Board on November 28, 2022, underscore a period of stability and capital accumulation. By balancing shareholder returns with aggressive reinvestment into new intellectual properties and corporate acquisitions, the group has positioned itself to sustain its momentum within the competitive AAA development landscape.

investment market-analysis europe+1

PCF GroupNov 2022

Legal

Ogłoszenie o zwołaniu Nadzwyczajnego Walnego Zgromadzenia PlayWay S.A.

The management board of PlayWay S.A., a prominent Polish game developer and publisher, formally convened an Extraordinary General Meeting scheduled for December 13, 2022, in Warsaw. This corporate action, initiated under the Polish Commercial Companies Code, serves as a critical governance event for the publicly traded entity. The assembly was organized to address specific organizational changes and strategic leadership adjustments within the company’s executive structure. A primary objective of this meeting involves the formal appointment of a new member to the management board, specifically designated for the role of Vice President. This leadership transition is accompanied by the presentation of the candidate’s professional biography and the introduction of draft resolutions necessary for the appointment process. The scope of the meeting is strictly defined by a proposed agenda that includes procedural requirements for validating the assembly and voting on the proposed executive changes. The announcement adheres to the regulatory transparency requirements for issuers of securities on the Polish market, specifically following the guidelines set by the Ministry of Finance regarding current and periodic information. By providing the legal basis and logistical details for the gathering, the leadership ensures that shareholders are informed of their participation rights and the specific timeline for corporate decision-making. This administrative step is essential for maintaining the legal continuity and operational oversight of the company as it manages its extensive portfolio of development studios and gaming titles.

investment game-publishing poland

PlayWayNov 2022

Financial

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

MIXI, Inc. reported its consolidated financial results for the first half of the fiscal year ending March 31, 2023, covering the period from April 1, 2022, to September 30, 2022. The data reflects a period of significant revenue growth alongside a sharp decline in net profit due to extraordinary losses. Net sales rose 21.1% year-over-year to ¥65,734 million, and operating income increased 23.1% to ¥11,249 million. However, profit attributable to owners of the parent fell 68.2% to ¥1,960 million. This bottom-line decrease was primarily driven by ¥6,474 million in extraordinary losses, including a ¥4,468 million loss related to the withdrawal from certain business developments and an ¥875 million loss on the sale of shares in PIST6, Inc. The company’s operations are divided into four reportable segments: Digital Entertainment, Sports, Lifestyle, and a newly established Investment Business segment. Digital Entertainment remains the primary driver of performance, contributing ¥47,608 million in net sales, largely fueled by the mobile game Monster Strike. The Sports and Lifestyle segments reported net sales of ¥12,995 million and ¥3,508 million, respectively, though both recorded segment losses. The Investment Business, now classified as a main line of business, contributed ¥1,551 million in sales. During this period, MIXI also completed the 100% acquisition of CONNECTIT Inc., a New Year's card online service, for ¥700 million to consolidate its market position in that niche. Geographically focused on the Japanese market, the company maintains a strong financial position with total assets of ¥221,903 million and an equity ratio of 82.0%. Despite the first-half revenue growth, MIXI revised its full-year forecast downward, projecting a 51.3% decline in annual profit attributable to owners. The company plans to maintain a total annual dividend of ¥110.00 per share. These results were prepared under Japanese GAAP and have not undergone a full statutory audit.

investment market-analysis japan+1

MIXI, Inc.Nov 2022

Financial

FY2023 First Quarter Financial Results

GREE’s financial results for the first quarter of fiscal year 2023 reflect a period of strategic transition characterized by steady performance in core gaming titles and aggressive expansion into the Metaverse. The company reported net sales of ¥16.6 billion and an operating income of ¥1.6 billion. While these figures represent a quarter-on-quarter decline in profit following the exceptional success of hit titles and anniversary events in the previous fiscal year, the Internet and Entertainment business surpassed internal forecasts. The Game and Anime segment was anchored by the continued strong performance of Heaven Burns Red, which maintained high sales rankings through storyline expansions and successful marketing campaigns. Simultaneously, the Metaverse business saw significant growth, with the REALITY platform surpassing 10 million global downloads across 63 countries. Management is prioritizing long-term growth through the expansion of REALITY’s communication functions and the development of new titles leveraging both first-party and third-party intellectual property. The Investment and Incubation segment remains a significant pillar of value, with total assets under management reaching ¥78.9 billion, an increase of ¥7.3 billion from the previous quarter due to asset revaluation. The company continues to invest in venture capital funds and startups globally, maintaining a high unrealized valuation of ¥32.6 billion in operational investment securities. The outlook for the remainder of fiscal year 2023 anticipates stable income but a year-on-year decline in overall profit. This is attributed to a high baseline from the previous year and a deliberate strategy of aggressive investment in the Metaverse and other growth areas. The company maintains a solid balance sheet with ¥89.7 billion in net assets and a headcount of 1,632 employees, signaling a commitment to sustained infrastructure and talent development.

