Market Analysis

3Q FY2023 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. Financial Summary_{(April-June 2023)} 3. Internet Advertisement Business 6. Medium to long-term strategy FY2023 Media and Ads increased the sales.

The presentation outlines CyberAgent’s fiscal‑year 2024 first‑quarter performance, emphasizing a robust rebound across its three core businesses—Internet advertising, media (ABEMA), and game development. Consolidated sales reached ¥193 billion, up 15.2 % year‑over‑year, while operating profit climbed to ¥6.28 billion, a 7.5‑point increase from the prior year’s loss. The advertising arm delivered ¥105.3 billion in revenue, up 10.1 % YoY, and an operating profit of ¥5.6 billion, reflecting a 13.3 % YoY gain and sustained improvement in operating‑margin efficiency (OPM). Media operations posted ¥42.7 billion, a 27.8 % YoY rise, though operating loss narrowed to ¥0.9 billion, driven by reduced losses in ABEMA‑related activities. Game sales hit ¥45.0 billion, up 10.1 % YoY and 6.5 % QoQ; operating loss fell to ¥3.4 billion, a 32.9 % YoY decline and 42.4 % QoQ improvement, thanks to a new hit title.

Financial statements show total assets of ¥468.7 billion and shareholders’ equity of ¥129.0 billion, with cash deposits at ¥184.8 billion. SG&A expenses rose 8.1 % YoY to ¥43.7 billion, while headcount increased to 7,336 employees.

Strategically, the company targets a “growth phase” with new digital ad platforms (e.g., ANA Moment Ads), continued investment in ABEMA, and a pipeline of high‑quality games such as “Jujutsu Kaisen Phantom Parade.” Forecasts indicate that FY2024 operating profit will reach ¥30 billion, with sales projected at ¥750 billion. The presentation stresses a commitment to enhancing monetization, AI‑driven advertising efficiency, and extending game lifecycles to secure long‑term profitability.

The presentation outlines CyberAgent’s FY2024 performance, emphasizing record sales and operating profit growth across its three core businesses—Internet Advertising, Media (ABEMA), and Game. Consolidated sales reached ¥215.1 billion in Q2, up 10.0% YoY, while operating profit rose to ¥21.0 billion, a 12.2% increase and the first time surpassing ¥20 billion in eight quarters. Internet Advertising sales climbed 7.1% YoY to ¥107.3 billion, with operating profit up 19.6%. The Media segment achieved a new high of ¥42.0 billion in sales, up 25.8% YoY, and turned profitable for the first time since Q2 2023; operating profit increased 0.7 billion yen. Game sales grew 8.1% YoY to ¥67.1 billion, driven by the launch of “Granblue Fantasy: Relink,” which sold one million units within eleven days, and by anniversary events for major titles; operating profit surged 19.8% YoY.

Financially, SG&A expenses increased modestly by 2.9%, while cash deposits and fixed assets grew significantly, reflecting investment in technology and talent. Net income attributable to shareholders rose 30.8% YoY to ¥10.3 billion, offset by a temporary extraordinary loss.

The company’s strategy focuses on leveraging generative AI and large‑language models (CyberAgentLM) to enhance ad creative, expand ABEMA’s sports content through partnerships with DAZN and WOWSPO, and sustain game revenue by launching new titles such as “Granblue Fantasy Versus” and “Umamusume Pretty Derby.” The overarching goal is to increase sales and profits, with FY2023 operating profit as a low point, and to position CyberAgent as a global digital media and technology leader.

October 2023 to September 2024 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 risks and uncertainties. 1. FY2024 Full Year Results (October 2023 -September 2024) 2. FY2025 Forecast (October 2024 -September 2025) 3. Internet Advertisement Business 6. Medium to Long-Term Strategy 7.

2Q FY2025 Presentation Material We corrected past annual securities reports and others due to the discovery of an inappropriate accounting treatment at the consolidated subsidiary. Please refer to the “Notice on Submission of Correction Reports of Past Annual Securities Reports and Amendments of Financial Statements for Past Fiscal Years” released on May 15, 2025, for details.

The presentation outlines CyberAgent’s FY 2025 financial outlook, operational highlights, and strategic priorities across its Media & IP, Internet Advertising, and Game divisions. FY 2025 revenue is projected at ¥820 billion with operating profit of ¥42 billion, representing 24.9 % and 19.8 % of the year‑to‑date targets, respectively. First‑quarter results show a 5.6 % YoY sales increase to ¥203.8 billion and a 32.1 % rise in operating profit to ¥8.3 billion, driven largely by a 10.5 % lift in Media & IP sales (¥55.6 billion) and an 11.8 % growth in Internet Advertising sales (¥117.7 billion). The Game segment, however, posted a 15.1 % YoY decline to ¥38.2 billion and a 4.1 % drop in operating profit, attributed to slower releases despite strong performance of new titles.

