Bandai Namco Group

Information Meeting

Fiscal Year Ending March 2024

1st Half Result Presentation

November 7, 2023

FY2024.3 1st Half Results

billion yen

FY 2023.3

FY 2024.3

FY 2024.3

Vs. Previous

Vs. Previous

1st Half

1st Half Forecast

1st Half

Year's Results

Forecast

Results

(as of Aug. 2023)

Results

Net Sales

477.6

475.0

502.0

+24.4

+27.0

Operating Profit

81.6

60.0

65.4

-16.2

+5.4

Recurring Profit

92.3

65.0

73.9

-18.4

+8.9

Profit Attributable to

66.5

44.0

52.1

-14.4

+8.1

Owners of Parent

Capital Investments

16.5

13.0

16.8

+0.3

+3.8

Depreciation

11.2

12.0

14.5

+3.3

+2.5

Advertising Expenses

22.4

34.0

28.0

+5.6

-6.0

Personnel Expenses

39.0

42.0

43.8

+4.8

+1.8

FY2024.3 1st Half Results

billion yen

FY 2023.3

FY 2024.3

FY 2024.3

Vs. Previous

Vs. Previous

1st Half

1st Half Forecast

1st Half

Year's Results

Forecast

Results

(as of Aug. 2023)

Results

Digital

Segment sales

193.8

160.0

174.3

-19.5

+14.3

Segment profit

44.6

17.0

15.5

-29.1

-1.5

Toys and Hobby

Segment sales

213.3

240.0

249.8

+36.5

+9.8

Segment profit

33.5

40.0

45.7

+12.2

+5.7

IP Production

Segment sales

35.0

36.0

33.3

-1.7

-2.7

Segment profit

3.4

4.0

2.3

-1.1

-1.7

Amusement

Segment sales

48.6

57.0

59.2

+10.6

+2.2

Segment profit

4.8

5.0

6.9

+2.1

+1.9

Other

Segment sales

15.0

15.0

16.0

+1.0

+1.0

Segment profit

0.4

0.5

0.6

+0.2

+0.1

Elimination and

Segment sales

-28.4

-33.0

-30.7

-2.3

+2.3

Corporate

Segment profit

-5.3

-6.5

-5.7

-0.4

+0.8

Consolidated

Net sales

477.6

475.0

502.0

+24.4

+27.0

Operating profit

81.6

60.0

65.4

-16.2

+5.4

• Favorable results with products for the mature fan base, card products, capsule toys, etc.
• Favorable results with established IP products
• Proactive commercialization of non-IPproducts

FY2024.3 1st Half Results

Entertainment Unit

Digital Business : Network content

  • Favorable results with major app titles, such as DRAGON BALL and ONE PIECE
  • Start of new online PC game

Home console games Differences in title lineup and product mix had an influence

  • ARMORED CORE VI - Worldwide hit
    • Amortization of development expenses, upfront marketing costs
  • Repeat title unit sales - Down in comparison with previous year, when results were favorable

Toys and Hobby : Continued popularity of categories recording solid results around the world Business

FY2024.3 1st Half Results

IP Production Unit

  • Production of multiple major visual works

Hit status of Mobile Suit Gundam THE WITCH FROM MERCURY influenced popularity of Group products and services

  • Favorable results in licensing, etc.
  • Influence of YoY difference in packaged product lineup, decline in number of major events held

Amusement Unit

  • Favorable sales of new amusement machines, update kits
  • Sales at existing facilities in Japan up 2.4% YoY
  • Popularity enjoyed by facilities collaborating with IP, products, and services and leveraging
    Bandai Namco's distinctive strengths

Forecast for Full-Year of FY2024.3

FY2024.3

FY2024.3

Initial Full-Year

Latest Full-Year

Forecast

Forecast

Net Sales

1,000.0

1,000.0

Operating Profit

125.0

125.0

Recurring Profit

129.0

134.0

Profit Attributable to

91.0

91.0

Owners of Parent

Capital Investments

28.0

28.0

Depreciation

27.0

27.0

Advertising Expenses

66.0

66.0

Personnel Expenses

83.0

83.0

We revised the recurring profit forecast due to our expectation for an increase in non-operating income resulting from foreign exchange gains.

Forecast for Full-Year of FY2024.3

FY2024.3

FY2024.3

Vs. Initial

Initial Full-Year

Latest Full-Year

Forecast

Forecast

Forecast

Digital

Segment sales

390.0

360.0

-30.0

Segment profit

58.0

41.0

-17.0

Toys and Hobby

Segment sales

450.0

480.0

+30.0

Segment profit

63.0

75.0

+12.0

IP Production

Segment sales

83.0

83.0

-

Segment profit

11.0

11.0

-

Amusement

Segment sales

110.0

110.0

-

Segment profit

5.0

8.0

+3.0

Other

Segment sales

31.0

31.0

-

Segment profit

1.0

1.0

-

Elimination and

Segment sales

-64.0

-64.0

-

Corporate

Segment profit

-13.0

-11.0

+2.0

Consolidated

Net sales

1,000.0

1,000.0

-

Operating profit

125.0

125.0

-

Trends in the Digital Business

Network content

Home console games

Favorable results with key app titles

Strengthening business foundation through analysis of user trend data

Second half

Launching multiple major titles Promoting longer product lives

Start of sales planned for November 16, 2023

Launching new titles with a focus on quality

Securing a high level of

Start of sales planned for January 26, 2024

approval worldwide

Strengthening development capabilities

  • Portfolio that enables us to demonstrate strengths
  • Implementing development on a business-wide basis while mutually leveraging know-how

Trends in the Toys and Hobby Business

Items for the year-end selling season in Japan

TAMASHII NATIONS STORE NEW YORK

opened in September

Securing new fans with major promotion for one-year anniversary of launch

Aiming to build into an established category in overseas markets

Expanding awareness of product brands through initiatives combining digital and real elements

Trends in the IP Production Business

Gundam series

Continually creating buzz among multiple generations of fans

Strengthening IP creation abilities

  • Strengthening ability to create original IP
  • Creating diverse IP through the use of external networks
  • Enhancing production environments and

developing human resources

  • Implementing monetization in alignment with IP worldviews

Promising products in the 2nd half and thereafter

Providing diverse products through a variety of approaches

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Bandai Namco Holdings Inc. published this content on 16 November 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 20 November 2023 05:25:09 UTC.