investment market-analysis metaverse+2

GREENov 2022

Presentation

Results Presentation: First Nine Months 2022

This analysis outlines the financial and operational performance of PCF Group S.A. (People Can Fly) for the first nine months of 2022. The primary thesis centers on the company’s strategic transition toward a self-publishing model and the expansion of its global production capabilities, despite facing financial headwinds due to the termination of a major development agreement with Take-Two Interactive. Financial data indicates a year-over-year decline in key metrics. Revenue for the first nine months of 2022 reached 130.9 million PLN, compared to 131.8 million PLN in the same period of 2021. EBITDA fell from 54.9 million PLN to 40.3 million PLN, while net profit decreased from 46.4 million PLN to 42.1 million PLN. These declines are attributed largely to the conclusion of the Take-Two partnership. However, the balance sheet shows a significant increase in development work in progress, rising from 25.9 million PLN at the end of 2021 to 95.7 million PLN by September 30, 2022. This shift reflects higher internal resource allocation toward self-published titles. The geographic and operational scope covers nine locations across Europe and North America, including studios in Warsaw, New York, and Montreal. The workforce grew substantially from 425 employees in September 2021 to 614 by September 2022. The group’s portfolio currently consists of seven projects, including major IPs such as Gemini, Dagger, and Bifrost, alongside VR titles like Thunder and Red. Four of these projects are in the pre-production phase. Methodologically, the findings are based on consolidated financial results and internal management reporting. The data highlights a pivot from purely work-for-hire contracts to a hybrid model emphasizing intellectual property ownership and independent publishing, supported by a growing international team and the integration of specialized studios like Incuvo for VR development.

investment game-publishing mergers-acquisitions+1

PCF GroupNov 2022

Financial

Summary of Financial Results for Third Quarter of Fiscal Year Ended December 31, 2022

The financial results for KLab Inc. during the first nine months of the fiscal year ended December 31, 2022, reveal a period of significant contraction in revenue alongside narrowing operational losses. Total revenue reached 12.5 billion yen, representing a 33.1% decrease compared to the 18.7 billion yen reported during the same period in 2021. Despite this decline, the company managed to reduce its operating loss from 729 million yen in the previous year to 570 million yen. Notably, the company achieved a positive ordinary income of 195 million yen, a recovery from an 850 million yen loss in 2021, largely bolstered by 628 million yen in foreign exchange gains. The scope of these results covers the consolidated performance of the Japanese entity and its subsidiaries from January 1 to September 30, 2022. The primary industry segment is the Game Business, which accounted for 12.1 billion yen of total revenue, while the Research & Consulting and other businesses contributed approximately 316 million yen. Geographically, the report focuses on the Japanese market under Japanese GAAP. A significant methodology change occurred during this period with the adoption of the Accounting Standard for Revenue Recognition. This shift altered how the company recognizes income from in-game currency and licenses, resulting in a 65 million yen decrease in reported revenue for the period compared to previous accounting methods. The consolidated financial status shows total assets increasing to 20.4 billion yen, up from 18.7 billion yen at the end of 2021, supported by a rise in cash and deposits. However, the company reported a net loss attributable to owners of the parent of 307 million yen, though this was a substantial improvement over the 1.7 billion yen loss recorded in the prior year. Due to the inherent volatility of the mobile gaming market, the company has declined to provide specific consolidated performance forecasts for the remainder of the fiscal year.

investment market-analysis japan+1

KLabNov 2022

Financial

Quarterly Report of 11 Bit Studios S.A. for Nine Months Ended September 30th 2022

