Bandai Namco announced its financial results for the full fiscal year, related to the period between April 1, 2022, and March 31, 2023.
Net sales for the whole company were 990,089 million yen, up 11.3% year-on-year, while operating profit was 116,472 million yen, down 7.2% year-on-year.
Looking at the Digital Business, which includes games, sales were 385,681 million yen (up 2.0% year-on-year), and segment profit was 49,339 million yen (down 29.1％ year-on-year).
Repeat sales of existing titles released in previous fiscal years like Elden Ring were strong, especially outside of Japan. The game has passed 20.5 million units shipped. Sales of multiple small and medium new titles released this fiscal year in the home video game business were solid. Mobile games tied to the Dragon Ball and One Piece series also performed well.
Profitability was negatively affected by differences in the home video game lineup compared to the previous year. On top of that, the company recorded 13 billion yen in write-downs related to certain work-in-progress projects as a result of a more rigorous review of their development status and business plans with the aim of providing games that emphasize quality in light of the increasingly competitive market both in Japan and abroad.
This usually means that games have been canceled, delayed, or otherwise re-evaluated, but no information was provided on which titles were affected and how.
The company is aiming to expand its overseas business. In fiscal year 2022, sales outside of Japan were 28.5% of the total. The aim for the current fiscal year is to reach 35%, but the ultimate target for the future is to reach a fifty-fifty share between overseas and Japan.
In the Digital Business specifically, Bandai Namco is aiming to upgrade its development capabilities to create high-quality content that can be enjoyed for a long time. This involves strengthening quality control on development studios in both Japan and overseas, and leveraging the strengths and areas of expertise of each studio.
If you'd like to compare the results with historical data, you can check out our article dedicated to the first nine months of the fiscal year following Bandai Namco's announcement in February.