Consolidated Financial Report for the Fiscal Year Ended
March 31, 2021

May 11, 2021

DISCLAIMER- BANDAI NAMCO Holdings Inc. provides this translation for your reference and convenience only and without any
warranty as to its accuracy or otherwise. In the event of any discrepancy, the original “Kessan Tanshin” in Japanese
shall prevail.
- This document contains forward-looking statements that are based on management’s estimates, assumptions andprojections at the time of publication. A number of factors could cause actual results to differ materially fromexpectations.

Stock Listing: Tokyo Stock Exchange
Code Number: 7832
(URL: https://www.bandainamco.co.jp/)
May 11, 2021

Consolidated Financial Report for the Fiscal Year Ended March 31, 2021 (Japanese GAAP)
Representative:
Masaru Kawaguchi, President and Representative Director
Contact:
Yuji Asako, Director, Division General Manager of the Corporate Planning Division
Date of Ordinary General Meeting of Shareholders:June 21, 2021
Scheduled starting date for dividend payments:
June 22, 2021
Scheduled filing date of the annual security report:
June 21, 2021
The Financial Highlights of the Financial Results:
Yes
The information session of the Financial Results:
Yes (for institutional investors and analysts)* Figures are in millions of yen, rounded down
1. Consolidated Results for the Fiscal Year Ended March 31, 2021 (April 1, 2020 to March 31, 2021)(1) Consolidated Operating Results

Fiscal Year Ended
March 31, 2021
Fiscal Year Ended
March 31, 2020

Net sales¥ million
740,903%
2.3

723,989(1.1)

Profit attributable toowners of parent¥ million%
48,894(15.2)(Percentages indicate year-on-year changes.)
Operating profit
Recurring profit¥ million%¥ million%
84,654
7.5
87,612
9.8
78,775(6.3)

Basic earnings per share

79,797(8.1)

Diluted earnings per share¥
Fiscal Year Ended
222.58March 31, 2021
Fiscal Year Ended
57,665(9.0)
262.39March 31, 2020
(Note) Comprehensive income: 90,527 million yen [69.8%] (FY2021.3), 53,312 million yen [(23.8)%] (FY2020.3)
ROE(Profit attributable toowners of parent / Net
assets)ROA(Recurring profit /Total assets)¥––

Operating margin(Operating profit /Net sales)%%%
Fiscal Year Ended
10.2
13.0
11.4
March 31, 2021
Fiscal Year Ended
13.1
12.9
10.9
March 31, 2020
(Reference) Share of profit (loss) of entities accounted for using equity method: (31) million yen (FY2021.3), (182) million yen(FY2020.3)

(2) Consolidated Financial Position
Total assets

Net assets

Net assets
per share

Equity ratio¥ million¥ million%
As of March 31, 2021
732,782
511,433
69.7
As of March 31, 2020
619,819454,684
72.5(Reference) Equity: 510,515 million yen (as of March 31, 2021), 449,292 million yen (as of March 31, 2020)¥
2,323.98
2,045.25(3) Consolidated Statements of Cash Flows

Fiscal Year Ended
March 31, 2021
Fiscal Year Ended
March 31, 2020

Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities¥ million
60,483¥ million(29,771)¥ million(19,037)

Cash and cash
equivalents at endof period¥ million
203,698

43,131(23,067)(35,258)

188,667

2. Cash Dividends
End offirstquarter¥–

Annual cash dividends
End of
End ofFiscalsecondthird
year-endquarterquarter
¥
¥
¥
20.00
–
112.00

Total

Total
Payout ratio
Dividend /dividend(Consolidated) Net assets
payment(Consolidated)(Full year)¥ million%%
29,03450.3
6.6¥
Fiscal Year Ended
132.00March 31, 2020
Fiscal Year Ended
–
21.00
–
91.00
112.0024,64050.3
5.1
March 31, 2021
Fiscal Year Ending
–
24.00
–
24.00
48.00
–
March 31, 2022
(Projections)(Note) Concerning the projected amounts of the end of second quarter and year-end cash dividends for the fiscal year ending March
31, 2022, the base dividend is stated based on the Company’s basic policy on the distribution of profits. The year-end cash
dividend for the fiscal year ending March 31, 2022, will be considered by the Company based on the basic policy on the
distribution of profits.
3. Consolidated Projections for the Fiscal Year Ending March 31, 2022 (April 1, 2021 to March 31, 2022)(Percentages indicate year-on-year changes.)
Net sales
OperatingRecurring
Profit attributable
Basic earnings
profitprofitto owners
per shareof parent¥ million% ¥ million% ¥ million% ¥ million%¥
Six Months Ending
350,000
3.8
35,000 (23.8)
35,500 (24.8)
25,000 (21.2)
113.81
September 30, 2021
Full Fiscal Year
750,000
1.2
75,000 (11.4)
76,000 (13.3)
52,0006.4
236.72* Notes(1) Changes in Significant Subsidiaries during the Period(Changes in Specified Subsidiaries Resulting in the Change in Scope of Consolidation): Yes
Included: 1 company (Reflector Entertainment Ltd.)(2) Changes in Accounting Policies, Changes in Accounting Estimation and Restatementa) Changes in accounting policies due to revisions to accounting standards and other regulations: Nob) Changes in accounting policies due to other reasons: Noc) Changes in accounting estimation: Nod) Restatement: No

(3) Number of Issued Shares (Common Stock)a) Total number of issued shares at the end of the period (including treasury stock)
As of March 31, 2021
222,000,000 shares
As of March 31, 2020
222,000,000 sharesb) Number of shares of treasury stock at the end of the period
As of March 31, 2021
2,326,752 shares
As of March 31, 2020
2,324,320 sharesc) Average number of shares during the period
For the Fiscal Year Ended March 31, 2021
219,670,097 shares
For the Fiscal Year Ended March 31, 2020
219,770,515 shares(Reference) Non-consolidated Information
1. Non-consolidated Results for the Fiscal Year Ended March 31, 2021 (April 1, 2020 to March 31, 2021)(1) Non-consolidated Operating Results

Fiscal Year Ended
March 31, 2021
Fiscal Year Ended
March 31, 2020

Fiscal Year Ended
March 31, 2021
Fiscal Year Ended
March 31, 2020

Operating revenue¥ million%
116,975
260.8(Percentages indicate year-on-year changes.)
Operating profit
Recurring profit¥ million%¥ million%
110,761314.1
111,194303.5

32,41926.6

26,747

29.7

Profit¥ million
109,865%304.3¥
499.42

Diluted earnings per share¥–

27,17728.3

123.56–

Basic earnings per share

27,55429.1(2) Non-consolidated Financial Position
Total assets

Net assets

Equity ratio¥ million¥ million%
529,866
360,694
68.1
As of March 31, 2020
414,488245,921
59.3(Reference) Equity: 360,694 million yen (as of March 31, 2021), 245,921 million yen (as of March 31, 2020)
As of March 31, 2021

