Results in FY2018.3

Results in FY2018.3
billion yen
FY2016.3
results

FY2017.3
results

FY2018.3
results

Vs. previous
year’s results

Net Sales

575.5

620.0

678.3

+58.3

Operating Profit

49.6

63.2

75.0

+11.8

Recurring Profit

50.7

63.2

75.3

+12.1

Profit Attributable toOwners of Parent

34.5

44.1

54.1

+10.0

Capital Investments

21.3

19.5

54.8

+35.3

Depreciation

21.6

21.8

23.5

+1.7

Game content
R&D investments

54.5

59.0

70.9

+11.9

Advertising Expenses

37.7

39.3

39.7

+0.4

Personnel Expenses

50.4

53.6

56.5

+2.9

Results by Segment
billion yen
FY2017.3
results
Toys and Hobby

NetworkEntertainment
Visual and Music
production
Other
Elimination andCorporate
Consolidated

FY2018.3
forecast(as of February2018)

FY2018.3
results

Vs.
previousyear’s
results

Vs.
previous
forecast

Segment sales

218.0

215.0

222.4

+4.4+7.4

Segment profit

13.3

15.0

14.4

+1.1

-0.6

Segment sales

355.5

380.0

405.9

+50.4

+25.9

Segment profit

42.0

36.0

52.3

+10.3

+16.3

Segment sales

56.2

50.0

56.0

-0.2

+6.0

Segment profit

13.4

12.0

12.5

-0.9

+0.5Segment sales

26.7

30.0

27.6+0.9-2.4

Segment profit

0.7

1.0

0.7±0-0.3

Segment sales-36.7-45.0-33.7+3.0+11.3

Segment profit-6.2-7.0-5.1+1.1+1.9

Net sales

620.0

630.0

678.3

+58.3+48.3

Operating profit

63.2

57.0

75.0+11.8+18.0

Results by Segment (Vs. Previous Forecast)
Toys and Hobby
billion yen

Segment sales+7.4

Segment profit-0.6Japan and Asia: Strong performance of established IP products andproducts for the mature fan base, among others
Europe and the Americas: Profitability at a level below forecast

Network Entertainment
Segment sales+25.9

Segment profit+16.3

Home video games: Solid sales of new and third-party titles
as well as robust repeat sales
Network content: Strong performance of Dragon Ball Z Dokkan Battleworldwide

Visual and Music Production
Segment sales+6.0

Segment profit+0.5

Steady performance of sales associated with live events for mainstay IP

Results by Segment (Vs. Previous Year)
Toys and Hobby
billion yen

Segment sales+4.4

Segment profit+1.1

Japan and Asia: Favorable performance of mainstay IP products andproducts for the mature fan base, among others
Europe and the Americas: Start of new initiatives for card games, etc.

Network Entertainment
Segment sales+50.4

Segment profit+10.3

Network content: Continued steady performance of mainstay titles
Home video games: Healthy sales of new titles and repeat sales
Amusement: Steady performance of existing facilities in Japan
Upfront costs associated with VR (facilities and machines)

Visual and Music Production
Segment sales-0.2

Segment profit-0.9

Despite continued popularity of mainstay IP, an impact was felt from therelease of key products at different times

FY2018.3 Dividend
End of second
quarter

FY2017.3Year-end

Total

FY2018.3 Dividend¥12¥111¥123

FY2018.3 Forecast(as of February 2018)

¥12

¥83

¥95

FY2017.3 Dividend

¥12

¥70

¥82

Dividend

Aim for a total dividend payout ratio of 50% or more
based on a stable divided of DOE 2%Interim dividend: ¥12Year-end dividend: ¥111(base dividend: ¥20; performance-based dividend: ¥66; special dividend ¥25)
→Annually ¥123 per share(base dividend: ¥32; performance-based dividend: ¥66; special dividend ¥25)

FY2019.3 PlanFY2019.3 Planbillion yen
FY2018.3
First half

FY2019.3

Full-year

First-half plan

Full-year plan

Net Sales

308.8

678.3

306.0

650.0

Operating Profit

34.9

75.0

29.0

60.0

Recurring Profit

35.6

75.3

29.5

61.0

Profit Attributable toOwners of Parent

28.1

54.1

22.0

43.0

Capital Investments

44.6

54.8

10.5

22.0

Depreciation

10.5

23.5

11.0

24.0

Advertising Expenses

16.7

39.7

18.0

42.0

Personnel Expenses

26.8

56.5

26.0

54.5

FY2019.3 Plan by Segment
FY2018.3

billion yen
Toys and Hobby
Network Entertainment
Real Entertainment
Visual and Music
ProductionIP Creation
Other
Elimination andCorporate
Consolidated

