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Page 1
Report32 pages

Conversion Drivers in Videogames: Q1 2026

Marketing strategy and community sentiment serve as the primary determinants of conversion performance in the global video game industry as of early 2026. While pricing models like free-to-play and premium structures influence baseline metrics, the efficacy of acquisition campaigns depends more heavily on the alignment between marketing channels and specific player decision-making behaviors. Traditional last-click attribution models frequently undervalue high-funnel awareness efforts, necessitating a shift toward incrementality testing and extended retargeting windows to accurately capture the impact of early-stage engagement.

Player decision cycles vary significantly across industry segments, dictated largely by the social and cooperative dynamics inherent in different genres. Multiplayer and massively multiplayer online titles require longer conversion windows due to the complexity of social coordination, whereas single-player experiences benefit from strategies that emphasize urgency and individual-driven processes. Consequently, marketing efforts for multiplayer games should prioritize social proof and sustained community engagement, while single-player titles gain more traction through direct, time-sensitive calls to action.

Game quality and public perception act as critical multipliers for conversion, particularly within the premium sector. High Steam review scores, specifically those reaching the highest sentiment tiers, can nearly triple conversion rates for premium titles, whereas free-to-play conversion remains largely indifferent to such metrics. Because premium games involve extended evaluation periods, marketers must maintain consistent community-focused sentiment management to protect long-term conversion potential. By tailoring acquisition strategies to these distinct genre-based behaviors and moving beyond simplistic attribution, publishers can better optimize campaign performance and maximize player acquisition efficiency.

  • Marketing execution is the primary driver of performance, with conversion rates for F2P games varying by 371x across different ad networks, dwarfing the 35% baseline advantage F2P titles hold over Premium games.
  • Last-click attribution models undervalue upper-funnel awareness channels like YouTube, as 50% of the most popular demand-generating ad networks are not effectively captured by last-click metrics.
  • Premium games priced above $40 require nearly twice the conversion window of mid-tier titles, and players take 27% longer to convert on Premium titles (141 hours) compared to F2P titles (111 hours).
  • Steam review scores significantly impact Premium game performance, where moving from a 'Mixed' to 'Very Positive' rating can nearly triple conversion rates, whereas review scores show no measurable impact on F2P conversion.
  • Multiplayer games exhibit longer decision cycles, taking 2.5x longer to convert than single-player titles, with MMO players requiring a median of 49.5 hours to convert compared to 21 hours for shooter players.
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GamesightMay 2026
Page 1
Report52 pages

Modern Responsibility Report 2011

MTG’s 2011 corporate responsibility strategy centers on integrating ethical business practices, environmental stewardship, and social engagement across its operations in 39 countries. By aligning its governance with the Global Reporting Initiative framework and securing a position in the FTSE4Good Index, the company demonstrates a commitment to transparency and high-level sustainability standards. The primary objective is to balance commercial success with a robust social mandate, ensuring that broadcasting and production activities contribute positively to the diverse markets in which the company operates.

Operational performance in 2011 was marked by the successful achievement of 14 out of 15 short-term sustainability goals. Environmental efforts proved particularly effective, as the company exceeded its carbon reduction target by achieving a 6% decrease in emissions per employee through enhanced energy efficiency and facility management. Simultaneously, the company prioritized internal governance by updating anti-bribery and corruption policies and ensuring 100% employee participation in regulatory training. Workforce development was further bolstered by the launch of the Modern People career platform and expanded training through the MTG Academy, which aims to address gender representation in management and foster professional growth.

Social impact remains a core pillar of the company’s mission, evidenced by significant charitable contributions and community-focused programming. In 2011, the company donated 146 million SEK in airtime and raised 37 million SEK for health and welfare initiatives. Beyond financial support, the company utilized its media reach to promote social cohesion through projects like the United for Peace football tournament. Furthermore, the organization maintained a strong focus on consumer protection, particularly regarding child safety in digital and traditional media, while increasing accessibility through expanded subtitling services. These combined efforts reflect a comprehensive approach to corporate citizenship that emphasizes both internal compliance and external community development.

