Worth reading
64In focus
Scored from 5 of 6 sectionsDirection
Mixed performance
Direction inferred from the company’s description.Scale
7.1
% (year-on-year decline in revenue)Wording
Conditional
How definitive the wording is.Contents of this document
Supplementary materials to the earnings reportFiscal year ending March 2026, full year10 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥93,669 million-7.1%
Operating profit¥31,018 million-4.4%
Ordinary income¥33,462 million+0.8%
Net income¥25,070 million+6.1%
Selling, general and administrative expenses¥18,185 million
Operating profit margin
Rate33.1 %
Year-on-year change (points)1 %
Results for the three months of the current quarter
Period CoveredJanuary–March 2026
Net Sales
¥26,527 million-5.7%
Gross profit
¥13,342 million-2.9%
Selling, general and administrative expenses
¥5,643 million+20.3%
Operating profit
¥7,699 million-15.0%
Operating profit margin
29 %
yoy_change_points-3.2
Ordinary income
¥8,384 million-4.9%
Net income
¥7,151 million+6.5%
Full-year earnings forecast
Fiscal Period CoveredFiscal year ending March 2027
Net Sales
¥100,000 million
Selling, general and administrative expenses
¥22,000 million
Operating profit
¥25,000 million
Operating Profit Excluding Strategic Investment
¥27,000 million
Ordinary income
¥25,600 million
Net income
¥18,100 million
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Net Sales
Video production and distribution-6,172
IP rights-1,676
Product Sales-1,288
Other2,010
Intersegment eliminations-39
Operating profit
Video production and distribution-1,628
IP rights795
Product Sales80
Other179
Intersegment eliminations-841
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
The qualitative assumptions address the political and economic environment, uncertainty surrounding major contract renewals, higher production costs resulting from the release of new video content, and strategic investments. Numerical assumptions: Not disclosed.New initiatives
- Preparation for establishing a new studio in Vietnam
- North American marketing initiatives for global IP
- Establishment of a Dubai base
- Expansion of partnerships in Asia
- Expansion of overseas stores
- Implementation of an inventory management system
- Investment in content
- Establishment of an inorganic growth framework and consideration of investment opportunities
Key KPIsA metric the company considers important as a management benchmark.
- Domestic box-office revenue for the film Kimi to Idol Precure♪¥12.1 100 million
- YouTube views of the non-credit ending theme500 10,000 plays
Segment results
- Video Production and Distribution BusinessNet Sales¥31,151 million (YoY -16.5%)Segment profit¥8,751 million (YoY -15.7%)
- Rights Management BusinessNet Sales¥48,905 million (YoY -3.3%)Segment profit¥26,720 million (YoY +3.1%)
- Product Sales BusinessNet Sales¥7,923 million (YoY -14.0%)Segment profit¥734 million (YoY +12.3%)
- Other BusinessesNet Sales¥6,325 million (YoY +46.6%)Segment profit¥356 million (YoY +101.7%)
Medium-term management plan targets
Equity ratioAt least 70%
ROEAt least 15% (final year)
Payout ratioAt least 40%
Total payout ratioApproximately 50% (final year)
Overseas Revenue Mix70％（2030-35）
Strategic InvestmentApproximately ¥130 billion (total investment plan for fiscal 2026–fiscal 2030)
Financial targets
Equity ratioAt least 70%
ROEAt least 15% (final year)
Number of employees
Changes during the period and hiring planIncrease workforce by several hundred people
Annual Dividend
Fiscal year ending March 2026
Annual¥44 per share
Fiscal year ending March 2027: plan
Annual¥44 per share
Payout ratio
Fiscal year ending March 202535.5 %
Fiscal year ending March 202635.9 %
PolicyAt least 40%
Total payout ratioApproximately 50% (final year)
| Item | Details |
|---|---|
| Document type | Supplementary materials to the earnings report |
| Fiscal Period Covered | Fiscal year ending March 2026, full year |
| Net Sales | ¥93,669 million (YoY -7.1%) |
| Operating profit | ¥31,018 million (YoY -4.4%) |
| Ordinary income | ¥33,462 million (YoY +0.8%) |
| Net income | ¥25,070 million (YoY +6.1%) |
| Operating profit margin | Rate 33.1 % / Year-on-year change (points) 1 % |
| Selling, general and administrative expenses | ¥18,185 million |