First half

FY2019.3 Plan

Full-year

First-halfplan

Full-year
plan

Segment sales

98.1

222.4

110.0

230.0

Segment profit

5.5

14.4

7.0

15.0

Segment sales

150.9

326.5

140.0

300.0

Segment profit

24.1

50.1

17.0

35.0

Segment sales

44.6

90.5

46.0

100.0

Segment profit

2.1

3.1

2.0

3.5

Segment sales

16.3

40.6

19.0

40.0

Segment profit

2.6

6.6

3.0

6.0

Segment sales

6.8

16.9

7.0

15.0

Segment profit

2.4

5.2

2.0

4.5

Segment sales

12.8

27.615.0

30.0

Segment profit

0.2

0.7

0.5

1.0

Segment sales

-21.0

-46.4

-31.0

-65.0

Segment profit

-2.1

-5.4

-2.5

-5.0

Net sales

308.8

678.3

306.0

650.0

Operating profit

34.9

75.0

29.0

60.0

FY2019.3 Plan by Segment
Toys and Hobby
Japan and Asia: Strengthen established IP products and products for the mature fan base
Europe and the Americas: Enhance efficiency with the aim of improving profits

Network Entertainment
Network content: Increase number of new titles for apps, begin operation of new platforms
Home video games: Formulate plans based on the potential of each individual title

Real Entertainment
Facilities: Strengthen existing facilities in Japan, promote the opening of stores such as
new enterprises
Amusement machines: Introduce new products for popular series

Visual and Music Production
Expand visual content, music, and live events associated with mainstay IPs

IP Creation
Despite continue popularity of mainstay IP, declines in license revenue expectedOutline of the Mid-term Plan
Corporate
Philosophy

Dreams, Fun and Inspiration
The Leading Innovator in Global EntertainmentMid-termVision

MainStrategies

IP axisstrategy

Accelerate evolution in IP axis strategy

Businessstrategy

Empower push into new entertainment

RegionstrategyGain momentum with ALL BANDAI NAMCO

Personnel
strategy

Make personnel the core of the Group

Boost capability to create IP (structural changes)

Establish and enhance business
infrastructure

Make full-blown entry
into Chinese market

Invest aggressively in IP creation

Expand and strengthen businessfieldsPromote incubation

Establish system for ALL BANDAI NAMCO

Establish environment to optimize employees’ performance by tapping their individual strengths,
and to empower new ventures

Trends by Business

Trends by BusinessStable popularity of mainstay IPs

Toys and Hobby

Strengthening of new IPs

KAMEN RIDER PRETTY CURE!
Start ofUltraman R/B series
DRAGON BALL

Favorable performanceof plastic models forGundam Build Divers

Expand business aimed
at the mature fan baseFull-scale start ofBANDAI SPIRITS CO., LTD.

Solid start for card games inNorth America

Trends by BusinessNetwork Entertainment

Network Content
Continuous expansion oftitles worldwide

Start of new platforms+ New apps
Home Video Games
Release of numerous titles worldwide, active response to new platforms【For the Nintendo Switch】
TAIKO: DRUM MASTER Nintendo Switch Version!
Pro Yakyuu Famista Evolution
MY HERO ONE’S JUSTICE, etc.

Soulcalibur VI

CODE VEIN

Trends by Business

Real Entertainment

Providing Areas and Content Unique to BANDAI NAMCO
Promote the opening of new enterprises

Introduce new activities at VR ZONE

Variety sports facility “VS PARK”

Launch of well-known titles on new devices
Positive turnout for
DRAGON QUEST VR

Trends by Business

Visual and Music Production

Producing IP for Visual Content, Music, and Live Events
Maximize IP value through collaboration with works of art, etc.

Actively expand theatrical and live events both in Japan and overseas

Trends by BusinessIP Creation

Strengthening New IP Creation
Maximize IP value throughGroupwide collaboration(with toys, games, etc.)

Strengthen IP creation through measures
including strategic investment

Increase recognition of IP overseas
Appearance of GUNDAM
in Hollywood movies!
Ready Player One
Pacific Rim: UprisingMid-term VisionNote on Projections
This document contains forward-looking statements and information related to the BANDAI NAMCO
Group that are based on our knowledge as well as various assumptions made on the basis ofinformation currently available. The words “forecast,” “plan,” “target,” “estimation,” “projection,”“intend,” “will” and similar expressions, as related to the Group, are intended to identify forwardlooking statements and information. Actual results could differ materially from those projected in suchforward-looking statements.

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