  • MTG achieved 14 out of 15 short-term sustainability goals in 2011 while maintaining its position in the FTSE4Good Index and aligning with Global Reporting Initiative standards.
  • The company exceeded its carbon reduction target by achieving a 6% decrease in emissions per employee through improved energy efficiency and facility management.
  • MTG donated 146 million SEK in airtime and raised 37 million SEK for various health and welfare initiatives during the 2011 fiscal year.
  • Internal governance was strengthened by updating anti-bribery and corruption policies and achieving 100% employee participation in regulatory training.
  • Workforce development efforts included the launch of the Modern People career platform and expanded training via the MTG Academy to improve gender representation in management.
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Modern Times Group
Page 1
Report42 pages

Modern Responsibility Report 2009

Modern Times Group (MTG) maintains a comprehensive commitment to integrating corporate responsibility into its broadcasting and entertainment operations across 31 countries. The primary objective of its 2009 strategic framework is to ensure sustainable business growth through rigorous governance, ethical conduct, and social accountability. By formalizing environmental policies and establishing a structured oversight committee, the company seeks to balance its commercial objectives with its impact on society and the environment, even amidst the challenging economic climate of the late 2000s.

Operational performance is anchored by a robust governance model that emphasizes transparency, fair competition, and strict adherence to a global code of conduct. Key initiatives include the implementation of a whistleblower policy, mandatory compliance training, and the protection of minors through regulated content and parental controls. The company’s focus on human capital is evidenced by the MTG Academy, which provided training to 81 percent of permanent staff, and a diverse workforce spanning 38 nationalities. These efforts are supported by internal audits and key performance indicators designed to enhance the measurability of ethical and social initiatives.

Environmental stewardship remains a central pillar of the company’s strategy, with carbon footprint audits now covering operations in 19 countries. In 2009, the organization recorded a total climate impact of approximately 13,000 tons of CO2e, prompting investments in energy-efficient infrastructure and reduced travel requirements. Beyond internal reductions, the company leverages its media platforms to drive social change, notably through the "Playing for Change" initiative and the donation of airtime to support environmental and social causes. By aligning its broadcasting reach with philanthropic goals, the company reinforces its position as a responsible stakeholder in the global media landscape.

  • MTG established a formal corporate responsibility framework in 2009 to integrate governance, ethical conduct, and social accountability across its broadcasting operations in 31 countries.
  • The company recorded a total climate impact of approximately 13,000 tons of CO2e in 2009, leading to the implementation of carbon footprint audits across 19 countries and investments in energy-efficient infrastructure.
  • Human capital development was prioritized through the MTG Academy, which provided training to 81 percent of the company's permanent staff.
  • MTG maintains a diverse workforce representing 38 nationalities, supported by a governance model that includes mandatory compliance training and a formal whistleblower policy.
  • The company utilizes its media reach for philanthropic purposes, specifically through the 'Playing for Change' initiative and the donation of airtime to support social and environmental causes.
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Modern Times Group
Page 1
Report7 pages

The Essential UA Financing Guide: 2026

The guide outlines a non‑dilutive financing model designed to fund mobile studios’ user acquisition (UA) campaigns by leveraging cohort performance data. It argues that the global UA spend reached $78 billion in 2025, rising 13% year‑on‑year, and that studios typically allocate 50–70 % of revenue to paid UA while financing through equity. The proposed solution offers capital without equity dilution, with repayment tied directly to user revenue and a lock‑step mechanism that scales cash flow alongside UA spend. The repayment schedule follows the cohort’s return on ad spend (ROAS) curve, beginning when ROAS reaches 100 %.

Eligibility criteria focus on predictability rather than speed of payback. Studios must demonstrate at least six months of clean ROAS curves, a history of trending toward transaction data, and an average monthly payback around $100 k attributable to predictable cohorts. The financing partner evaluates whether recent cohorts mirror historically profitable ones, using a benchmark tool that compares a studio’s cohort against over 5,000 mobile app cohorts. Key metrics include cohort margin of safety, tail risk, payer retention, volatility, and scalability.

