Marvelous Inc.
Stock Code: 7844
(First Section of Tokyo Stock Exchange)

Fiscal Year Ending March 31, 2015
First Half

Results Briefing
Materials
November 10, 2014

This document contains forward-looking statements which are based on information
currently available to the Company and which may change as a result of numerous
factors including the macroeconomic environment and industry trends relevant tothe Company. Therefore, these forward-looking statements are made subject tocertain risks and uncertainties which could cause results including actual businessperformance to differ materially from those presented.

ContentsI. Fiscal Year Ending March 2015, First-Half Results Summary
II. Fiscal Year Ending March 2015 Business Forecast
III. Segment Results

Copyright (c) 2014 Marvelous Inc. All rights reserved.

I. Fiscal Year Ending March 2015,First-Half Results Summary

Copyright (c) 2014 Marvelous Inc. All rights reserved.

I-1. Earnings Highlights
 First-half net sales up 18.8% and operating income up 6.2% from the year-earlier period
 Online game business expanded strongly thanks to favorable performance of native apps
Higher sales and earnings as online game business covered for declines in the consumer game business(Unit: million yen)

14,000Net sales
売上高11,387

12,00010,000
8,000

3,000

Operating income
営業利益

2,500

Online RPG for Smartphones“Logres of Swords and Sorcery: Goddessof Ancient”

9,585
2,000

1,365

1,449

1,500

6,000
1,000

4,000

©Marvelous Inc. Aiming Inc.

500

2,000
00
1H Fiscal Year
1H Fiscal Year
ended March 2014 ending March 2015

Copyright (c) 2014 Marvelous Inc. All rights reserved.

4 million downloads reached!
Increased number of downloads and active users
through TV commercials for promotion.
Advertising broadcasts to be added on an ongoingbasis for further promotion.

4I-2. Financial Highlights (P/L)
 Overall results driven by strong performance of the online game business with sales and earnings up
from the year-earlier period Weakness in the consumer game business responsible for moderately lower profit ratios(Unit: million yen)

1H FY ended March 2014
ActualProfit ratio

1H Fiscal Year ending March 2015
ActualProfit ratio

YOY change

YOY change(%)

Net sales

9,585

11,387

1,802

119%

Cost of sales

4,903

5,307

404

108%

SGA expenses

3,317

4,630

1,312

140%

Operating income

1,36584106%

44－129109%Non-operating
income/losses
Ordinary income

14.2%

20
1,385

1,449

12.7%

64
14.5%

1,514

13.3%

Extraordinary
income/losses-12-102－

Income taxes

51256957111%Net income

860

74109%

Copyright (c) 2014 Marvelous Inc. All rights reserved.

9.0%

934

8.2%

5I-3. Financial Highlights (by Quarter) First-half net sales showing steady growth over the year-earlier period
 Operating income up compared with the year-earlier period(Unit: million yen)

7,000

6,629
売上高Net sales

営業利益
Operating income

1,800

6,0005,664

5,435

5,175

4,887

5,000

2,000

1,600
5,080
4,758

1,400

4,410

4,239

1,200

4,000
3,016
3,000

1,000

849

826
610

795

845

793
800

655

614

515

2,000

600
400

278
1,000

200
00
1Q

2Q

3Q

Fiscal Year
ended March 20132013年3月期

Copyright (c) 2014 Marvelous Inc. All rights reserved.

4Q

1Q

2Q

3Q

Fiscal Year
ended March 20142014年3月期

4Q

1Q

2Q

FiscalYear ending
2015年3月期
March 20156

I-4. Financial Highlights (Segment Results)
1H Fiscal Year endedMarch 2014

(Unit: million yen)

Actual1H Fiscal Year ending March 2015

Actual

YOY change(Amount)(%)● Online Game

3,960

6,117

2,156

154%

● Consumer Game

3,763

3,430-333

91%● Audio & Visual

1,861

1,844-1699%

9,585

11,3871,802119%● Online Game218

1,117899

511%● Consumer Game

1,273411-862

32%● Audio & Visual

35042575122%

Business
Business

Net Sales

Business

Total

Business

Segment
IncomeBusiness
Business

Total

1,842

1,954

112

106%

Adjustments & eliminations-477-505-27106%

Operating Income Total

1,365

1,449

84106%

Copyright (c) 2014 Marvelous Inc. All rights reserved.