| Results for the three months of the current quarter | Period Covered January–March 2026 / Net Sales ¥26,527 million (YoY -5.7%) / Gross profit ¥13,342 million (YoY -2.9%) / Selling, general and administrative expenses ¥5,643 million (YoY +20.3%) / Operating profit ¥7,699 million (YoY -15.0%) / Operating profit margin 29 % / Ordinary income ¥8,384 million (YoY -4.9%) / Net income ¥7,151 million (YoY +6.5%) |
| Full-year earnings forecast | Fiscal Period Covered Fiscal year ending March 2027 / Net Sales ¥100,000 million / Selling, general and administrative expenses ¥22,000 million / Operating profit ¥25,000 million / Operating Profit Excluding Strategic Investment ¥27,000 million / Ordinary income ¥25,600 million / Net income ¥18,100 million |
| Segment results | Segment Video Production and Distribution Business / Net Sales ¥31,151 million (YoY -16.5%) / Segment profit ¥8,751 million (YoY -15.7%), Segment Rights Management Business / Net Sales ¥48,905 million (YoY -3.3%) / Segment profit ¥26,720 million (YoY +3.1%), Segment Product Sales Business / Net Sales ¥7,923 million (YoY -14.0%) / Segment profit ¥734 million (YoY +12.3%), Segment Other Businesses / Net Sales ¥6,325 million (YoY +46.6%) / Segment profit ¥356 million (YoY +101.7%) |
| Breakdown of Factors Affecting the Change | Net Sales Video production and distribution -6,172 / IP rights -1,676 / Product Sales -1,288 / Other 2,010 / Intersegment eliminations -39 / Operating profit Video production and distribution -1,628 / IP rights 795 / Product Sales 80 / Other 179 / Intersegment eliminations -841 |
| Key KPIs | Indicator name Domestic box-office revenue for the film Kimi to Idol Precure♪ / Value ¥12.1 100 million / Year on year against the same period last year Not disclosed, Indicator name YouTube views of the non-credit ending theme / Value 500 10,000 plays / Year on year against the same period last year Not disclosed |
| Number of employees | Number of Employees Not disclosed / Changes during the period and hiring plan Increase workforce by several hundred people |
| Assumptions Underlying the Business Outlook | The qualitative assumptions address the political and economic environment, uncertainty surrounding major contract renewals, higher production costs resulting from the release of new video content, and strategic investments. Numerical assumptions: Not disclosed. |
| Medium-term management plan targets | Equity ratio At least 70% / ROE At least 15% (final year) / Payout ratio At least 40% / Total payout ratio Approximately 50% (final year) / Overseas Revenue Mix 70％（2030-35） / Strategic Investment Approximately ¥130 billion (total investment plan for fiscal 2026–fiscal 2030) |
| Financial targets | Equity ratio At least 70% / ROE At least 15% (final year) |
| Annual Dividend | Fiscal year ending March 2026 Annual ¥44 per share / Interim Not disclosed / End of period Not disclosed / Fiscal year ending March 2027: plan Annual ¥44 per share / Interim Not disclosed / End of period Not disclosed |
| Payout ratio | Fiscal year ending March 2025 35.5 % / Fiscal year ending March 2026 35.9 % / Policy At least 40% / Total payout ratio Approximately 50% (final year) |
| New initiatives | Preparation for establishing a new studio in Vietnam, North American marketing initiatives for global IP, Establishment of a Dubai base, Expansion of partnerships in Asia, Expansion of overseas stores, Implementation of an inventory management system, Investment in content, Establishment of an inorganic growth framework and consideration of investment opportunities |
Items this document does not state (11)
Gross Profit MarginProgress against full-year forecastSelf-assessment against the planUnit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookAcquisition of treasury sharesCapital expendituresOrders received and order backlogMarket Size / ShareKey points of the Q&A
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.Revenue declined due to the reaction to strong domestic streaming rights sales for works released in prior years and sales of video game rights for new titles in the Dragon Ball series in the previous fiscal year. Meanwhile, strong overseas merchandising rights sales, which are highly profitable, lower production costs for new video content compared with the previous fiscal year, foreign exchange gains and gains on sales of securities supported earnings. For the fiscal year ending March 2027, the company expects a decline in operating profit due to higher production costs resulting from the release of new video content and various strategic investments.
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.