The methodology involves sharing cohort data from platforms such as Appsflyer, Adjust, GCP, or Snowflake. Underwriters then size a facility, allowing studios to draw up to 80 % of their monthly UA spend per cohort. Repayment proceeds once the ROAS curve reaches breakeven, with downside shared if cohorts underperform. The guide targets mobile studios worldwide operating in 2026, offering a structured pathway to unlock growth capital while preserving equity.

  • Global mobile user acquisition (UA) spend reached $78 billion in 2025, representing a 13% year-on-year increase.
  • Studios can access non-dilutive financing to cover up to 80% of monthly UA spend per cohort, avoiding equity dilution while scaling growth.
  • Repayment is tied directly to cohort performance, with the schedule beginning only once the return on ad spend (ROAS) reaches the 100% breakeven point.
  • Eligibility requires a minimum of six months of clean ROAS data and an average monthly payback of $100,000 from predictable cohorts.
  • Underwriters evaluate studio eligibility by benchmarking cohort data against a database of over 5,000 mobile app cohorts, focusing on metrics like margin of safety, volatility, and payer retention.
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InvestGameApr 2026
Page 1
Whitepaper10 pages

2026 Global Mobile App Marketing Trends White Paper

The white paper argues that the 2025 mobile app market has shifted from volume‑driven traffic growth to value‑centric, technology‑enabled optimization. It identifies a “scissor gap” where the number of active advertisers fell 16.7 % YoY while creatives per advertiser rose 73.3 %, indicating higher competitive thresholds and a focus on creative quality. Market share remains strongest in business & productivity, utilities, entertainment, and finance, but creative volume is dominated by short‑drama, reading, and AI apps. iOS and Android advertising ratios stabilized at 4:6, with iOS advertisers producing more creatives due to higher monetization expectations.

User acquisition spend reached $78 billion, a 13 % YoY increase driven almost entirely by iOS, with e‑commerce, fintech, and betting leading non‑gaming verticals. Video remains the dominant ad format (≈70 % of social inventory), while static and playable ads serve testing, Android traffic, and engagement signals. AI has moved from a marketing tool to a core capability; leading AI apps scale through volume and quality, while many smaller entrants exit due to weak monetization.

Finance apps maintain steady growth focused on user quality, lifetime value, and compliance, contrasting with AI’s rapid scaling. North America remains the most selective market, demanding high content quality and long‑term trust; success here signals scalability elsewhere. The paper concludes that sustainable growth now hinges on creative capability, system efficiency, AI integration, and long‑term value creation rather than sheer traffic volume.

  • The mobile app market has shifted from volume-based growth to a quality-focused model, evidenced by a 16.7% YoY decline in active advertisers alongside a 73.3% surge in creatives per advertiser.
  • Global user acquisition spend grew 13% YoY to $78 billion, with the increase driven almost exclusively by iOS advertising.
  • Video remains the dominant advertising format, accounting for approximately 70% of social media inventory, while static and playable ads are relegated to testing and engagement signaling.
  • The iOS-to-Android advertising ratio has stabilized at 4:6, though iOS advertisers maintain higher creative output due to expectations for superior monetization.
  • AI has transitioned from a marketing tool to a core operational capability, where success is defined by the ability to scale volume and quality while maintaining sustainable monetization.
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SocialPetaApr 2026
Page 1
Report43 pages

Insight into Global Micro Drama App Marketing for 2026

SocialPeta’s analytics platform aggregates data from more than 90,000 micro‑drama advertisers and 80 million ad creatives across over 55 countries, positioning itself as a key resource for launching and scaling micro‑drama apps worldwide. The platform projects the global micro‑drama market to reach $6 billion by 2026, emphasizing its capacity to deliver actionable insights into advertising strategies, creative formulas, and regional audience preferences.