Operating margins improved from 3.3 % in FY 2024 to 4.1 % in FY 2025, supported by a 32 % increase in operating income. SG&A expenses rose 4.4 % YoY to ¥45.7 billion, while cash deposits increased 11.3 % YoY to ¥205.6 billion, reflecting liquidity strengthening.

Strategically, the company is shifting from a Media‑only model to an integrated Media & IP business, aiming to generate global IPs through ABEMA and new production units such as CA Soa Inc. The medium‑to‑long‑term plan emphasizes investment in high‑profit IP content, game development, and advertising technology leveraging AI to enhance ad effectiveness. The presentation also lists a pipeline of over six new games for FY 2025, including international releases, and outlines organizational changes to support the expanded IP focus.

The quarterly transition analysis for Japan’s business segments presents detailed financial performance for FY2024 and FY2025, focusing on Media & IP, Internet Advertisement, Game, and Investment Development divisions. Sales figures reveal that the Internet Advertisement Business consistently leads with a FY2024 total of ¥434,612 million and a FY2025 total of ¥461,220 million. The Game Business shows the most volatility, peaking in Q2 FY2024 at ¥67,170 million before declining to ¥38,856 million in Q3. Media & IP sales remain relatively stable around ¥50–52 billion per quarter, while Investment Development remains a minor contributor with totals under ¥7 billion.

Operating profit (OP) highlights divergent profitability across segments. The Game Business delivers the highest OP, reaching ¥31,055 million in Q1 FY2024 and sustaining strong quarterly results thereafter. Internet Advertisement maintains steady OP around ¥5–6 billion each quarter, whereas Media & IP oscillates between losses and modest gains, culminating in a FY2024 total OP of ¥8,262 million. Investment Development experiences significant swings, with a notable loss in Q2 FY2024 but a recovery to ¥1,756 million in Q4.

Operating profit margins (OPM) excluding special incentives illustrate segment efficiency. Game Business achieves the highest margin, peaking at 33.5% in Q3 FY2024 and maintaining a FY2025 average of 28%. Internet Advertisement sustains margins around 5%, while Media & IP remains near break‑even, fluctuating between –1.6% and 5.8%. Investment Development shows extreme volatility, with a negative margin of –406.5% in Q2 FY2024 and a positive 33.5% in Q4, resulting in an overall FY2024 margin of 3.6%.

The data cover the Japanese market over two fiscal years, with quarterly granularity and corrections applied as of May 15 2025. The analysis relies on internal financial statements, presenting a comprehensive view of segment performance and profitability trends.

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 risks and uncertainties. 1. Summary (October - December 2025) 4. Internet Advertisement Business 6.

Bushiroad Inc. reports consolidated financial results for the first two quarters of fiscal 2026 (July 1–December 31, 2025). Net sales rose 8.2 % to ¥27,839 million, while operating profit increased 68.5 % to ¥2,908 million and ordinary profit grew 81.8 % to ¥3,488 million; profit attributable to owners of the parent company surged 107.4 % to ¥2,577 million. Earnings per diluted share reached ¥19.00, a significant jump from ¥9.01 in the same period of fiscal 2025, reflecting both higher profitability and a 2‑for‑1 share split executed on October 1, 2025. Total assets expanded to ¥50,742 million and net assets climbed to ¥28,150 million, raising the equity‑to‑asset ratio from 47.7 % to 52.2 %.

The company’s dividend policy for fiscal 2025 included a ¥4.50 million payout, while no dividends were declared in the first half of fiscal 2026; a forecast for the full year projects no dividend distribution.

For the full fiscal year 2026, Bushiroad forecasts net sales of ¥56,000 million (a slight decline of 0.3 % from the prior year), operating profit of ¥4,500 million (down 7.6 %), ordinary profit of ¥4,600 million (down 5.1 %), and profit attributable to the parent of ¥2,700 million (down 21.0 %). Earnings per share are projected at ¥19.63, adjusted for the share split.

These figures cover Bushiroad’s domestic Japanese operations under Japanese GAAP, with the fiscal year running from July 1 to June 30. The report relies on consolidated financial statements and includes a forward‑looking forecast based on current management expectations.

Bushiroad Inc., a Japanese entertainment company, reported first‑quarter fiscal 2026 results for the period July 1 to September 30, 2025. Net sales rose 12.2% year‑over‑year to ¥13,766 million, driven by stronger performance across its core card game and event‑ticket businesses. Operating profit surged 226.6% to ¥1,668 million, while ordinary profit reached ¥1,932 million, a reversal from the previous year’s operating loss of ¥510 million. Profit attributable to owners of parent companies stood at ¥1,663 million, up from a loss of ¥59 million in the same quarter of fiscal 2025. Earnings per share, adjusted for a 2‑for‑1 stock split effective October 1, 2025, climbed to ¥12.27.