Net assets
per share¥
1,639.51
1,118.04

2. Non-consolidated Projections for the Fiscal Year Ending March 31, 2022 (April 1, 2021 to March 31, 2022)(Percentages indicate year-on-year changes.)
Operating revenue
Recurring profit
ProfitBasic earnings
per share¥ million% ¥ million% ¥ million%¥
Full Fiscal Year
42,000(64.1)
32,000(71.2)
32,000(70.9)
145.45* Consolidated Financial Reports are not required to be audited by certified public accountants or an audit firm.
* Explanation on appropriate use of the projections of business results, etc.
- Forward-Looking Statements:
This document contains forward-looking statements that are based on management’s estimates, assumptions and projections at the timeof publication and those forward-looking statements do not purport to be a promise by the Company to achieve such results. A numberof factors could cause actual results to differ materially from expectations. Please refer to the section of “(4) Future Outlook” of “1.
Overview of Operating Results and Others” on page 4 of the attached material for matters pertaining to the earnings projections.
- To Obtain Financial Highlights:
The Financial Highlights will be posted on the Company’s website on May 11, 2021

Attached Material
Index
1. Overview of Operating Results and Others ....................................................................................... 2(1) Overview of Operating Results for the Period (April 1, 2020 to March 31, 2021) ............................................................ 2(2) Overview of Financial Position for the Period ................................................................................................................... 3(3) Overview of Cash Flows for the Period ............................................................................................................................. 3(4) Future Outlook ................................................................................................................................................................... 4(5) Basic Policy on the Distribution of Profits ......................................................................................................................... 5

2. Basic Concept Regarding Selection of Accounting Standards .......................................................... 6
3. Consolidated Financial Statements and Significant Notes ................................................................ 7(1) Consolidated Balance Sheets .............................................................................................................................................. 7(2) Consolidated Statements of Operations and Consolidated Statements of Comprehensive Income ................................... 9(Consolidated Statements of Operations) ........................................................................................................................... 9(Consolidated Statements of Comprehensive Income)..................................................................................................... 10(3) Consolidated Statements of Changes in Net Assets ......................................................................................................... 11(4) Consolidated Statements of Cash Flows .......................................................................................................................... 15(5) Notes to Consolidated Financial Statements .................................................................................................................... 17(Notes on Premise of Going Concern) ............................................................................................................................. 17(Segment Information) ..................................................................................................................................................... 17(Per-Share Data) ............................................................................................................................................................... 22(Significant Subsequent Events) ...................................................................................................................................... 23

4. Other .................................................................................................................................................... 25
Changes in Directors and Audit & Supervisory Board Members ........................................................................................... 25-1-

1. Overview of Operating Results and Others(1) Overview of Operating Results for the Period (April 1, 2020 to March 31, 2021)
During the fiscal year ended March 31, 2021, the spread of the novel coronavirus disease (COVID-19) continued to havea significant impact on the overall economy and consumer activity in Japan and overseas. As part of our response against the
spread of COVID-19, the BANDAI NAMCO Group (“the Group”) has been giving the highest priority to the safety of ourvarious stakeholders, including employees and their families and our customers, while implementing measures to preventthe spread of infection. We also promoted various measures to adapt to changes in lifestyles and preferences of customers
such as by strengthening the sales and marketing that utilize digital strategies. In accordance with our three-year Mid-term
Plan started in April 2018, in which we set forth the Mid-term Vision of “CHANGE for the NEXT: Empower, Gain
Momentum, and Accelerate Evolution,” we have also been taking advantage of the worldview and unique characteristics of
IP (Intellectual Property: meaning characters and other intellectual property) to further evolve the “IP axis strategy” that aims
to maximize IP value through the provision of the optimal products and services at the optimal possible times. The measures
also include an initiative to strengthen development in regions and businesses with high growth potential and an initiative torealize the total capabilities of the Group in regions around the world under the ALL BANDAI NAMCO concept.
During the fiscal year ended March 31, 2021, although each business was impacted by the spread of COVID-19, the Toysand Hobby Business saw increased popularity for products for the mature fan base in Japan and overseas and products
utilizing new IP while the Network Entertainment Business enjoyed favorable performance of key titles in network content
and strong repeat sales of home video game titles. The wide-ranging business portfolio has produced successful outcomes
across the Group.
Consequently, the Group’s consolidated results for the fiscal year ended March 31, 2021 were net sales of 740,903 million
yen (year-on-year increase of 2.3%), operating profit of 84,654 million yen (year-on-year increase of 7.5%), recurring profitof 87,612 million yen (year-on-year increase of 9.8%), and profit attributable to owners of parent of 48,894 million yen (yearon-year decrease of 15.2%).
Operating results by segment are as follows.
Effective from the fiscal year ended March 31, 2021, the Group changed the classification of part of its reportablesegments. Consequently, in the following year-on-year comparisons, the figures for the previous fiscal year have been
restated into the figures for the classifications after the change.
Toys and Hobby Business
As for the Toys and Hobby Business, in Japan, products for the mature fan base such as plastic models of the Mobile Suit
Gundam series and collectible figures performed favorably due to the successful outcomes produced by sales, marketing, etc.
that utilize digital strategies. There was a gain in popularity for long-established IP products such as the KAMEN RIDER
series, as well as for new IP toys and peripheral products such as confectionery. Overseas, while business was affected by
the temporary closures of retail stores, products such as those for the mature fan base performed stably, primarily in the Asian
region.
As a result, net sales in the Toys and Hobby Business were 296,016 million yen (year-on-year increase of 16.7%), andsegment profit was 38,220 million yen (year-on-year increase of 43.0%).
Network Entertainment Business
As for the Network Entertainment Business, in network content, key titles being distributed worldwide such as the
DRAGON BALL series and ONE PIECE, and key titles in Japan such as The iDOLM@STER series, continued to perform
favorably due to ongoing measures targeting users. In home video games, in addition to the new titles such as Little
Nightmares II, repeat sales of existing titles such as the DRAGON BALL series, TEKKEN 7, and the DARK SOULS series
enjoyed popularity, primarily overseas, due to ongoing measures targeting users and increased demand for digital sales.
As a result, net sales in the Network Entertainment Business were 344,150 million yen (year-on-year increase of 4.9%),and segment profit was 57,356 million yen (year-on-year increase of 30.7%).
Real Entertainment Business
As for the Real Entertainment Business, the temporary closures of amusement facilities, etc. in Japan and overseas inresponse to the spread of COVID-19 had a significant impact on facilities operations and the sale of amusement machines.
On the other hand, in response to these changes in the business environment, we promoted initiatives that only BANDAI
NAMCO can offer, such as offering claw crane games that can be played online and strengthening the use of Group products
and services. In addition to recording the fixed costs incurred during the temporary closures of facilities, etc. in response to-2-the official requests from the national and local governments as loss on temporary store closures and other related to COVID19, the Company recorded expenses associated with the business structure reform of 11.7 billion yen as loss on impairmentof fixed assets, etc. under extraordinary loss.
As a result, net sales in the Real Entertainment Business were 63,923 million yen (year-on-year decrease of 30.3%), andsegment loss was 8,379 million yen (segment loss for the previous fiscal year was 1,502 million yen).

