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Earnings presentation9684SQUARE ENIX HOLDINGS CO.,LTD.Information and Communications, Services and Others

Briefing on Financial Results for the Second Quarter of the Fiscal Year Ending March 2027

In the first half of the fiscal year ending March 2027, revenue, operating profit, ordinary profit and net income exceeded the year-earlier period, driven mainly by the Digital Entertainment business. The Rights and Properties business, however, reported lower revenue and profit due to the reaction to one-time royalty income recorded in the previous year.

Worth reading
33Immaterial
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Improvement
Direction inferred from the company’s description.
Scale
115
¥100 million (year-on-year increase in operating income)
Wording
Avoiding a definitive answer
How definitive the wording is.

Contents of this document

Earnings presentationSecond quarter of the fiscal year ending March 20274 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥1,631 100 million+21.9%
Operating profit¥387 100 million+42.3%
Ordinary income¥403 100 million+41.4%
Net income¥285 100 million +185.0%interim net income attributable to owners of the parent
Operating profit margin
rate_pct23.8
yoy_change_pt3.4
Full-year earnings forecast
Net Sales
¥3,100 100 million
Operating profit
¥590 100 million
Ordinary income
¥590 100 million
Profit attributable to owners of the parent
¥370 100 million
Operating profit margin
19 %
Ordinary income margin
19 %
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • HD game sales+¥11.6 billion year on year
  • HD game operating profit+¥8.0 billion year on year
  • MMO sales+¥5.8 billion year on year
  • MMO operating profit+¥1.1 billion year on year
  • Sales on smart devices, PC browsers and other platforms+¥7.3 billion year on year
  • Operating profit from smart devices, PC browsers and other platforms+¥3.7 billion year on year
New initiatives
  • Release of new titles
  • Scheduled release of the Final Fantasy XIV expansion package 8.0, “The Silver Wanderer”
  • Launch of the major update Version 8.1, “Guiding Wind”
Key KPIsA metric the company considers important as a management benchmark.
  • HD game sales¥356 100 million
    Year on year against the same period last year+¥11.6 billion
  • MMO sales¥257 100 million
    Year on year against the same period last year+¥5.8 billion
  • Sales on smart devices, PC browsers and other platforms¥363 100 million
    Year on year against the same period last year+¥7.3 billion
  • Same-store salesExceeded the year-earlier level
    Year on year against the same period last yearIncreased
  • Digital sales (Publishing)¥87 100 million
    Year on year against the same period last year+¥600 million
  • Print sales (Publishing)¥70 100 million
    Year on year against the same period last year+¥0.8 billion
Segment results
Digital Entertainment business
Net Sales
¥976 100 million
yoy_change246
Operating profit
¥328 100 million
yoy_change128
Amusement Business
Net Sales
¥391 100 million
yoy_change46
Operating profit
¥54 100 million
yoy_change12
Publishing Business
Net Sales
¥158 100 million
yoy_change14
Operating profit
¥53 100 million
yoy_change6
Rights and Properties business
Net Sales
¥114 100 million
yoy_change-13
Operating profit
¥41 100 million
yoy_change-26
Contents of this document
ItemDetails
Document typeEarnings presentation
Fiscal Period CoveredSecond quarter of the fiscal year ending March 2027
Net Sales¥1,631 100 million (YoY +21.9%)
Operating profit¥387 100 million (YoY +42.3%)
Ordinary income¥403 100 million (YoY +41.4%)
Net income¥285 100 million (interim net income attributable to owners of the parent) (YoY +185.0%)
Operating profit marginrate_pct 23.8 / yoy_change_pt 3.4
Full-year earnings forecastNet Sales ¥3,100 100 million / Operating profit ¥590 100 million / Ordinary income ¥590 100 million / Profit attributable to owners of the parent ¥370 100 million / Operating profit margin 19 % / Ordinary income margin 19 %
Segment resultsDigital Entertainment business Net Sales ¥976 100 million / Operating profit ¥328 100 million / Amusement Business Net Sales ¥391 100 million / Operating profit ¥54 100 million / Publishing Business Net Sales ¥158 100 million / Operating profit ¥53 100 million / Rights and Properties business Net Sales ¥114 100 million / Operating profit ¥41 100 million
Breakdown of Factors Affecting the ChangeFactors HD game sales / Amount +¥11.6 billion year on year, Factors HD game operating profit / Amount +¥8.0 billion year on year, Factors MMO sales / Amount +¥5.8 billion year on year, Factors MMO operating profit / Amount +¥1.1 billion year on year, Factors Sales on smart devices, PC browsers and other platforms / Amount +¥7.3 billion year on year, Factors Operating profit from smart devices, PC browsers and other platforms / Amount +¥3.7 billion year on year
Key KPIsIndicator name HD game sales / Value ¥356 100 million / Year on year against the same period last year +¥11.6 billion, Indicator name MMO sales / Value ¥257 100 million / Year on year against the same period last year +¥5.8 billion, Indicator name Sales on smart devices, PC browsers and other platforms / Value ¥363 100 million / Year on year against the same period last year +¥7.3 billion, Indicator name Same-store sales / Value Exceeded the year-earlier level / Year on year against the same period last year Increased, Indicator name Digital sales (Publishing) / Value ¥87 100 million / Year on year against the same period last year +¥600 million, Indicator name Print sales (Publishing) / Value ¥70 100 million / Year on year against the same period last year +¥0.8 billion
New initiativesRelease of new titles, Scheduled release of the Final Fantasy XIV expansion package 8.0, “The Silver Wanderer”, Launch of the major update Version 8.1, “Guiding Wind”
Items this document does not state (19)
Gross Profit MarginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planUnit price and quantity metricsNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookMedium-term management plan targetsFinancial targetsAnnual DividendPayout ratioAcquisition 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.

In the Digital Entertainment business, higher revenue from HD games, MMOs, smart devices and PC browsers, among others, contributed to results. In the Amusement business, same-store sales and sales of prizes for facilities exceeded the previous year, while in the Publishing business, sales of comic volumes were higher than the previous year. The Rights and Properties business reported lower revenue and profit due to the reaction to one-time royalty income related to a major IP in the previous year.

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.
Briefing on Financial Results for the Second Quarter of the Fiscal Year Ending March 2027 | SQUARE ENIX HOLDINGS CO.,LTD. (9684) timely disclosure | Komori