Koei Tecmo Holdings (3635) investor relations material

Executive summary

• Net sales for Q1 FY26 rose 17.4% year-over-year to ¥17,368 million, with operating profit up 51.3% to ¥5,407 million and ordinary profit up 79.2% to ¥15,719 million.

• Profit attributable to owners of parent increased 86.9% year-over-year to ¥11,348 million, and comprehensive income surged 78.5% to ¥29,438 million.

• Entertainment business, especially console/PC and mobile sectors, drove performance.

• Back catalog and titles released in the previous year performed well; no major new releases in Q1.

Financial highlights

• Gross profit increased from ¥8,006 million to ¥9,692 million year-over-year, while selling, general and administrative expenses remained stable.

• Basic earnings per share rose to ¥33.97 from ¥19.23 year-over-year.

• Equity-to-asset ratio was 83.6% as of June 30, 2026, with net assets per share at ¥835.72.

• Entertainment segment sales rose to ¥15,930 million (+17.3% YoY), with operating profit at ¥5,288 million (+42.7% YoY).

• Amusement and real estate segments also saw modest growth.

Outlook and guidance

• Full-year forecast for fiscal year ending March 31, 2027: net sales of ¥90,000 million (up 1.8% YoY), operating profit of ¥32,000 million (down 13.9%), and profit attributable to owners of parent of ¥31,000 million (down 27.6%).

• Dividend per share forecast at ¥48.00 for FY27; previous year was ¥66.00.

• Forecast includes new title launches; no major risk assumptions.

• Operating profit exceeds internal plans as of Q1; guidance unchanged pending global economic and title performance.

• No revisions to previously announced forecasts.