Worth reading
51Recurring
Scored from 4 of 6 sectionsDirection
Neutral
Direction inferred from the company’s description.Scale
37.5
% (increase in the number of shareholders from the end of the previous fiscal year)Wording
Avoiding a definitive answer
How definitive the wording is.Contents of this document
Summary of Q&AFiscal year ended January 2026 (questions and answers after the results announcement)6 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Full-year earnings forecastThe earnings forecast for the fiscal year ending January 2027 is discussed, but forecasts by line item are not disclosed
What the company explained in this material
Key points of the Q&AKey questions raised by investors at the briefing and the company's answers
- Issues Review of the restructuring period / Summary of response Costs temporarily increased due to the consolidation of locations, system integration, and executive hiring, but coordination among businesses, the work environment, and corporate functions were improved. The company has largely completed its response to the difficulties in its overseas business and withdrew from the media and content business
- Issues Likelihood of achieving the earnings forecast for the fiscal year ending January 2027 / Summary of response Profitability through the previous fiscal year deteriorated due to the business restructuring and layoff costs in the overseas solutions business, among other factors. In the current fiscal year, the highest priority is to emerge from three consecutive fiscal years of net losses. An operating loss in the first quarter and a net loss in the first half are expected
- Issues Difference between ordinary profit and net income / Summary of response No extraordinary loss is expected, and taxes account for most of the difference. Loss-making subsidiaries cannot recognize deferred tax assets, resulting in a high effective tax rate
- Issues Medium- to long-term outlook / Summary of response The company will incorporate areas that can be made more efficient through AI and move from a labor-intensive to a knowledge-intensive business model. It will prioritize improving profitability over pursuing greater sales scale
- Issues Profitability and growth prospects for game debugging / Summary of response Although rising labor costs pose challenges to the business’s historical profitability, demand is expected to expand, particularly overseas and for smartphones and PCs, due to the growth of the game market and the shift toward multiple platforms
- Issues Investor relations activities / Summary of response Following its review of IR activities, visits to the website reached a record high and the number of shareholders increased 37.5% from the end of the previous fiscal year. The company assesses that the review had a certain positive effect on awareness
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
- Operating profit in the first quarterAssumptionsA loss is expected
- Net income in the second quarter (first half)AssumptionsA loss is expected
New initiatives
- Incorporate AI technology and shift from a labor-intensive to a knowledge-intensive business model
- Withdraw from the media and content business and prioritize restoring the profitability of the BPO business
- Review IR activities and strengthen information disclosure for investors, as well as briefings for individual investors and disclosure of Q&A materials
Key KPIsA metric the company considers important as a management benchmark.
- Number of visits to disclosed information on the company’s websiteContinuing to reach new record highs
- Shareholders37.5 % increase from the end of the previous fiscal yearYear on year against the same period last yearUp 37.5% from the end of the previous fiscal year
- Number of shareholders attending the General Meeting of ShareholdersHighest since April 2019
Risk amount incorporated into the outlookThe amount representing the range of variation the company expects in its forecast.
The amount is not disclosed. A temporary decline in overseas solutions demand and the incurrence of layoff costs are expectedMarket Size / Share
The company explained that the global game market continues to expand, but figures for market size and market share are not disclosed| Item | Details |
|---|---|
| Document type | Summary of Q&A |
| Fiscal Period Covered | Fiscal year ended January 2026 (questions and answers after the results announcement) |
| Full-year earnings forecast | The earnings forecast for the fiscal year ending January 2027 is discussed, but forecasts by line item are not disclosed |
| Key KPIs | Indicator name Number of visits to disclosed information on the company’s website / Value Continuing to reach new record highs / Year on year against the same period last year Not disclosed, Indicator name Shareholders / Value 37.5 % (increase from the end of the previous fiscal year) / Year on year against the same period last year Up 37.5% from the end of the previous fiscal year, Indicator name Number of shareholders attending the General Meeting of Shareholders / Value Highest since April 2019 / Year on year against the same period last year Not disclosed |
| Assumptions Underlying the Business Outlook | Item Operating profit in the first quarter / Assumptions A loss is expected, Item Net income in the second quarter (first half) / Assumptions A loss is expected |
| Risk amount incorporated into the outlook | The amount is not disclosed. A temporary decline in overseas solutions demand and the incurrence of layoff costs are expected |
| Market Size / Share | The company explained that the global game market continues to expand, but figures for market size and market share are not disclosed |
| Key points of the Q&A | Issues Review of the restructuring period / Summary of response Costs temporarily increased due to the consolidation of locations, system integration, and executive hiring, but coordination among businesses, the work environment, and corporate functions were improved. The company has largely completed its response to the difficulties in its overseas business and withdrew from the media and content business, Issues Likelihood of achieving the earnings forecast for the fiscal year ending January 2027 / Summary of response Profitability through the previous fiscal year deteriorated due to the business restructuring and layoff costs in the overseas solutions business, among other factors. In the current fiscal year, the highest priority is to emerge from three consecutive fiscal years of net losses. An operating loss in the first quarter and a net loss in the first half are expected, Issues Difference between ordinary profit and net income / Summary of response No extraordinary loss is expected, and taxes account for most of the difference. Loss-making subsidiaries cannot recognize deferred tax assets, resulting in a high effective tax rate, Issues Medium- to long-term outlook / Summary of response The company will incorporate areas that can be made more efficient through AI and move from a labor-intensive to a knowledge-intensive business model. It will prioritize improving profitability over pursuing greater sales scale, Issues Profitability and growth prospects for game debugging / Summary of response Although rising labor costs pose challenges to the business’s historical profitability, demand is expected to expand, particularly overseas and for smartphones and PCs, due to the growth of the game market and the shift toward multiple platforms, Issues Investor relations activities / Summary of response Following its review of IR activities, visits to the website reached a record high and the number of shareholders increased 37.5% from the end of the previous fiscal year. The company assesses that the review had a certain positive effect on awareness |
| New initiatives | Incorporate AI technology and shift from a labor-intensive to a knowledge-intensive business model, Withdraw from the media and content business and prioritize restoring the profitability of the BPO business, Review IR activities and strengthen information disclosure for investors, as well as briefings for individual investors and disclosure of Q&A materials |
Items this document does not state (22)
Net SalesOperating profitOrdinary incomeNet incomeGross Profit MarginOperating profit marginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planSegment resultsBreakdown of Factors Affecting the ChangeUnit price and quantity metricsNumber of stores and locationsNumber of employeesMedium-term management plan targetsFinancial targetsAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlog
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.To strengthen information disclosure and deepen shareholders’ and investors’ understanding. The review of IR activities is intended to strengthen the company’s presence in the stock market, raise awareness of its business, and create points of contact with new investors.
How to read this page
This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.