Visual and Music Production Business
As for the Visual and Music Production Business, although IP related visual and music package software, among others,
including the LoveLive! series and The iDOLM@STER series, continued to be sold, live events were canceled due to the
spread of COVID-19, and releases of visual and music products and the launch of their package software titles were
postponed due to delays in production schedules, among other reasons, which impacted business performance. On the other
hand, in response to these changes in the business environment, we streamed live events without spectators and carried out
other new initiatives for live events suited to these environmental changes.
As a result, net sales in the Visual and Music Production Business were 28,089 million yen (year-on-year decrease of
40.2%), and segment profit was 969 million yen (year-on-year decrease of 87.9%).
IP Creation Business
As for the IP Creation Business, we stirred up public attention by producing video works such as the Mobile Suit Gundam
series and the LoveLive! series, and disseminating information on IP from GUNDAM FACTORY YOKOHAMA, leading tothose series gaining popularity. In addition, because SOTSU CO., LTD., which became a consolidated subsidiary of theCompany in the previous fiscal year, belonged to this business unit in the first quarter of the fiscal year ended March 31,
2021, goodwill was amortized despite recording the revenue of said company.
As a result, net sales in the IP Creation Business were 28,213 million yen (year-on-year increase of 20.1%), and segment
profit was 2,740 million yen (year-on-year decrease of 56.3%).
Other Businesses
Other Businesses consist of companies that conduct businesses such as logistics support, printing, and other kinds ofadministration and operational support for each of the Group companies. We have been making efforts to manage suchoperations related to group support in an efficient manner.
As a result, net sales in the Other Businesses were 34,088 million yen (year-on-year increase of 9.8%), and segment profit
was 1,445 million yen (year-on-year increase of 7.4%).
(2) Overview of Financial Position for the Period
At the end of the fiscal year ended March 31, 2021, total assets stood at 732,782 million yen, an increase of 112,962
million yen from the end of the previous fiscal year. The main factors were increases of 54,755 million yen in investment
securities, 22,717 million yen in work in process, and 14,470 million yen in cash and time deposits.
Total liabilities amounted to 221,348 million yen, an increase of 56,213 million yen from the end of the previous fiscal
year. The main factors were increases of 20,062 million yen in long-term borrowings and 12,305 million yen in trade payables.
Total net assets stood at 511,433 million yen, an increase of 56,749 million yen from the end of the previous fiscal year.
The main factors were increases of 19,787 million yen in retained earnings mainly due to the recording of 48,894 million
yen in profit attributable to owners of parent despite cash dividends paid of 29,220 million yen, and 34,749 million yen invaluation difference on available-for-sale securities, net of tax.
As a result, the equity ratio became 69.7% compared with 72.5% at the end of the previous fiscal year.
(3) Overview of Cash Flows for the Period
As of the end of the fiscal year, cash and cash equivalents (“funds”) remaining on hand increased by 15,031 million yen
from the end of the previous fiscal year to 203,698 million yen. Below is the breakdown of cash flows by activities.
(Cash Flows from Operating Activities)
The amount of funds provided by operating activities totaled 60,483 million yen (year-on-year increase of 40.2%). As a
breakdown of funds used, income taxes paid was 34,714 million yen (compared with 36,079 million yen in the previous
fiscal year). However, overall, there was a net increase in funds due to profit before income taxes of 71,940 million yen-3-

(compared with 78,753 million yen in the previous fiscal year) and depreciation and amortization of 24,684 million yen(compared with 23,239 million yen in the previous fiscal year).
(Cash Flows from Investing Activities)
The amount of funds used in investing activities totaled 29,771 million yen (year-on-year increase of 29.1%). The main
breakdown of funds used was purchases of property, plant and equipment and intangible assets totaling 23,849 million yen(compared with 22,629 million yen in the previous fiscal year).
(Cash Flows from Financing Activities)
The amount of funds used in financing activities totaled 19,037 million yen (year-on-year decrease of 46.0%). The main
breakdown of funds used was cash dividends paid of 29,220 million yen (compared with 32,328 million yen in the previous
fiscal year).
(Reference) Cash Flow Indices
FY2017.3

FY2018.3

FY2019.3

FY2020.3

FY2021.3

Equity ratio (%)

71.3

71.5

70.0

72.5

69.7

Equity ratio (market capitalization basis) (%)

149.9

142.1

186.1

185.8

236.6

0.0

0.0

0.0

0.1

0.5

1,718.0

1,468.2

2,180.5

345.8

296.0

Cash flows to interest bearing debt ratio(years)Interest coverage ratio (times)

Equity ratio: Total stockholders’ equity/Total assets
Equity ratio (market capitalization basis): Market capitalization/Total assets
Cash flows to interest bearing debt ratio: Interest-bearing debt/Cash flow
Interest coverage ratio: Cash flow/Interest expenses
Note 1: All calculations are performed using consolidated financial figures.
Note 2: Market capitalization is calculated on the basis of the number of issued shares excluding treasury stock.
Note 3: Operating cash flow is used for cash flow.
Note 4: Interest-bearing debt covers all debt reported in the consolidated balance sheets for which interest is paid.
(4) Future Outlook
Looking ahead, the Group expects uncertainty to continue in countries around the world due to the impact of the spreadof COVID-19 on society, the overall economy, people’s daily lives and consumption. Furthermore, we expect the changes
occurring in the market environment and in user preferences to become more extreme.
Under these circumstances, the Group will continue carrying out initiatives to prevent the spread of COVID-19, giving
the highest priority to the safety of our stakeholders, including employees and their families, and customers. Moreover, as amember of society, we wish to respond to the requests and expectation from society and our customers under our Group’s
mission to offer “Dreams, Fun and Inspiration” to people around the world through products and services. On the business
front, the Group is working to minimize the impact that the spread of COVID-19 is having on society, the overall economy,
people’s daily lives and consumption, and the impact from the change in the market environment and user preferences, bycontinuing to collect information and take flexible countermeasures.
1) Change in the time for starting the next Mid-term Plan
The Company has changed its plan to start the next three-year Mid-term Plan in the fiscal year ending March 2022
(April 2021), instead deciding to start the next Mid-term Plan in the fiscal year ending March 2023 (April 2022). Thiswas because the Company determined that it was necessary to formulate the next Mid-term Plan that will serve as
BANDAI NAMCO’s new strategy to compete in this new era in light of the changes in the environment and the results
and challenges of the current Mid-term Plan as customers’ lifestyles and values are expected to change significantly. The
Company has positioned the fiscal year ending March 31, 2022 as a period for formulating the next Mid-term Plan anddeveloping the business foundation and organizational structure to pursue its strategies.