POINT● Online Game Business• Higher sales due to favorable gameapps• Existing titles keep up solid
performance● Consumer Game Business• Weak sales of package software• Amusement sector underperforming● Audio & Visual Business• Robust sales of tickets for stage
performances• Continued strong sales of DVD
productions related to stage
performances7I-5. Financial Highlights (Sales Breakdown by Quarter) Online game business generating steady annual sales growth
7,000

Unit: million yen (Percentage of sales in parentheses)

6,629■Audio & Visual Business

6,000■Consumer Game Business■Online Game Business(15.4%)

5,175
4,887
4,239(15.6%)

4,410(13.7%)

1,073

788
942

3,000

(47.7%)(50.2%)(26.3%)

1,353(17.3%)

2,086

1,660

(32.5%)(40.3%)(32.7%)

1,278(26.9%)(38.0%)(31.9%)

658

3,461

(21.8%)

1,000

2,152

2,206(38.9%)

1,677

4,758
825

(21.9%)(17.9%)

2,595
2,451

793

1,113

(22.2%)

3,016

850(15.0%)(20.7%)

4,000

2,000

5,080

851

5,000
669

1,019

5,664
5,435

1,565

1,766

(51.9%)(36.1%)

1Q

2Q

1,944

1,993

1,9442,016(45.9%)(36.7%)(44.1%)(39.0%)

3Q

4Q

1Q

2Q

2,307(45.4%)

2,609

2,656

(46.1%)(55.8%)

4Q

1Q(52.2%)

0
2013年3月期
Fiscal Year
ended March 2013

Copyright (c) 2014 Marvelous Inc. All rights reserved.

3Q

2014年3月期
Fiscal Year
ended March 2014

2Q

FiscalYear ending
2015年3月期
March 20158

I-6. Balance Sheet Highlights
 Increase in current assets due to higher accounts receivable-trade in step with growing online sales
 Increase in noncurrent assets due to capitalization of “PUZZLE & DRAGONS Z Tamer Battle” consoles Increase in current liabilities due to accrued sales commissions payable in step with growing online sales(Unit: million yen)

ChangeEnd of March 2014

End of September 2014

Current assets (total)

14,583

15,322738

Noncurrent assets (total)

2,233

2,909

675

Total Assets

16,816

18,231

1,414

4,840

5,990

1,149

Noncurrent liabilities (total)

54

60

5

Total Liabilities

4,895

6,051

1,155

Net Assets (total)

11,921

12,180259

Current liabilities (total)

Copyright (c) 2014 Marvelous Inc. All rights reserved.

9II. Fiscal Year Ending March 2015
Business Forecast

Copyright (c) 2014 Marvelous Inc. All rights reserved.

II-1. Fiscal Year Ending March 2015 Business Forecast
 Unchanged results projections for the full fiscal year despite the strong online gamebusiness considering weakness in the consumer game business〈Fiscal Year Ending March 2015〉
First Half

Second Half

(Actual)(Forecast)(Unit: million yen)

Full Year(Forecast)

YOY change(Profit ratio)(Amount)(%)

Net sales

11,387

13,61225,000－

4,669

123.0%

Operating income

1,449

2,350

3,800

15.2%

793

126.4%

Ordinary income

1,514

2,275

3,79015.2%

748

124.6%

934

1,339

2,274

9.1%

391

120.8%Net income(Reference) Results for
Fiscal Year ended March 2014

(Unit: million yen)First Half(Actual)

Second Half(Actual)

Full Year(Actual)(Profit ratio)

Net sales

9,585

10,744

20,330－Operating income

1,365

1,641

3,006

14.8%

Ordinary income

1,385

1,656

3,041

15.0%

860

1,021

1,882

9.3%

Net income
Copyright (c) 2014 Marvelous Inc. All rights reserved.

