Development and sales of gaming machines with lower playing costs and pachinko machines with settings

「Against this backdrop, the Group has identified the recovery of the pachinko market and expansion of the fan base as important issues. In addition to strengthening product appeal, we will work to reduce parlors’ burden of introducing new machines and revitalize the market through the new pachinko machine pricing policy, “SANKYO YELL PRICE,” by reviewing prices.」

「Under these conditions, as its responsibility as a leading company in the pachinko market, the group will seek to create new titles that drive utilization and provide an opportunity for the pachinko market to recover. In addition, to invigorate the pachinko and pachislot markets, the group will advance product development rich in novelty and technological innovation, without being constrained by conventional assumptions.」

「The smart pachislot machine "L Kakumeiki Valvrave," launched as the industry's fastest introduction, has attracted attention from fans and parlors and continues to show strong utilization after installation, making a significant contribution to the Group's growing presence in the pachislot market.」

「The two core pachinko titles of our Group, "Fever Mobile Suit Gundam Unicorn" and "Shin Evangelion: Roar of the New Century ～Roar Toward the Future～," recorded strong utilization that drove the pachinko market. In addition to accumulating orders and sales above plan, they made a significant contribution to enhancing our Group's brand strength.」

「“Fever Mobile Suit Gundam Unicorn,” released in August, performed strongly and led the pachinko market, becoming a hit that generated additional orders. Despite difficulties in procuring components, the company secured components for the additional production run and consequently accumulated sales exceeding its plan. In addition, the 15th installment in the series, “Neon Genesis Evangelion: Roar of the Future,” released in December, became a hit with sales exceeding 40,000 units and continued to perform strongly after installation, keeping group sales firm. Meanwhile, in pachislot machines, the group launched its first 6.2-type machine in December, “Pachislot Senki Zessho Symphogear: Song of Courage.”」

「“Fever Mobile Suit Gundam Unicorn,” launched in August, has maintained high utilization since its introduction, helped by television commercials, and became a hit that generated additional orders. In addition, with demand for new machines expected to rise as the deadline for removing machines compliant with the old regulations approached at the end of January 2022, the group focused on capturing replacement demand, including by planning to launch the 15th installment in its flagship pachinko machine series, “Evangelion,” from the third quarter onward.」

「Against this backdrop, the group launched 9 pachinko machine titles and 2 pachislot machine titles.」

「Through the second quarter, the company limited the number of titles sold while assessing parlors' appetite for new machines amid the COVID-19 pandemic, but from the third quarter onward it accelerated the launch of new machines to address replacement demand. In pachinko, the company actively introduced products equipped with the new “Yutai Time” gameplay feature, stimulating demand from parlors.」

「From the third quarter onward, we have announced 5 other new pachinko titles, beginning with "Fever Queen II," launched in October, to meet replacement demand as it gathers pace, and order trends have remained steady.」

「In 2020, following the National Police Agency's revision of the “Technical Standards Interpretation Criteria,” it became possible to develop pachinko machines with unprecedented gameplay. Their gradual market introduction has begun, and they are expected to stimulate demand going forward.」

「Gaming machine manufacturers are actively developing products compliant with the revised gaming machine regulations and other requirements, including products with low playing costs and diverse gameplay, while working to generate replacement demand for machines compliant with the new regulations.」

「In the fiscal year ended March 2019, the group moved ahead of its competitors with pachinko machines with settings and products featuring sustained high probability variation based on revisions to the internal rules of the Japan Game Machine Industry Association. Going forward, the group will continue developing and providing products with diverse gameplay while keeping playing costs low, based on the intent of changes in the regulatory environment.」

「During the cumulative third quarter of the current consolidated fiscal year, our Group brought pachinko machines with adjustable settings, newly permitted under the new regulations, to market faster than any other company in the industry. We subsequently continued building a track record of machines passing type testing under the new regulations, sold machines under the old regulations that remained eligible for sale, and introduced 8 new pachinko titles and 2 new pachislot titles.」

「The Group launched "Fever Kakumeiki Valvrave W" in August 2018 as the industry's first machine equipped with 6 setting levels in response to the new regulations.」

「The group decided to launch, ahead of its competitors, the first SANKYO-branded pachinko machine with settings, “Fever Kakumeiki Valvrave W,” in August 2018.」

「In this area, the company intends to respond flexibly and swiftly to the development and sales of gaming machines with lower playing costs and pachinko machines with settings, which are expected to become mainstream, in an effort to increase market share.」