-4-2) Reorganization of the Group structure
The Group reorganized its structure in April 2021 from its previous five Unit structure to a three Unit structure aheadof the start of the next Mid-term Plan from April 2022.
<Details of the reorganization>•
The Toys and Hobby Unit and Network Entertainment Unit have been combined to form the Entertainment Unit.
BANDAI NAMCO Entertainment Inc. has become responsible for the Digital Business (network content, home
video games, etc.) and BANDAI CO., LTD. has become responsible for the Toys and Hobby Business (toys,
plastic models, etc.) as the respective business management companies, and both companies are now responsible
for the overall Entertainment Unit in coordination with each other.
•
The Visual and Music Production Unit and the IP Creation Unit have been combined to form the IP Production
Unit. BANDAI NAMCO Arts Inc. has become responsible for the Visual and Music Business (visual and music
content, live entertainment, etc.) and SUNRISE INC. has become responsible for the Creation Business(animation production, etc.) as the respective business management companies, and both companies are now
responsible for the overall IP Production Unit in coordination with each other.
•
The Real Entertainment Unit has changed its name to the Amusement Unit. BANDAI NAMCO Amusement Inc.
has become responsible for the Amusement Unit as a business management company.
<Purposes of the reorganization>•
Through the combination of the Digital Business and the Toys and Hobby Business, the Entertainment Unit will
promote closer coordination of business activities centered around the IP axis and cooperation and expansion thatmutually utilize a wide range of outputs, while enhancing the creation of entertainment and strengthening thedigital transformation corresponding to customers’ new sense of value. With these changes, the Company aims
to increase competitiveness in global markets.
•
The IP Production Unit will consolidate the studio and production function that creates IP, in order to strengthen
the more diverse capabilities to create IP which enables it to produce a synergy effect through collaboration not
only within the Unit but also with various businesses of the Group and external partners.
•
The Amusement Unit will select and focus on the strengths unique to BANDAI NAMCO in such ways as utilizing
IP and the Group’s resources, and work to build a strong business foundation to generate earnings stably under amore unified framework for collaborating with the Group’s other businesses.
For the fiscal year ending March 31, 2022, the Group will accelerate the integration and cooperation more than before
for all businesses worldwide under the ALL BANDAI NAMCO concept to prepare the business foundation andorganizational structure for the next Mid-term Plan and sustainable growth in the medium to long term. In addition, theGroup will strengthen the creation of new IP and development of existing IP, further expand the IP axis strategy utilizing
the Group’s wide range of businesses and promote business development in global markets.
In light of the implementation of these measures, the consolidated projections of the fiscal year ending March 31,
2022 are as follows: net sales of 750,000 million yen (year-on-year increase of 1.2%), operating profit of 75,000 million
yen (year-on-year decrease of 11.4%), recurring profit of 76,000 million yen (year-on-year decrease of 13.3%), and profit
attributable to owners of parent of 52,000 million yen (year-on-year increase of 6.4%).
*For your reference, we are experiencing or expect to experience the following impacts on business operations from the
spread of COVID-19.
•
Impact on consumption due to factors including the closure of sales outlets•
Postponement or cancellation of events and an associated impact on promotion•
Impact on the development schedule of products•
Impact on the production schedule of the Group’s factories and other cooperating factories•
Impact on the development schedule of home video games and network content and on operation systems•
Impact from the closure of amusement facilities•
Impact on the schedules or releases of visual productions and package launch scheduled(5) Basic Policy on the Distribution of Profits
The Company ranks the return of profits to shareholders as one of its highest priorities in its management. The Company
aims to further strengthen the Group’s competitiveness and, while maintaining a sound financial status, to achieve regular
distributions of dividends and improvement in the Company’s corporate value. Specifically, the Company follows a basic-5-policy of providing a return to shareholders that targets a total return ratio of 50% or more based on stable dividend payments
of 2% of DOE (dividends on equity). Under this policy, the Company strives to maintain long-term and stable dividends andbe more aware of capital cost.
For the year-end dividend for the fiscal year ended March 31, 2021, based on this basic policy and the performance inthe fiscal year, a performance-based dividend of 70 yen will be added to a base dividend of 21 yen, for a total of 91 yen per
share. Since the Company paid an interim dividend of 21 yen per share on December 7, 2020, the annual cash dividend willbe 112 yen per share (total return ratio of 50.3%). The Company’s annual dividend forecast for the fiscal year ending March
31, 2022 is 48 yen per share, which is the base dividend set in accordance with the Company’s basic policy on the distributionof profits. The year-end cash dividend for the fiscal year ending March 31, 2022 will be considered by the Company basedon the basic policy on the distribution of profits.

Basic Concept Regarding Selection of Accounting Standards

2.

The Group plans to continue using Japanese GAAP to prepare its consolidated financial statements for the time being, as
they facilitate comparison with previous consolidated financial statements and with other companies.
The Group’s policy on applying International Financial Reporting Standards is to take action as appropriate based on
considerations of various conditions in Japan and overseas.

-6-

3.

Consolidated Financial Statements and Significant Notes(1) Consolidated Balance Sheets(¥ million)
Prior Fiscal Year

Current Fiscal Year(As of March 31, 2020)(As of March 31, 2021)

AssetsCurrent assets
Cash and time deposits

189,856

204,326

Trade receivables

83,754

91,765

Finished goods and merchandise

22,282

28,994Work in process

51,09873,816

Raw materials and supplies

3,409

4,075

Other current assets

34,65853,872

Allowance for doubtful receivables(1,398)(1,639)Total current assets

383,662455,210

Fixed assets
Property, plant and equipment
Buildings and structures

33,076

38,643

Accumulated depreciation(17,676)(19,970)

Buildings and structures, net

15,39918,672

Amusement facilities and machines

72,03060,675

Accumulated depreciation(55,949)(54,761)

Amusement facilities and machines, net

16,081

5,914

43,15643,047Land
Other property, plant and equipment

133,875

139,509(111,606)(118,801)

22,26920,707

96,906

88,341

Goodwill

15,704

17,069Other intangible assets

11,71815,944

Total intangible assets

27,42333,014

Investment securities

66,453

121,208

Deferred tax assets

27,313

16,310

Accumulated depreciation
Other property, plant and equipment, net
Total property, plant and equipment
Intangible assets

Investments and other assets

Net defined benefit asset

223

407

18,27018,707

Allowance for doubtful receivables

(432)

(418)

Total investments and other assets

111,827

156,215

236,157

277,571

619,819732,782

Other investments and assets

Total fixed assets
Total assets-7-(¥ million)
Prior Fiscal Year

Current Fiscal Year(As of March 31, 2020)(As of March 31, 2021)

Liabilities
Current liabilities
Trade payables

70,16982,474

Provision for directors’ bonuses

1,891

1,646

Other provision

2,001

1,900

Other current liabilities

68,44489,898

Total current liabilities

142,506

175,920

Long-term borrowings

171

20,234

Other provision

238

301

9,840

7,212

Long-term liabilities

Net defined benefit liability
Deferred tax liabilities for land revaluation

249

199

Other long-term liabilities

12,12817,480Total long-term liabilities

22,62845,428165,135

221,348

10,00010,000Total liabilities
Net assets
Stockholders’ equity
Common stock
Capital surplus

52,00452,232Retained earnings

394,699

414,487

Treasury stock(3,634)(3,905)

Total stockholders’ equity

453,069

472,814

16,83751,587250

988

Revaluation reserve for land, net of tax(3,902)(4,016)

Foreign currency translation adjustments(12,321)(7,438)Remeasurements of defined benefit plans, net of tax(4,639)(3,419)Total accumulated other comprehensive income(3,776)37,701

Accumulated other comprehensive income
Valuation difference on available-for-sale securities, net oftax
Deferred gains or losses on hedges, net of tax

Non-controlling interests
Total net assets
Total liabilities and net assets

-8-

5,392

917

454,684

511,433

619,819732,782

(2) Consolidated Statements of Operations and Consolidated Statements of Comprehensive Income(Consolidated Statements of Operations)(¥ million)
Prior Fiscal Year
(From April 1, 2019
to March 31, 2020)

Current Fiscal Year
(From April 1, 2020
to March 31, 2021)