11

II-2. Fiscal Year Ending March 2015 Business Forecast
 Expectations for three consecutive fiscal years of double-digit growth Expectations for sales and earnings growth in excess of 20%(Unit: million yen)

30,0006,000
Net sales
売上高

Operating income
営業利益Up23.0％

25,00025,000
4,500

Up
15.6％

20,000Up
26.4％

17,579Up
22.0％
15,00020,33014,413

Up
29.0％

3,800

3,006
3,000

2,329

Up
61.9％

10,000
1,439

1,500

5,000

00

Fiscal Year ended
March 2012
(simple sum)
Copyright (c) 2014 Marvelous Inc. All rights reserved.

Fiscal Year ended
March 2013

Fiscal Year ended
March 2014

Fiscal Year ending
March 2015
(forecast)

12II-3. Fiscal Year Ending March 2015 Segment Forecasts
 Revision of results projection details by segment
 Online game business results projections revised up based on strong performance of game apps
Consumer game business results projections revised down based on weak package software and(Unit: million yen)amusement business
Fiscal Year ending March 2015 (forecast)Fiscal Year ended March 2014 (actual)

1H

2H

Full Year(Actual)（Projections）(Revised projections)(Prev ious projections)

1H

2H

Full Year(Difference)●Online GameBusiness

6,117

7,882

14,00010,500

3,500

3,960

4,917

8,877

●Consumer GameBusiness

3,430

3,369

6,800

10,300

-3500

3,763

3,866

7,630

●

Audio & VisualBusiness

1,844

2,355

4,200

4,200

0

1,861

1,963

3,825

11,387

13,61225,00025,0000

9,585

10,744

20,330

1,117

1,912

3,030

1,440

1,590

218

524

742

Net Sales

Total●Online GameBusiness●

Consumer GameBusiness

411

488

900

2,520-1620

1,273

994

2,268

●

Audio & VisualBusiness

425

494

920

920

0350

571

921

1,954

2,895

4,850

4,880

-30

1,842

2,089

3,932

Adjustments & eliminations-505-544-1050-1080

30-477-448-925Operating Income Total

1,449

2,350

3,800

3,8000

1,365

1,641

3,006

Segment
IncomeTotal

Copyright (c) 2014 Marvelous Inc. All rights reserved.

13III. Segment Results

Copyright (c) 2014 Marvelous Inc. All rights reserved.

Online Game Business

III-1-1. FY Ending March 2015 Progress Status
1H Results
Net sales: Strong growth on favorable performanceof game apps
Profits:
Profit ratios up on enhanced profitability

7,000 Strong performance of “Logres of Swords and Sorcery:
Goddess of Ancient” with higher sales; reflecting effects ofcommercials Browser game classics also have strong performance

2,000

6,117
6,000
1,600
5,000
4,000

Title Performance(Unit: million yen)■Netsales ■営業利益■Operating income （単位：百万円）
■売上高

3,960

3,0008000Service launched in December 2013

©Marvelous Inc. Aiming Inc.

Copyright (c) 2014 Marvelous Inc. All rights reserved.

400

218

1,000

1H FY ended
March 2014

“Logres of Swords and Sorcery: Goddess of Ancient” – A huge hit!

1H FY ending
March 2015

Monthly average ranking

ios(Unit: ten thousand)

1,200

2,000

 Termination of lengthy development of the “Browser
EVANGELION” with preparatory development costs written off
in a lump-sum(Native app)

1,117

Android

Cumulative number of downloads

0105400

10300

15200

20100

250

4月AprilMay
5月

June
6月

July
7月

August8月

September
9月

30(Ranking)

15Online Game Business

III-1-2. Fiscal Year Ending March 2015 Further Action
TOPICSNet Sales Television commercial for “Logres of Swords andSorcery: Goddess of Ancient” to continue
 Official service start of “Sangokushi PHX” and “NBA
CLUTCH TIME” in November
 Planning and development of new titles to continue
centered on native apps