Total assets for the quarter were ¥47,971 million, with net assets of ¥26,844 million, reflecting an equity‑to‑asset ratio increase to 52.7% from 47.7% in fiscal 2025. Net assets per share were not disclosed due to the recent split.

Dividend policy for fiscal 2025 showed a single payout of ¥4.50 per share in Q3, with no dividends announced for fiscal 2026 yet; a forecast indicates a potential ¥2.50 per share in Q4 after the split. The company projects full‑year 2026 net sales of ¥56,000 million (a slight decline of 0.3% from the prior year), operating profit of ¥4,500 million (down 7.6%), and ordinary profit of ¥4,600 million (down 5.1%). Forecasted earnings per share for FY2026 are ¥19.63, reflecting the impact of the share split.

These figures illustrate a rebound in profitability after a challenging prior year, with modest sales growth and an improving capital structure. The company’s guidance signals continued pressure on operating margins, likely due to rising content development costs and competitive market dynamics within Japan’s entertainment sector.

The consolidated financial statements cover the fiscal years ending March 31, 2012 and March 31, 2013. Net sales fell from ¥13,334 million to ¥12,632 million, yet operating income rose from ¥2,194 million to ¥2,574 million, reflecting lower cost of sales and improved operating efficiency. Net income more than doubled, increasing from ¥749 million to ¥1,654 million, largely driven by a substantial extraordinary gain of ¥406 million on the sale of subsidiary shares and reduced operating expenses. Comprehensive income grew from ¥732 million to ¥1,691 million; foreign‑currency translation adjustments swung from a negative ¥5 million to a positive ¥36 million, offsetting other comprehensive losses.

Assets increased from ¥19,649 million to ¥20,083 million. Current assets grew modestly, with cash and deposits rising by ¥2,776 million. Non‑current assets declined due to a reduction in property, plant and equipment net balance from ¥1,258 million to ¥916 million, reflecting asset disposals and depreciation. Liabilities fell from ¥4,926 million to ¥3,791 million, driven by lower current liabilities and a reduction in non‑current obligations. Shareholders’ equity expanded from ¥14,722 million to ¥16,291 million; retained earnings grew by ¥1,453 million, while treasury stock decreased in net value from a negative ¥1,753 million to a negative ¥1,690 million.

Cash flow analysis shows operating cash inflows rising from ¥1,043 million to ¥2,836 million. Investing activities remained negative, with a net outflow of ¥2,971 million in 2012 and ¥946 million in 2013, largely due to property, plant and equipment purchases. Financing cash flows were negative in both years, with treasury stock repurchases offset by modest dividend payments. The company’s liquidity improved, as cash and equivalents increased from ¥11,293 million to ¥9,199 million despite the net cash outflow in 2012. Overall, the firm strengthened profitability and equity while managing asset composition and cash flows over the two‑year period.

The quarterly consolidated balance sheet and income statements for the second quarter of fiscal year 2013 reveal a contraction in both operating performance and financial position compared with the same period of fiscal year 2012. Total assets fell from ¥20,083 million to ¥17,480 million, largely due to a reduction in current assets and non‑current investments. Current liabilities decreased from ¥3,731 million to ¥2,738 million, but shareholders’ equity declined from ¥16,291 million to ¥14,664 million, driven by a lower retained earnings balance and the continued impact of treasury stock.

Operating income swung from ¥1,612 million in 2Q FY2012 to a loss of ¥398 million in 2Q FY2013, reflecting higher selling, general and administrative expenses relative to sales. Net sales dropped by 41% from ¥6,817 million to ¥3,979 million, while cost of sales fell proportionally. Non‑operating losses increased sharply due to a ¥126 million loss on equity in affiliates and a ¥21 million loss on investments, offset only partially by foreign exchange gains of ¥20 million. Ordinary income turned negative, with a loss of ¥525 million in 2Q FY2013 versus a profit of ¥1,583 million previously.

Comprehensive income mirrored the net loss trend, reporting a ¥1,293 million loss attributable to owners of the parent in 2Q FY2013 versus a ¥1,184 million profit in 2Q FY2012. Cash flow analysis shows operating cash outflows of ¥448 million, a significant rise in investing cash inflows to ¥2,774 million—largely from sales of subsidiary shares—and financing outflows of ¥327 million due to dividend payments. Overall, the company experienced a notable decline in profitability and equity during the second quarter of FY2013.