Net sales

723,989

740,903

Cost of sales

463,041

458,897

Gross profit

260,948

282,006

Selling, general and administrative expenses

182,172

197,352

Operating profit

78,77584,654Non-operating income
Interest income

692

311

Dividend income

821

1,234

Foreign exchange gains–

480

Gain on investments in deferred compensation plan–

384

Other non-operating income

947

1,058

Total non-operating income

2,461

3,470

124

229

Non-operating expenses
Interest expense
Foreign exchange losses
Other non-operating expenses
Total non-operating expenses
Recurring profit

1,008

–

306

283

1,440

512

79,797

87,612

1,931

464

Extraordinary income
Gain on sales of fixed assets
Gain on sales of investment securities

22

307

1,722

–

Subsidies for employment adjustment and other related to
COVID-19–

1,373

Other extraordinary income

881

Total extraordinary income

3,683

2,225

Gain on step acquisitions

Extraordinary loss
Loss on impairment of fixed assets

3,596

11,284

Loss on temporary store closures and other related to
COVID-19–

3,059

Loss on liquidation of business

–

1,754

Other extraordinary loss

1,131

1,799

Total extraordinary loss

4,728

17,897

Profit before income taxes

78,753

71,940

Income taxes - current

22,541

24,527

Income taxes - deferred(1,695)(1,452)

Total income taxes

20,84523,074

Profit57,90848,865

Profit (loss) attributable to non-controlling interests
Profit attributable to owners of parent

-9-

242

(28)

57,66548,894

(Consolidated Statements of Comprehensive Income)(¥ million)
Prior Fiscal Year
(From April 1, 2019
to March 31, 2020)
ProfitCurrent Fiscal Year
(From April 1, 2020
to March 31, 2021)

57,90848,865(3,101)

34,636244

736

Other comprehensive income
Valuation difference on available-for-sale securities, net oftax
Deferred gains or losses on hedges, net of tax
Revaluation reserve for land, net of tax

682–

Foreign currency translation adjustments(3,468)

4,892

Remeasurements of defined benefit plans, net of tax

1,065

1,220

Share of other comprehensive income of associates
accounted for using equity method

(17)

175

Total other comprehensive income
Comprehensive income(4,595)41,66153,312

90,527

52,84790,486465

40

Comprehensive income attributable toComprehensive income attributable to owners of the parent
Comprehensive income attributable to non-controllinginterests- 10 -

(3) Consolidated Statements of Changes in Net Assets
Prior Fiscal Year (From April 1, 2019 to March 31, 2020)(¥ million)
Stockholders’ equity

Balance at beginning of year

Common stock

Capital surplus

10,00052,308Cumulative effects ofchanges in accounting
policies
Restated balance

Retained earnings
369,315

Treasury stock(2,298)948
10,00052,308370,264

Total stockholders’equity429,326
948(2,298)430,275

Changes during the period
Cash dividends(32,328)(32,328)

Profit attributable to ownersof parent

57,66557,665

Change of scope of
consolidation

433

Capital increase of
consolidated subsidiaries
Change of scope of
consolidation - foreign
currency translation
adjustment
Change in ownership interestof parent due to transactions
with non-controllinginterests(1,370)

1

(937)
1
–

(715)

(715)

Purchase of treasury stock

409

Disposal of treasury stock
Changes in treasury stock
accompanying changes toholdings in companies towhich the equity method isappliedReversal of revaluation
reserve for land

(8)

(8)

42

451

0

0

(1,335)(1,335)

Net changes of items otherthan stockholders’ equity
Total changes during the period
Balance at end of year

–

(304)

24,434(1,336)

22,79410,00052,004

394,699(3,634)453,069- 11 -

(¥ million)
Accumulated other comprehensive income
Valuation
Remeasurements Total accumulated Non-controlling
difference on Deferred gains or
Revaluation
Foreign currencyinterestsof defined
otheravailable-for-sale losses on hedges, reserve for land,translation
benefit plans, net comprehensive
securities, net of
net of tax
net of tax
adjustmentsof taxincometax

Balance at beginning of year

20,1905(5,920)(8,864)(5,705)

(294)

612

Cumulative effects ofchanges in accounting
policies
Restated balance

Total net assets

429,644948

20,1905(5,920)(8,864)(5,705)

(294)

612

430,593

Changes during the period
Cash dividends(32,328)

Profit attributable to ownersof parent

57,665

Change of scope of
consolidation
Capital increase of
consolidated subsidiaries
Change of scope of
consolidation - foreign
currency translation
adjustment
Change in ownership interestof parent due to transactions
with non-controllinginterests

15

4,032

3,095

28

30

15

15

274

(441)

Purchase of treasury stock(8)

Disposal of treasury stock

451

Changes in treasury stock
accompanying changes toholdings in companies towhich the equity method isappliedReversal of revaluation
reserve for land

0

1,335

1,335

–

Net changes of items otherthan stockholders’ equity(3,353)244

682(3,472)

1,065(4,832)444(4,388)

Total changes during the period(3,353)

244

2,017

(3,456)

1,065(3,482)

4,779

24,091

Balance at end of year

16,837250(3,902)(12,321)(4,639)(3,776)

5,392

454,684- 12 -

Current Fiscal Year (From April 1, 2020 to March 31, 2021)(¥ million)
Stockholders’ equity

Balance at beginning of year

Common stock

Capital surplus

10,00052,004Retained earnings
394,699

Treasury stock(3,634)

Total stockholders’equity453,069

Changes during the period
Cash dividends(29,220)(29,220)

Profit attributable to ownersof parent

48,894

48,894

Change in ownership interestof parent due to transactions
with non-controllinginterests

5

Purchase of treasury stock

222

Disposal of treasury stock
Changes in treasury stock
accompanying changes toholdings in companies towhich the equity method isappliedReversal of revaluation
reserve for land

(309)

(303)

(9)

(9)

48

270

0

0

113

113

Net changes of items otherthan stockholders’ equity
Total changes during the period
Balance at end of year–

228

19,787(270)

19,745

10,00052,232

414,487(3,905)472,814- 13 -

(¥ million)
Accumulated other comprehensive income
Valuation
Remeasurements Total accumulated Non-controlling
difference on Deferred gains or
Revaluation
Foreign currencyinterestsof defined
otheravailable-for-sale losses on hedges, reserve for land,translation
benefit plans, net comprehensive
securities, net of
net of tax
net of tax
adjustmentsof taxincometax

Balance at beginning of year

16,837250(3,902)(12,321)(4,639)(3,776)

5,392

Total net assets

454,684

Changes during the period
Cash dividends(29,220)

Profit attributable to ownersof parent

48,894

Change in ownership interest ofparent due to transactions with
non-controlling interests(4,823)(5,127)Purchase of treasury stock(9)

Disposal of treasury stock

270

Changes in treasury stock
accompanying changes toholdings in companies towhich the equity method isappliedReversal of revaluation
reserve for land

0

(113)

(113)

–

Net changes of items otherthan stockholders’ equity

34,749

738

–

4,883

1,220

41,592349

41,941

Total changes during the period

34,749

738

(113)

4,883

1,220

41,478(4,474)56,749Balance at end of year

51,587988(4,016)(7,438)(3,419)37,701

917

511,433- 14 -

(4) Consolidated Statements of Cash Flows(¥ million)
Prior Fiscal Year
(From April 1, 2019
to March 31, 2020)