In 2025 the ecosystem expanded sharply: active advertisers rose by 63.6 % to over 700, while each advertiser produced a 144.9 % increase in creatives, largely thanks to AI‑powered production tools. Southeast Asia dominated genre preferences for “reversal of fortune” and “rebirth” dramas, whereas North America’s high‑paying users gravitated toward premium romance content. Europe remained the largest source of creative volume, underscoring a sustained upward trend in both advertiser participation and output across the globe.

A case study of “Evil Bride vs. The CEO’s Secret Mom” illustrates high‑impact marketing: 44 K creatives generated an estimated 2.7 B impressions in key markets such as the USA, UK, Canada, Australia, and Germany. AI‑driven tools—DSV restructuring and automated cover/clip generation—reduced production time, enabling rapid localization. Short, cliffhanger‑style ads with intense conflict and strong visual hooks outperformed longer formats, driving downloads and engagement in North America, Southeast Asia, Latin America, and the Middle East.

By late 2024 vertical micro‑dramas had matured into a stable ecosystem, with regional preferences—“reversal of fortune” in Southeast Asia and conflict‑driven stories in Latin America—fueling audience engagement. Production scaled to 55 vertical dramas in 2025 through standardized pipelines and AI‑enhanced marketing, allowing faster creative validation, lower volatility, and continuous data‑driven optimization. The analysis stresses that audience‑first IP development—testing concepts in short form before scaling—and multi‑platform, AI‑supported workflows are essential for reducing creative risk and converting IP into long‑term company capital.

  • The global micro-drama market is projected to reach $6 billion by 2026, supported by a 63.6% increase in active advertisers to over 700 in 2025.
  • AI-powered production tools drove a 144.9% increase in creative output per advertiser in 2025, enabling rapid localization and standardized production pipelines.
  • High-impact marketing campaigns, such as the 44,000 creatives for 'Evil Bride vs. The CEO’s Secret Mom,' demonstrate that short, cliffhanger-style ads with intense conflict are the most effective format for driving global engagement.
  • Regional audience preferences are highly segmented, with Southeast Asia favoring 'reversal of fortune' and 'rebirth' themes, while North American users gravitate toward premium romance content.
  • Europe currently leads the global market in total creative volume, while Latin America and the Middle East show strong engagement with conflict-driven storytelling.
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SocialPetaApr 2026
Page 1
Report23 pages

Gaming the Future: How to Make an Impact With Younger Generations

Gaming has become the dominant entertainment medium for younger generations, with 80 % of under‑18s actively gaming and Gen Z allocating up to 22 % of free time to play. The study, combining first‑party data from SuperAwesome and Anzu with social listening, qualitative research, quantitative surveys, syndicated data, brand lift studies and parent‑tracking panels, covers the UK, France, Germany, the United States and global markets from 2023‑24. A sample of 30 000 children, teens and young adults (ages 4‑24) plus parent responses informs the analysis.

Key findings show that gaming captures more attention than social media for Gen Z, with 55 % of under‑18s reporting a strong affinity for branded in‑game experiences. Younger gamers are highly receptive to ads, with 75 % of Gen Z players in the UK and US saying in‑game ads improve their experience, compared to 34 % of older adults. In‑game advertising drives higher brand recall (+7 pts) and purchase intent (+9 pts) for audiences under 34, and generates a “halo effect” that boosts brand affinity by up to 86 % among under‑18s. Parents report that children influence household spending, with 86 % saying their child’s opinions matter in purchases and 82 % prioritising items for children.

The report recommends a multi‑platform, contextual approach that respects emerging data‑protection regulations and Age Appropriate Design Codes. It emphasizes early engagement before brand loyalties lock at age 16, contextual targeting over behavioural profiling, and rigorous creative vetting to avoid manipulative design. The analysis underscores gaming’s strategic importance for reaching Gen Alpha and Gen Z, offering measurable lift across awareness, consideration and purchase stages.