(Unit: million yen)18,000

Left: FY ended March 2014

15,000

Right: FY ending March 2015
(2nd-half and full-year results
are projections)

12,000

7,882

9,000

4,917

3,000

Title Rollouts
HIGH SCHOOL D×D
NEWFIGHT (PS Vita)

NBA CLUTCH TIME

Service launched in August 2014

Service launched in November 2014

0(native app)

First Half

Second Half

Segment Income

Sangokushi PHX (Sangokushi Phoenix)

8,877

6,117
6,000

3,960

©2013 Ichiei Ishibumi・Miyama-ZERO/PUBLISHED BY KADOKAWACORPORATION FUJIMISHOBO/HighSchoolDD NEW PARTNERS©Marvelous Inc.

14,000

Full Year(Unit: million yen)

3,500

Left: FY ended March 2014

3,000

Right: FY ending March 2015
(2nd-half and full-year results
are projections)

3,030

2,500
©NBAE via Getty Images©2014 NBA Properties, Inc. All Rights Reserved.
©2014 Marvelous Inc.

1,912
2,000

(PC browser)
Service launched in November 2014

1,500
1,000

IP for the world©Marvelous Inc.

Copyright (c) 2014 Marvelous Inc. All rights reserved.

1,117(native app)and more*To be releasedin the near future(native app)
*To be releasedin the near future524
500742

218

0First Half

Second Half

Full Year16

Consumer Game BusinessIII-2-1. FY Ending March 2015 Progress Status
5,000

1H Results

Net sales/Profits: Declined due to generally unfavorable 4,000sales across all operations■Net sales■Operating income (Unit: million yen)

2,000

3,763
3,430

1,500

1,273

3,000

Title Performance

1,000
2,000

 New titles behind plan
 Lower sales and earnings at the amusement
console business due to intense competition

4115001,00001H FY ended
March 2014

1H FY ending
March 2015

0Title Rollouts

Samurai Jam-Bakumatsu Rock-: Ultra SoulSENRAN KAGURA 2 (3DS)(PS Vita/PSP)Released August 7, 2014

Released September 25, 2014

KINKI NO MAGNA (3DS)
Released October 2, 2014

PUZZLE & DRAGONS Z
Tamer Battle (Amusement)
Service launched June 2014

© GungHo Online Entertainment, Inc. / Marvelous Inc.

©2014 Marvelous Inc.

Copyright (c) 2014 Marvelous Inc. All rights reserved.

©2014 Marvelous Inc.

©2014 Marvelous Inc.

17

Consumer Game Business

III-2-2. Fiscal Year Ending March 2015 Further Action
Net SalesTOPICS Release of the “DEKAMORI SENRAN KAGURA” package
version on November 27
 “SENRAN KAGURA ESTIVAL VERSUS” for PS4 and PS Vita
to be released March 26 “POPOLOCROIS BOKUJO MONOGATARI” which combines
the fascination of “BOKUJO MONOGATARI” and“POPOLOCROIS MONOGATARI” is in full-scale development(Unit: million yen)

10,000
Left: FY ended March 2014

8,000

Right: FY ending March 2015
(2nd-half and full-year results
are projections)

7,630
6,800

6,000

4,000

3,763
3,430

3,866
3,369

First Half

Second Half

2,000

Title Rollouts
DEKAMORI SENRAN KAGURA(PS Vita Package Version)

SENRAN KAGURA ESTIVAL VERSUS(PS4/PS Vita)

Scheduled for release November 27, 2014

Scheduled for release March 26, 2015

0Segment Income(Unit: million yen)

2,500

2,268

Left: FY ended March 2014

2,000

©2014 Marvelous Inc.

©2014 Marvelous Inc.

POPOLOCROIS BOKUJO MONOGATARI (3DS)
Release date to be determined

1,500

Full Year

Right: FY ending March 2015
(2nd-half and full-year resultsare projections)

1,273
994

1,000

900
488

500

4110
©Yohsuke Tamori ©Yoshifumi Hashimoto(Marvelous Inc.)©2014 Marvelous Inc.

Copyright (c) 2014 Marvelous, Inc. All rights reserved.