Current Fiscal Year
(From April 1, 2020
to March 31, 2021)

Cash flows from operating activities
Profit before income taxes

78,753

71,940Depreciation and amortization

23,23924,684

Loss on impairment of fixed assets

3,596

11,284

Amortization of goodwill

667

2,309

Increase (decrease) in allowance for doubtful receivables

199

163

Increase (decrease) in provision for directors’ bonuses

28

(247)

Increase (decrease) in other provision

504

(60)

Increase (decrease) in net defined benefit liability

610

(126)

(1,514)(1,546)

Interest expense

124

229

Foreign exchange losses (gains)

232

(128)

Share of loss (profit) of entities accounted for using equity
method182

31

Loss (gain) on valuation of derivatives

25

44

Interest and dividend income

Loss on disposal of fixed assets
Loss (gain) on sales of fixed assets, net
Loss on disposal of amusement facilities and machines

268

626

(1,904)

(452)

337

1,607

(5)

(307)

Loss (gain) on step acquisitions(1,722)–

Decrease (increase) in trade receivables

12,813(6,653)

Decrease (increase) in advance payments to suppliers(2,812)(2,478)Decrease (increase) in inventories(10,864)(29,053)

Acquisition of amusement facilities and machines(7,335)(4,252)

Increase (decrease) in trade payables(7,349)11,308

Increase (decrease) in accounts payable-other(4,159)8,006

Increase (decrease) in consumption tax payables

89

(424)

Increase (decrease) in other current liabilities(2,542)

12,769Other(3,674)(5,434)

Subtotal

77,78993,842

Interest and dividends received

1,545

1,560

Loss (gain) on sales of investment securities, net

(124)

(204)

Income taxes paid

(36,079)(34,714)

Net cash provided by operating activities

43,13160,483

Interest paid

- 15 -

(¥ million)
Prior Fiscal Year
(From April 1, 2019
to March 31, 2020)

Current Fiscal Year
(From April 1, 2020
to March 31, 2021)

Cash flows from investing activities
Payments into in time deposits(165)(31,313)

Proceeds from withdrawal of time deposits

7,132

31,907Purchases of property, plant and equipment(16,900)(16,032)

Proceeds from sales of property, plant and equipment

2,873

863

Purchases of intangible assets(5,728)(7,816)

Purchases of investment securities(901)(7,053)

Proceeds from sales of investment securities

108

522

Purchase of shares of subsidiaries and associates

(560)

(135)

(7,531)(137)

Payments of loans receivable

(237)

(800)

Collection of loans receivable

24

132

Payments of guarantee deposits(1,698)

(436)

746

627

Purchase of shares of subsidiaries resulting in change inscope of consolidation

Proceeds from refund of guarantee deposits
Other
Net cash used in investing activities

(229)

(98)

(23,067)(29,771)

Cash flows from financing activities(1,500)(500)

Proceeds from long-term borrowings

200

20,400

Repayments of long-term borrowings

(249)

(397)

Repayments of lease obligations

(931)

(815)

(8)

(9)

(32,328)(29,220)(441)(8,494)

Net increase (decrease) in short-term borrowings

Purchase of treasury stock
Cash dividends paid
Payments from changes in ownership interests in
subsidiaries that do not result in change in scope of
consolidation(35,258)(19,037)

Effect of exchange rate changes on cash and cash equivalents(2,531)

3,357

Net increase (decrease) in cash and cash equivalents(17,726)

15,031

Cash and cash equivalents at beginning of year

206,270

188,667

123–

188,667

203,698

Net cash used in financing activities

Increase in cash and cash equivalents from newly consolidated
subsidiary
Cash and cash equivalents at end of year

- 16 -

(5) Notes to Consolidated Financial Statements(Notes on Premise of Going Concern)
Not applicable.
(Segment Information)a. Segment Information
1. Overview of reportable segments
The reportable segments of the Company are components of the Group whose separate financial information is available
and which are periodically evaluated by the Board of Directors in deciding how to allocate management resources and inassessing the performance.
The Group is made up of (1) five Units, one for each business domain, namely the Toys and Hobby Unit, the Network
Entertainment Unit, the Real Entertainment Unit, the Visual and Music Production Unit, and the IP Creation Unit, and(2) the affiliated business companies that mainly serve a supporting role for these Units. The core company of each Unit
leads the planning and promotion of the business strategies of the unit for Japan and overseas.
Accordingly, the Group has the following five reportable segments: Toys and Hobby Business, Network Entertainment
Business, Real Entertainment Business, Visual and Music Production Business, and IP Creation Business.
The Toys and Hobby Business conducts production and sales of toys, candy toys and products for vending machines.
The Network Entertainment Business conducts planning, development and distribution of network content, and planning,development and distribution of home video games, etc. The Real Entertainment Business conducts planning, production
and sales of arcade games, etc., and planning and operation of amusement facilities. The Visual and Music Production
Business conducts planning, production and sales of visual and music content and package software, and live
entertainment operations. The IP Creation Business conducts planning and development of animations, etc., andmanagement and administration of copyrights and other rights, etc.
Effective from the current fiscal year, the classification of SOTSU CO., LTD., which previously was classified as abusiness belonging to the Other segment, was changed to a business belonging to the IP Creation Business in order tostrengthen the IP axis strategy.
Segment information of the prior fiscal year is prepared and disclosed based on the reportable segment classifications
after the change.
2. Method for calculating the amounts of net sales, profit/loss, assets, liabilities and others by reportable segment
The accounting method used for the business segments reported is the same as the accounting method stated in“Important Information Constituting the Basis for Preparation of Consolidated Financial Statements” presented in themost recent annual security report (filed on June 22, 2020).
The profit of reportable segments is measured by operating profit.
The inter-segment transactions are based on prevailing market prices.

- 17 -

3. Information regarding the amounts of net sales, profit/loss, assets, liabilities and others by reportable segment
Prior Fiscal Year (From April 1, 2019 to March 31, 2020)(¥ million)
Reportable Segments
Network
Real
Visual andToys andIP
Entertain- EntertainMusic
Hobby
Creationment
ment
Production
Business
Business
Business Business Business

245,880

322,872

90,98338,742

Inter-segment sales
and transfers

7,834

5,207

770

Total

253,714

328,079

91,753

Subtotal

Other(Note 1)

Total

16,084

714,563

9,426

8,209

7,412

29,433

46,951

23,497

743,996

Adjust- Consoliments dated Total(Note 2)

(Note 3)723,989–

723,989

21,62851,061(51,061)–

31,054775,051(51,061) 723,989

Net sales
To externalcustomers

Segment profit (loss)

26,73343,879(1,502)

8,032

6,269

83,412

1,346

84,759(5,983)78,775

Segment assets

121,625

168,058

62,79324,38455,489432,351

32,408464,760

155,059

619,819

Depreciation andamortization

10,815

2,555

7,974

519

48

21,913588

22,502

737

23,239Amortization of
goodwill

215

–

14

21

415

667

–

667

–

667

Loss on impairmentof fixed assets

96

–

3,478

21

–

3,596

–

3,596

–

3,596

Investment inassociates
accounted for using
equity method

801

–

–

–

–

801

10,677

11,479–11,479

Increase inproperty, plant andequipment andintangible assets

11,908

3,692

10,160650

979

27,392

1,193

28,5854,820

33,406

Others

Notes: 1.
2.