  • Gaming has become the primary entertainment medium for younger demographics, with 80% of under-18s actively gaming and Gen Z dedicating up to 22% of their free time to play.
  • In-game advertising significantly outperforms traditional metrics for younger audiences, driving an 86% boost in brand affinity among under-18s and increasing brand recall by 7 points and purchase intent by 9 points for those under 34.
  • Younger gamers are notably more receptive to in-game ads than older adults, with 75% of Gen Z players in the UK and US reporting that ads improve their gaming experience compared to only 34% of older adults.
  • Children exert substantial influence on household economics, as 86% of parents report that their child’s opinions impact household purchases and 82% prioritize spending on items for their children.
  • Gaming captures more attention than social media among Gen Z, with 55% of under-18s expressing a strong affinity for branded in-game experiences.
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AnzuApr 2026
Page 1
Report90 pages

2026 Global Mobile Gaming Marketing Trends White Paper

The white paper establishes that the mobile‑gaming advertising ecosystem expanded rapidly in 2025, with more than 90 000 active advertisers and an influx of roughly 8 000 new entrants each month, a 22 % year‑over‑year rise. Advertisers increasingly deploy fresh creatives, with video accounting for 74 % of all ads—up 14 % YoY—and Android remains the dominant acquisition platform, though iOS shares grow for mid‑core and hard‑core titles.

Top mobile games in 2025 show a clear split between volume‑driven casual installs and value‑focused premium titles. Casual hits such as Block Blast! and Subway Surfers dominate downloads, while mid‑core and premium games generate the bulk of revenue. Leading spenders—FunPlus, Yotta Games, Hungry Studio—continue to favor Android for lower cost‑per‑install acquisition, whereas iOS delivers higher monetization per install.

The industry is moving from a linear funnel to an “Infinity Loop” model that integrates acquisition, retargeting, and lifecycle actions. Aarki’s supervised‑AI engine demonstrates the potential to boost lifetime value by up to 30 % and reduce campaign volatility, underscoring the importance of a unified, data‑driven full‑funnel strategy that prioritizes LTV over instant installs.

Early‑stage mobile games must achieve rapid habit formation, with 60‑minute daily play by week 2 and high alliance join rates. Paid‑traffic validation is critical; a Day‑1 acquisition rate below 35 % signals readiness issues. Creative trends vary by genre: lightweight socializing and parkour mini‑games dominate SLG spend, RPGs favor narrative IP‑linked content, while simulation and casual titles rely on realistic or viral short‑video formats that capture 70–80 % of impressions.

Regional insights reveal puzzle and casino titles lead creative trends in 2026, with Japan/Korea driving new creative volume and Southeast Asia showing higher local IP acceptance. Mobile‑gaming ad spend rises modestly in Oceania and South America, with Android dominating creative output. A strategic pivot toward “authenticity‑utility‑impact” stacks—solving real problems and building defensible communities—drives higher retention, while AI‑powered creatives accelerate rapid testing. Finally, marketers increasingly adopt AI and programmatic DSPs beyond walled gardens; performance gaps and trust issues persist, yet data show significant install uplifts when CTV campaigns complement mobile ads, indicating a shift toward transparent, scalable programmatic solutions.

  • The mobile gaming advertising ecosystem grew by 22% year-over-year in 2025, with over 90,000 active advertisers and 8,000 new entrants joining monthly.
  • Video content now accounts for 74% of all mobile game ads, representing a 14% year-over-year increase in usage.
  • A shift toward an 'Infinity Loop' marketing model, supported by supervised AI, can increase player lifetime value (LTV) by up to 30% by integrating acquisition, retargeting, and lifecycle management.
  • Android remains the primary platform for volume-driven acquisition due to lower costs, while iOS is increasingly favored for mid-core and hard-core titles to maximize monetization per install.
  • Early-stage games require a Day-1 acquisition rate of at least 35% and 60 minutes of daily play by week two to signal long-term viability.
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SocialPetaApr 2026
Page 1
Report3 pages

Summary of Questions and Answers: FY2017 2Q GREE Results Briefing

The briefing clarified GREE’s strategic focus for FY2017 and beyond. The company confirmed that a smartphone adaptation of Wild Arms, developed with ForwardWorks Corporation, remains in the FY18‑later pipeline. To stabilize coin‑consumption revenue from its game operation segment, GREE plans to shift operations of select titles to Vietnam and enhance marketing efficiency as its portfolio expands. New ventures in video advertising and virtual reality are expected to reach profitability by FY2019, while the acquisition of 3Minute is positioned as an investment in video‑content capabilities to support broader growth.

