Despite the pandemic, Kadokawa Corporation has recorded better profit attributable to its owners as it jumps by 15.51% year on year to 9,584 million yen (~$87 million) from 2019’s 8,098 million yen (~$74 million). Sales are at their highest among the latest seven years to see 209,947 million yen (~$1,925 million) worth of net sales, up 2.52% from the prior year due to a growing demand of its content.
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Alternative View: Here
The company’s Publication Business has seen a rise of demand for its books in general, while e-books and e-magazines achieve its all-time high in net sales on a quarterly basis. New titles, as it has noted that have done well are Delicious in Dungeon Volume 9 and Aokute Itakute Moroi. Its publication business as a whole records net sales amounting to 129,576 million yen (~$1,188 million), up 9.47% over the year before whereas the segment operating profit catapults to 12,841 million yen (~$117 million), an increase of 51.34% year on year from 2019’s 6,248 million yen (~$57 million).
Delicious in Dungeon Volume 9 and Aokute Itakute Moroi are amongst the titles that perform well
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Alternative View: Here
Its net sales of animation overseas business has also reported a 21% rise over 2019 for its fourth quarter as sales hit 2,000 million yen (~$18 million). International licensing revenue from titles such as Sword Art Online: Alicization – War of Underworld and Re:Zero kara Hajimeru Isekai Seikatsu 2nd Season, Higurashi no Naku Koro ni Gou have continued to contribute to the company’s profit. Unfortunately, sales from its movie distribution is upsetting due to the ongoing pandemic which have brought upon limitations imposed on the number of seats and shorter operating hours at movie theaters. Nevertheless, the segment has reported healthy sales of 31,314 million yen (~$287 million), down 8.2% year on year. Despite the drop, the operating profit has moved up by 7.1% year on year to 2,274 million yen (~$20 million).
Extracted from here (page 29)
As for its other segments, its Game Business sees repeated sales and overseas licensing for the following titles: Pokémon Mystery Dungeon: Rescue Team DX, SEKIRO: SHADOWS DIE TWICE and DARK SOULS contributing to its revenue. As such, net sales are up 16.9% year on year to 16,636 million yen (~$152 million), and the company records 2,744 million yen (~$25 million) worth of profit. Unfortunately, the Web Service Business and Other Businesses cannot maintain the momentum set by other segments as the two reports lower net sales and profit year on year. Profits are down 24.8% for its Web Service Business while its Other Businesses succumbs to an operating loss of 4,491 million yen (~$41 million). The loss, as noted by the company is attributed to the timing where it launched several of its projects, in particular the Tokorozawa Sakura Town during a time of pandemic. Nevertheless, the grand opening it had last year narrows the loss and has a positive effect on sales.
The launch of Tokorozawa Sakura Town was back in Fall 2020. The town also includes the Kadokawa Culture Museum (picture above), more information can be obtained here.
Kadokawa Corporation is incorporated in Japan with its headquarter located in Tokyo. The company owns several well-know entities including: BOOK WALKER, FromSoftware, Spike Chunsoft and YEN PRESS. It is publicly listed on the Tokyo Stock Exchange under the ticket symbol 9468.
Sources:
General Meeting of Shareholders
Financial Results
Presentations
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