3.

The “Other” category is a business segment not included in reportable segments under which operations such as
logistics services and printing for each of the Group companies are classified.
The details of adjustment amounts are as follows:(1)
Included in the 5,983 million yen deducted from segment profit (loss) as adjustment are an addition of 928
million yen in inter-segment eliminations, and a deduction of 6,911 million yen in corporate expenses thatcannot be allocated to any reportable segment. The corporate expenses are mainly costs related to theadministration division that has not been attributed to a reportable segment.
(2)
Included in the 155,059 million yen added to segment assets as adjustment are a deduction of 33,424
million yen in inter-segment eliminations, and an addition of 188,484 million yen in corporate assets thatcannot be allocated to any reportable segment. The corporate assets are mainly cash and time deposits,
investment securities, and assets etc. related to the administration division that has not been attributed to areportable segment.
(3)
Included in the 737 million yen added to depreciation and amortization as adjustment are a deduction of
378 million yen in inter-segment eliminations, and an addition of 1,116 million yen in depreciation andamortization related to the administration division that has not been attributed to a reportable segment.
(4)
Included in the 4,820 million yen added to increase in property, plant and equipment and intangible assets
as adjustment is the amount of corporate assets that cannot be allocated to any reportable segment.
Segment profit (loss) is adjusted with operating profit in the consolidated statements of operations.

- 18 -

Current Fiscal Year (From April 1, 2020 to March 31, 2021)(¥ million)
Reportable Segments
Network
Real
Visual andToys andIP
Entertain- EntertainMusic
Hobby
Creationment
ment
Production
Business
Business
Business Business Business

287,745

340,434

62,703

23,405Inter-segment sales
and transfers

8,270

3,716

1,219

Total

296,016

344,150

Segment profit (loss)

38,220

Segment assets

Subtotal

Other(Note 1)

Total

16,416

730,705

10,198

4,684

11,796

29,687

63,92328,08928,21357,356(8,379)969

140,292

211,356

56,631

Depreciation andamortization

11,8202,379

Amortization of
goodwill

333

Loss on impairmentof fixed assets

Adjust- Consoliments dated Total(Note 2)

(Note 3)740,903–

740,90323,88953,577(53,577)–

760,392

34,088794,481(53,577) 740,903

2,740

90,907

1,445

92,352(7,698)84,65425,531

45,633

479,445

30,986510,431

222,350

732,782

6,816

559

657

22,233610

22,844

1,840

24,684

–

8

15

1,951

2,309

–

2,309

–

2,309

9

821

10,4960–

11,328–

11,328(43)

11,284

Investment inassociates
accounted for using
equity method

915

–

–

–

–

915

10,285

11,200–

11,200

Increase inproperty, plant andequipment andintangible assets

16,289

5,332

6,374

489

1,413

29,900825

30,725782

31,507

Net sales
To externalcustomers

Others

Notes: 1.
2.

3.

The “Other” category is a business segment not included in reportable segments under which operations such as
logistics services and printing for each of the Group companies are classified.
The details of adjustment amounts are as follows:(1)
Included in the 7,698 million yen deducted from segment profit (loss) as adjustment are an addition of 272
million yen in inter-segment eliminations, and a deduction of 7,970 million yen in corporate expenses thatcannot be allocated to any reportable segment. The corporate expenses are mainly costs related to theadministration division that has not been attributed to a reportable segment.
(2)
Included in the 222,350 million yen added to segment assets as adjustment are a deduction of 42,497
million yen in inter-segment eliminations, and an addition of 264,848 million yen in corporate assets thatcannot be allocated to any reportable segment. The corporate assets are mainly cash and time deposits,
investment securities, and assets etc. related to the administration division that has not been attributed to areportable segment.
(3)
Included in the 1,840 million yen added to depreciation and amortization as adjustment are a deduction of
137 million yen in inter-segment eliminations, and an addition of 1,977 million yen in depreciation andamortization related to the administration division that has not been attributed to a reportable segment.
(4)
Included in the 43 million yen deducted from loss on impairment of fixed assets as adjustment is related
to inter-segment eliminations.
(5)
Included in the 782 million yen added to increase in property, plant and equipment and intangible assets as
adjustment is the amount of corporate assets that cannot be allocated to any reportable segment.
Segment profit (loss) is adjusted with operating profit in the consolidated statements of operations.

- 19 -

b. Related Information
Prior Fiscal Year (From April 1, 2019 to March 31, 2020)
1. Information by product and service
This information is omitted because the same information has been presented in Segment Information.
2. Information by region(1) Net sales(¥ million)
Japan

Americas500,952

Europe91,118

Asia

61,374

Total
70,543723,989

Note: Net sales are classified by country and region based on customer location.
(2) Property, plant and equipment(¥ million)
Japan

Americas80,938Europe

2,084

Asia
8,159

Total
5,723

96,906

3. Information by major customer(¥ million)
Name of customer

Net sales

Names of related segments

Toys and Hobby Business, Network Entertainment
Business, and Visual and Music Production
Business
Toys and Hobby Business, Network Entertainment
Google Inc.
77,590 Business, and Visual and Music Production
Business
Note: Apple Inc. and Google Inc. are both platform-provision companies. The actual results of sales to these companies
are usage fees, etc. for users (ordinary users) of game services provided by the Group.
Apple Inc.

102,697

Current Fiscal Year (From April 1, 2020 to March 31, 2021)
1. Information by product and service
This information is omitted because the same information has been presented in Segment Information.
2. Information by region(1) Net sales(¥ million)
Japan

Americas489,994

Europe102,983

Asia

72,602

Total
75,323740,903

Note: Net sales are classified by country and region based on customer location.
(2) Property, plant and equipment(¥ million)
Japan

Americas72,327

Europe
457

Asia
8,058

- 20 -

Total
7,497

88,341

3. Information by major customer(¥ million)
Name of customer

Net sales

Names of related segments

Toys and Hobby Business, Network Entertainment
Business, and Visual and Music Production
Business
Toys and Hobby Business, Network Entertainment
Google Inc.
75,272 Business, Visual and Music Production Business,
and IP Creation BusinessNote: Apple Inc. and Google Inc. are both platform-provision companies. The actual results of sales to these companies
are usage fees, etc. for users (ordinary users) of game services provided by the Group.
Apple Inc.

