Bandai Namco has released its financial report for the 2022-2023 financial year
Net sales for the year stood at 990,089 million yen ($7.378 billion), representing an 11.3% increase from 889,270 million yen ($6.627 billion) the previous year. This indicates that the company managed to avoid the industry-wide contraction many companies throughout the games space experienced following the easing of lockdown restrictions. However, a closer examination of the report suggests more mixed results.
Despite the rise in net sales, operating profit fell 7.2% year-on-year, standing at 116,472 million ($868 million) compared to 125,496 million ($935 million) in the 2021-2022 financial year.
Although Bandai Namco doesn’t specifically delve into the success of its mobile games in its financial reports, network content (which incorporates both mobile games and several of the company’s PC titles) generated 185.5 billion yen ($1.4 billion). In contrast, home video games (incorporating other platforms such as consoles) generated 174.4 billion yen ($1.3 billion).
The company’s digital entertainment division, which incorporates home video games including mobile, accounted for 385,681 million yen ($2.9 billion) in net sales, representing a 2% increase from the previous financial year. This makes it Bandai Namco’s second most profitable division, following toys and hobbies.
Despite a slight increase in net sales, digital entertainment saw a 29.1% fall in operating profit, which stood at 49,339 million yen ($367.7 million).
Bandai Namco is forecasting net sales totalling 390,000 million yen ($2.9 billion) in the 2023-2024 financial year from its entertainment division, representing a 1.5% increase from the previous period.
Operating profit is also forecast to rise 17.6% to 58,000 million yen ($432.2 million), highlighting Bandai Namco’s confidence that it can successfully navigate an ever-changing financial market.
Last month, Bandai Namco and DENA announced plans to release Takt Op Symphony in the West.