Regarding intellectual property, GREE indicated that its development pipeline includes both partner‑owned IP and its own assets, aiming for a balanced mix. The company highlighted Rara‑MAGI’s strong launch performance and noted that coin consumption for other overseas native titles has declined quarter‑over‑quarter, though a new title is slated for late second half release. Seven titles scheduled for the latter half of the year will see roughly half released in Q3 and the remainder in Q4, with Rara‑MAGI already live.

Operating income is projected to dip in Q3 due to increased fixed costs from new releases. GREE will evaluate ongoing titles, closing those unlikely to grow while reallocating resources to high‑potential games. Poor performance is attributed mainly to insufficient content depth or breadth at launch, and lessons learned will inform future development.

  • GREE expects Q3 operating income to decline due to increased fixed costs associated with a pipeline of seven new game releases scheduled for the second half of the fiscal year.
  • The company is shifting operations for select titles to Vietnam and improving marketing efficiency to stabilize coin-consumption revenue within its game segment.
  • New business ventures in virtual reality and video advertising are targeted to reach profitability by FY2019.
  • GREE acquired 3Minute to bolster its video-content capabilities as part of a broader growth strategy.
  • The smartphone adaptation of Wild Arms, developed in partnership with ForwardWorks Corporation, is confirmed for release in FY2018 or later.
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GREE
Page 1
Report3 pages

Summary of Main Questions and Answers at the FY2018 First Quarter GREE Results Briefing

The briefing, held on October 27 2017, focused on GREE’s first‑quarter FY2018 performance and future strategy. Commission fees rose quarter‑on‑quarter, driven by overall sales growth and a higher proportion of revenue from partner titles with strong intellectual property. Advertising spend outlook for the second quarter varies by segment: the game and entertainment arm will tighten costs while continuing to invest in advertising for its expanding user base, expecting a return on investment. Coin consumption is projected to dip temporarily after the strong start of Q4 FY2017 releases, yet titles such as Another Eden: The Cat Who Goes Beyond Time, SINoALICE, Senki Zesshou SYMPHOGEAR XD Unlimited, and Is It Wrong to Try to Pick Up Girls in a Dungeon: Memoria Freeze drove robust coin usage in Q1.

GREE’s overseas native‑game development pipeline is expected to take a minimum of three months from announcement to launch, averaging six months. The company emphasizes delivering versions faithful to the original Japanese product and local operation for success in China, noting that Chinese users prefer authenticity and require localized fine‑tuning with strong local partners. In the VR arena, GREE is expanding its development knowledge base and partnering to provide access points for users lacking personal VR hardware, anticipating market growth.

Regarding the domestic native‑game environment, GREE acknowledges rising user expectations and a challenging acquisition landscape. Leveraging its financial strength and industry relationships, the company plans large‑scale development and mixed‑media initiatives to deliver hit titles. Sales of native games are expected to experience a temporary decline before operations are strengthened—through larger support teams, content enhancement, overseas launches, and tailored promotional activities—to drive subsequent growth.

  • GREE’s Q1 FY2018 revenue growth was driven by increased commission fees from partner titles that leverage strong intellectual property.
  • Key titles driving robust coin consumption in Q1 included 'Another Eden: The Cat Who Goes Beyond Time', 'SINoALICE', 'Senki Zesshou SYMPHOGEAR XD Unlimited', and 'Is It Wrong to Try to Pick Up Girls in a Dungeon: Memoria Freeze'.
  • The company expects a temporary decline in native game sales as it transitions to larger support teams, enhanced content, and more aggressive promotional activities to drive future growth.
  • GREE’s overseas native-game development pipeline requires a minimum of three months from announcement to launch, with an average lead time of six months.
  • Success in the Chinese market is predicated on delivering versions faithful to original Japanese products while utilizing strong local partners for necessary fine-tuning.
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GREE
Page 1
Report2 pages