105,334

c. Information Regarding Loss on Impairment of Fixed Assets by Reportable Segment
Prior Fiscal Year (From April 1, 2019 to March 31, 2020)
This information is omitted because the same information has been presented in Segment Information.
Current Fiscal Year (From April 1, 2020 to March 31, 2021)
This information is omitted because the same information has been presented in Segment Information.

d. Information Regarding Amortized Amounts and Unamortized Balance of Goodwill by Reportable Segment
Prior Fiscal Year (From April 1, 2019 to March 31, 2020)(¥ million)
Network
Real
Visual andToys andIP
EliminaEntertain- EntertainMusic
Other
Total
Hobby
Creationtions andment
ment
Production
Business
Business
Corporate
Business
Business
Business
Amortized
amount

215

–

14

21

415

–

–

667

Unamortizedbalance

1,429

–

14

38

14,221––

15,704Current Fiscal Year (From April 1, 2020 to March 31, 2021)(¥ million)
Toys and
Hobby
Business

Network
Entertainment
Business

Real
Visual andEntertainMusic
ment
Production
Business
Business

Amortized
amount

333

–

8

15

1,951

–

–

2,309

Unamortizedbalance

1,100

–

–

22

15,946––

17,069IP
Creation
Business

e. Information Regarding Gain on Negative Goodwill by Reportable Segment
Prior Fiscal Year (From April 1, 2019 to March 31, 2020)
Not applicable.
Current Fiscal Year (From April 1, 2020 to March 31, 2021)
Not applicable.

- 21 -

Eliminations andCorporate

Other

Total

(Per-Share Data)
Prior Fiscal Year

Current Fiscal Year

(From April 1, 2019 to March 31, 2020)(From April 1, 2020 to March 31, 2021)

2,045.25 yen

2,323.98 yen

262.39 yen

222.58 yen

Net assets per share
Basic earnings per share

Notes: 1. Diluted earnings per share is not presented since no potential shares exist.
2. The basis of calculating basic earnings per share is as follows:
Prior Fiscal Year

Current Fiscal Year

(From April 1, 2019 to March 31, 2020)(From April 1, 2020 to March 31, 2021)

57,66548,894––

57,66548,894

219,770,515

219,670,097

Basic earnings per share
Profit attributable to owners of parent(¥ million)
Amount not applicable to common
stockholders (¥ million)
Profit attributable to owners of parent
available to common stock (¥ million)
Average number of common stock
outstanding (shares)- 22 -

(Significant Subsequent Events)(Change to reportable segments)
The Group reorganized the structure based on Units comprising operating companies in April 2021 from its previous
five Unit structure to a three Unit structure ahead of the start of the next Mid-term Plan from April 2022.
In conjunction with this organizational restructure, effective from the following fiscal year, the reportable segments will
be changed from the Toys and Hobby Business, Network Entertainment Business, Real Entertainment Business, Visualand Music Production Business, and IP Creation Business to the Digital Business, Toys and Hobby Business, Visual andMusic Business, Creation Business, and Amusement Business.
Information regarding the amounts of net sales, profit/loss, assets, liabilities and others by reportable segment for the
fiscal year ended March 31, 2021, assuming the classification of its reportable segments after the organizational change is
as follows.
Current Fiscal Year (From April 1, 2020 to March 31, 2021)(¥ million)
Reportable Segments

Subtotal

Other(Note 1)

Total

62,703735,059

5,844

11,796

1,219

30,07634,21928,21363,92339,086

1,549

2,740

208,475

144,095

28,462

Depreciation andamortization

2,331

11,972

Amortization of
goodwill–

Loss on impairmentof fixed assets

DigitalBusiness

Toys and
VisualCreation
Hobby and Music
Business
Business Business

Amusement
Business

334,303

292,099

29,535

16,416

Inter-segment sales
and transfers

3,660

8,715

4,684

Total

337,964

300,815

Segment profit (loss)

56,776

Segment assets

Adjust- Consoliments dated Total(Note 2)

(Note 3)740,903–

740,903

18,81048,887(48,887)–

765,136

24,655

789,791(48,887) 740,903(8,379)91,772602

92,374(7,720)84,65445,63356,631

483,298

26,438509,736

223,045732,782

607

657

6,816

22,385458

22,844

1,840

24,684

333

15

1,951

8

2,309

–

2,309

–

2,309

821

9

0

–

10,496

11,328–

11,328(43)

11,284

Investment inassociates
accounted for using
equity method

–

915

–

–

–

915

10,285

11,200–

11,200

Increase inproperty, plant andequipment andintangible assets

5,243

16,329

578

1,413

6,374

29,940785

30,725782

31,507

Net sales
To externalcustomers

Others

Notes: 1.
2.

The “Other” category is a business segment not included in reportable segments under which operations such as
logistics services for each of the Group companies are classified.
The details of adjustment amounts are as follows:(1)
Included in the 7,720 million yen deducted from segment profit (loss) as adjustment are an addition of 250
million yen in inter-segment eliminations, and a deduction of 7,970 million yen in corporate expenses thatcannot be allocated to any reportable segment. The corporate expenses are mainly costs related to theadministration division that has not been attributed to a reportable segment.
(2)
Included in the 223,045 million yen added to segment assets as adjustment are a deduction of 41,803
million yen in inter-segment eliminations, and an addition of 264,848 million yen in corporate assets thatcannot be allocated to any reportable segment. The corporate assets are mainly cash and time deposits,
investment securities, and assets etc. related to the administration division that has not been attributed to areportable segment.
- 23 -

Included in the 1,840 million yen added to depreciation and amortization as adjustment are a deduction of
137 million yen in inter-segment eliminations, and an addition of 1,977 million yen in depreciation andamortization related to the administration division that has not been attributed to a reportable segment.
(4)
Included in the 43 million yen deducted from loss on impairment of fixed assets as adjustment is related
to inter-segment eliminations.
(5)
Included in the 782 million yen added to increase in property, plant and equipment and intangible assets as
adjustment is the amount of corporate assets that cannot be allocated to any reportable segment.
Segment profit (loss) is adjusted with operating profit in the consolidated statements of operations.
(3)

3.

- 24 -

4. Other
Changes in Directors and Audit & Supervisory Board Members(1) Change in Representative
Not applicable.
(2) Other Changes in Directors and Audit & Supervisory Board Members
New candidates for Director
Director (Part-time) Satoshi Kono
(current position: President and Representative Director of
BANDAI NAMCO Arts Inc.)
Director (Part-time)

Hiroshi Kawasaki(current position: President and Representative Director of
BANDAI NAMCO Amusement Inc.)

Director (Outside)

Toshio Shimada(current position: Special Advisor of CAC Holdings Corporation)

Retiring Director
Director (Part-time)

Hitoshi Hagiwara(current position: Chairman & Director of BANDAI NAMCO
Amusement Inc.)

Director (Part-time)

Kazumi Kawashiro

Director (Outside)

Yuzuru Matsuda(3) Scheduled Date of Assuming Office and Retirement
June 21, 2021
(4) Responsible Area of Directors (Effective June 21, 2021)
Mitsuaki Taguchi
Chairman and Director Supervising IP Production Unit
Masaru Kawaguchi

President and Representative Director Responsible for Entertainment Unit

Shuji Ohtsu

Director and Division General Manager of the Group Administrative Headquarters

Yuji Asako

Director and Division General Manager of Corporate Planning Division Supervising
Amusement Unit

Yasuo Miyakawa

Director (Part-time) in charge of Digital Business of Entertainment Unit

Satoshi Kono

Director (Part-time) in charge of Visual and Music Business of IP Production Unit

Makoto Asanuma

Director (Part-time) in charge of Creation Business of IP Production Unit

Hiroshi Kawasaki

Director (Part-time) in charge of Amusement Unit

Koichi Kawana

Director (Outside)

Satoko Kuwabara

Director (Outside)

Mikiharu Noma

Director (Outside)

Toshio Shimada

Director (Outside)- 25 -