First Half

Second Half

Full Year

18

Audio & Visual Business

III-3-1. FY Ending March 2015 Progress Status
1H Results
2,500

Net sales: Stage division performing well with sales
keeping up
Profits:Profit ratios improved on enhanced
profitability of stage performances■Net sales

2,000(Unit: million yen)
■Operating income

800

1,861

1,844

1,500

425350

Title Performance Broadcasts of TV anime “Samurai Jam -Bakumatsu Rock-”and “Tokyo Ghoul”

400

1,000200500

 Tickets sold out for popular performances of “MusicalHAKUOKI” and “Stage K”
 Favorable sales continuing of new and previous DVDs related
to stage performances

600

0

1H FY ended
March 2014

1H FY ending
March 2015

0Title Rollouts
Samurai Jam -Bakumatsu Rock-Tokyo Ghoul

Broadcast July – September 2014 Broadcast July – September 2014©2014 Marvelous Inc. /BakumatsuRock ProductionCommittee

Copyright (c) 2014 Marvelous Inc. All rights reserved.

©Sui Ishida/Shueisha,Tokyo Ghoul
Production Committee

Musical HAKUOKIStage K

Performances May – June 2014

Performances in August 2014

©IDEA FACTORY・DESIGN FACTORY/Musical HAKUOKI Project©GoRA・GoHands／k-project©GoRA・GoHands／stage k-project19

Audio & Visual Business

III-3-2. Fiscal Year Ending March 2015 Further Action

TOPICSNet Sales

Release of Blu-ray and DVD for TV anime “Samurai Jam -BakumatsuRock-” and “Tokyo Ghoul”

4,500

Tickets selling out immediately for latest production of “StageYowamushi Pedal”(Unit: million yen)Left: FY ended March 2014
Right: FY ending March 2015
(2nd-half and full-year results
are projections)

4,200
3,825

3,000

Performances to be scheduled continuously for “MUSICAL THE
PRINCE OF TENNIS Concert Dream Live 2014” and “ULTRA MUSICAL
Samurai Jam -Bakumatsu Rock-”

1,861 1,844

2,355
1,963

1,500
Stage Yowamushi Pedal
Ep.HAKOGAKUThe Beast On the Road

Title Rollouts
Tokyo Ghoul
Sales launch of the first volume
on September 26

Performances in October 2014

0First Half

Second Half

Segment Income(Unit: million yen)

1,000921 920

Left: FY ended March 2014

©Wataru Watanabe (Akitashoten) 2008 / Yowamushi Pedal Production Committee 2013
©Wataru Watanabe (Akitashoten) / Marvelous, Toho, D×L Creation©Sui Ishida/Shueisha,Tokyo Ghoul Production Committee

MUSICAL THE PRINCE OF TENNIS
Concert Dream Live 2014

750

Right: FY ending March 2015
(2nd-half and full-year results
are projections)ULTRA MUSICAL
Samurai Jam -Bakumatsu Rock-

Performances in November 2014

Performances in December 2014

Full Year

571
5003504944252500First Half

©TAKESHI KONOMI／SHUEISHA,NAS,THE NEW PRINCE OF TENNIS PROJECT©TAKESHI KONOMI／SHUEISHA,MUSICAL THE PRINCE OF TENNIS PRODUCTION COMMITTEE

Copyright (c) 2014 Marvelous Inc. All rights reserved.

©2014 Marvelous Inc./ULTRA MUSICAL BakumatsuRock Production Committee

Second Half

Full Year20

Thank you for your kind attention.
Inquiries
Corporate Planning Department
TEL: +81-3-5769-7447
FAX: +81-3-5769-7448
URL:http://www.marv.jp

This document contains forward-looking statements which are based on information currently available to theCompany and which may change as a result of numerous factors including the macroeconomic environment andindustry trends relevant to the Company. Therefore, these forward-looking statements are made subject to certain
risks and uncertainties which could cause results including actual business performance to differ materially fromthose presented.

Copyright (c) 2014 Marvelous Inc. All rights reserved.