Summary of main supplementary explanations questions and answers at the FY2020 First Quarter GREE results briefing held on October 30, 2019

The briefing addressed key financial and operational questions for GREE’s first quarter of FY2020. A decline in sales was attributed to a reactive drop following anniversary events for major titles in the previous quarter and strategic title transfers aimed at improving profitability. Management projected operating income of roughly ¥0.5 billion for the second quarter, with strong expectations for core titles but a continued decline in browser game revenue; advertising spend was to increase on high‑potential games. Overseas distribution of SINoALICE remains uncertain in China due to regulatory approval, while other regions rely on local partners and progress is ongoing. Global release strategy now allows simultaneous launches in Japan and abroad, with timing set on a case‑by‑case basis after partner consultation. Challenges for AFTERLOST – Shoumetsu Toshi include attracting new fans while retaining existing ones, despite extensive fan‑targeted measures. Cost‑cutting through title transfers is viewed as a means to improve profitability, with plans to broaden the title lineup. Earnings contribution from REALITY depends on internal factors such as lifetime value enhancement and external 5G infrastructure development; the focus is on steady content portfolio expansion and platform functionality rather than rapid growth before full infrastructure deployment.

  • GREE projects an operating income of approximately ¥0.5 billion for the second quarter of FY2020.
  • First-quarter sales declined due to the conclusion of major title anniversary events and the strategic transfer of titles to improve overall profitability.
  • Management expects browser game revenue to continue its decline while increasing advertising spend on high-potential mobile titles.
  • The global release strategy has shifted to allow for simultaneous launches in Japan and international markets, contingent on partner consultation.
  • The release of SINoALICE in China remains stalled due to pending regulatory approval, while other international markets rely on local distribution partners.
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GREE
Page 1
Report2 pages

Summary of Main Supplementary Explanations Questions and Answers: GREE FY2022 Second Quarter Results

The briefing clarifies GREE’s strategic focus and financial outlook for the second quarter of FY2022. The company announces that “Heaven Burns Red” will launch on February 10, noting strong pre‑registration figures and fan enthusiasm. For the “REALITY” platform, GREE reports accelerated promotional efforts that have boosted North American sales per user; future plans emphasize continued marketing and feature development to position REALITY as a daily communication service. In the Investment and Incubation Business, unrealized gains on listed shares have fallen due to broader market declines, yet the firm maintains sizable gains and expects long‑term profitability despite short‑term exit timing effects.

Capital strategy is highlighted through a substantial share repurchase program aimed at sustaining an ROE above 10 % and maintaining listing status in the Tokyo Stock Exchange’s prime section, even as share‑outstanding ratios approach regulatory thresholds. The “Money held in trust” line item is explained as short‑term, low‑risk investments treated similarly to cash. Finally, the company projects third‑quarter operating income for its Internet and Entertainment segment between ¥1.5 billion and just under ¥2.0 billion, driven by contributions from new titles.

Overall, the presentation outlines GREE’s product rollout plans, market expansion tactics, investment portfolio resilience, capital allocation priorities, and near‑term earnings expectations within the broader context of a recovering market environment.

  • GREE is launching the new title 'Heaven Burns Red' on February 10, 2022, supported by strong pre-registration figures.
  • The company projects third-quarter operating income for its Internet and Entertainment segment to be between ¥1.5 billion and just under ¥2.0 billion, driven by new title contributions.
  • GREE has initiated a substantial share repurchase program to maintain an ROE above 10% and ensure compliance with Tokyo Stock Exchange Prime section listing requirements.
  • The 'REALITY' platform is undergoing accelerated promotional efforts in North America, resulting in increased sales per user as the company pivots toward a daily communication service model.
  • Unrealized gains on listed shares within the Investment and Incubation Business have declined due to broader market conditions, though the firm maintains significant overall gains.
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GREE

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