During the first nine months of 2022, 11 bit studios S.A. demonstrated a robust financial performance characterized by a 21% year-on-year increase in revenue to PLN 59.58 million and a net profit of PLN 19.97 million. This growth was primarily fueled by the sustained monetization of established titles such as Frostpunk and This War of Mine, alongside a rapidly expanding publishing division. Third-party publishing now accounts for 39% of total revenue, up from 25% in the previous year, supported by the success of titles like Moonlighter and Children of Morta. The United States remains the company's primary market, contributing PLN 46.37 million to the total revenue. The company is currently executing a strategic transition toward a multi-project development model, significantly increasing its investment in future growth. Research and development spending rose by over 65% to PLN 34.26 million, with total intangible assets reaching PLN 89.5 million. These investments are concentrated on three major proprietary titles—Frostpunk 2, The Alters, and Project 8—as well as a diverse four-game publishing portfolio. To support this expansion, the firm has deepened its industry footprint through strategic equity acquisitions, including a 40% stake in Fool’s Theory Sp. z o.o. and a significant investment in Starward Industries S.A. Financial stability remains a core strength, with over PLN 102 million held in cash and current financial assets. While operating expenses and service costs rose due to higher third-party royalties and increased management remuneration, the company benefited from a favorable effective tax rate of 11.43% through the IP Box relief program and currency exchange gains from a depreciating złoty. Despite a substantial PLN 3.66 million charitable donation to the Ukrainian Red Cross, earnings per share rose to PLN 8.40. Management remains focused on an ambitious five-year incentive scheme targeting PLN 656 million in cumulative revenue by 2025, underpinned by a strong liquidity position and no history of collection issues with major global digital platforms.

investment market-analysis europe+1

11 bit studiosNov 2022

Financial

Financial Results for the First Half of the Fiscal Year Ending March 2023

Koei Tecmo’s financial performance for the first half of the fiscal year ending March 2023 reflects a strategic transition toward large-scale global expansion and long-term intellectual property development. While net sales experienced a slight year-on-year decline of 6.6% to 34.76 billion yen, operating profit grew by 11.6% to 18.32 billion yen. This growth was supported by a 28.2% increase in software unit sales, totaling 4.68 million units, led by the success of titles such as Fire Emblem Warriors: Three Hopes. Despite a drop in net profit caused by lower non-operating income, the company remains on track to meet its full-year sales forecast of 77 billion yen. The current fiscal year serves as the foundation for a medium-term management plan spanning through FY2024, which aims to achieve 100 billion yen in sales and 40 billion yen in operating profit. Central to this strategy is the pursuit of a new global intellectual property capable of selling five million units, supported by a pipeline of annual releases targeting two million units each. Upcoming major titles like Wild Hearts and Wo Long: Fallen Dynasty are critical to this international push, as overseas markets are projected to account for over 71% of total unit sales. Operational stability and technical efficiency underpin these ambitious financial targets. The company leverages its proprietary Katana Engine to streamline development across a multi-layered revenue cycle that includes console software, mobile gaming, and IP licensing. With a focus on high-growth segments, the company seeks to establish mobile titles generating monthly revenues between one and two billion yen. Furthermore, a twelve-year streak of profitability and an industry-leading low employee turnover rate of 4.2% provide the organizational continuity necessary to execute these high-cost, high-reward global projects.

market-analysis investment japan

Koei TecmoOct 2022

Financial

FY2022 Presentation Material

The fiscal year 2022 presentation for CyberAgent outlines the company’s strategic evolution and financial performance, emphasizing its transition into a diversified internet services conglomerate. The primary thesis centers on leveraging the internet and technological innovation to break through economic stagnation, with a specific focus on establishing the streaming platform ABEMA as a foundational "television of the future." The scope of the report covers the Japanese market across three primary business segments: Media, Games, and Advertising. Financial data indicates steady growth over the last two decades, with recent quarterly revenues reaching approximately 4.69 billion yen. The Game business, led by flagship titles from Cygames such as Uma Musume Pretty Derby, serves as a significant profit engine that funds long-term investments in the Media segment. Key findings highlight the massive scale of the Media business, particularly the acquisition of broadcasting rights for the FIFA World Cup Qatar 2022. This initiative is positioned as a critical driver for user acquisition, featuring high-quality streaming, multi-camera angles, and on-demand replays to enhance social infrastructure. Additionally, the company is expanding its DX (Digital Transformation) capabilities through partnerships with major entities like NTT Docomo and ANA, aiming to digitize various industries including retail and finance. The organizational methodology emphasizes a shift away from traditional seniority systems, favoring a leadership structure that promotes younger talent and female executives. By integrating AI and creative technologies across its gaming and advertising pipelines, the company aims to sustain its competitive advantage and transition into a global entity capable of adapting to rapid technological shifts.

market-analysis investment japan

CyberAgentOct 2022