Consolidated Financial Report for the Second Quarter of
the Fiscal Year Ending March 31, 2012

November 2, 2011DISCLAIMER- NAMCO BANDAI 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: http://www.bandainamco.co.jp/)
November 2, 2011

Consolidated Financial Report for the Second Quarter of
the Fiscal Year Ending March 31, 2012 (Japanese GAAP)
Representative:
Shukuo Ishikawa, President and Representative Director
Contact:
Yuji Asako, Director, Division General Manager of the Corporate Planning Division
Scheduled filing date of the quarterly security report:
November 10, 2011
Scheduled starting date for dividend payments:
December 5, 2011
The additional materials of the Financial Results for the Second Quarter: Yes
The information session of the Financial Results for the Second Quarter: Yes (for institutional investors and analysts)* Figures are in millions of yen, rounded down
1. Consolidated Results for the Second Quarter of the Fiscal Year Ending March 31, 2012
(April 1, 2011 to September 30, 2011)(1) Consolidated Operating Results (For the Six Months Ended September 30, 2011)(Percentages indicate year-on-year changes.)
Operating income
Recurring income

Net sales

Second Quarter of the Fiscal YearEnding March 31, 2012
Second Quarter of the Fiscal Year
Ended March 31, 2011

¥ million
194,241%
11.9¥ million
15,757%211.0¥ million
15,977%219.2

173,595

0.5

5,067

–

5,006

–

Net income

Second Quarter of the Fiscal YearEnding March 31, 2012
Second Quarter of the Fiscal Year
Ended March 31, 2011
(Note)Net income per share

Net income per share(diluted)¥ million
8,026

%
–

¥
34.96

¥
–

(1,930)–(8.00)–

Comprehensive income: 9,579 million yen [– %] (FY2012.3 2Q), (7,509) million yen [– %] (FY2011.3 2Q)(2) Consolidated Financial Position
Total assets

Net assets

Equity ratio

As of September 30, 2011

¥ million
312,631¥ million
210,071%
66.6

As of March 31, 2011

308,269

213,693

68.8(Reference) Equity: 208,177 million yen (as of September 30, 2011), 212,102 million yen (as of March 31, 2011)

2. Cash Dividends
End offirst quarterEnd ofsecond quarter¥12.00¥12.00

Annual cash dividends
End ofFiscalthird quarteryear-end–¥12.00Fiscal Year Ended March 31, 2011–
Fiscal Year Ending March 31, 2012–
Fiscal Year Ending March 31, 2012–
(Projections)* Revision to the projections of cash dividends for the Fiscal Year Ending March 31, 2012: No¥12.00Total¥24.00¥24.003. Consolidated Projections for the Fiscal Year Ending March 31, 2012 (April 1, 2011 to March 31, 2012)(Percentages indicate year-on-year changes.)
Net sales
OperatingRecurring
Net income
Net income
incomeincomeper share¥ million% ¥ million% ¥ million% ¥ million%¥
Full Fiscal Year
420,000
6.6
25,00053.0
26,00058.5
15,000711.5
65.89* Revision to the projections: No
4. Other Information(1) Changes in Significant Subsidiaries during the Period(Changes in Specified Subsidiaries Resulting in the Change in Scope of Consolidation): No
Included: – company
Excluded: – company(2) Application of Special Accounting for Preparing the Quarterly Consolidated Financial Statements: Yes(Note) For more details, please refer to the section of “(2) Application of Special Accounting for Preparing the Quarterly Consolidated
Financial Statements” of “2. Matters Regarding Summary Information (Others)” on page 5 of the attached material.
(3) 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 revisions to other reasons: Noc) Changes in accounting estimation: Nod) Restatement: No(4) Number of Issued Shares (Common Stock)a) Total number of issued shares at the end of period (including treasury stock)
As of September 30, 2011
230,000,000 shares
As of March 31, 2011
240,000,000 sharesb) Number of shares of treasury stock at the end of the period
As of September 30, 2011
4,609,789 shares
As of March 31, 2011
3,497,884 sharesc) Average number of shares during the period (cumulative from the beginning of the fiscal year)
For the Second Quarter of the Fiscal Year ending March 31, 2012
229,592,993 shares
For the Second Quarter of the Fiscal Year ended March 31, 2011
241,455,138 shares* Implementation status of quarterly review
This Consolidated Financial Report for the Second Quarter was exempt from quarterly review which was based on Financial
Instruments and Exchange Law of Japan. As of the second quarter disclosing, quarterly review for the quarterly financial statements areunder way.
* Explanation on appropriate use of the projections of business results, etc.
- Forward-Looking Statements:
Forward-looking statements that have been released prior to this document are based on management’s estimates, assumptions,projections and information available at the time of its publications. A number of factors could cause actual results to differ materiallyfrom expectations. Please refer to the section of “(3) Qualitative Information Regarding Consolidated Projections” of “1. Qualitative
Information Regarding Consolidated Results for the Second Quarter” on page 4 of the attached material for matters pertaining to theearnings projections.
- To obtain the additional materials:
The additional materials of the Financial Results for the Second Quarter will be posted on the Company’s website on November 2,
2011.

Attached Material
Index
1. Qualitative Information Regarding Consolidated Results for the Second Quarter ....................... 2(1) Qualitative Information Regarding Consolidated Operating Results................................................................................. 2(2) Qualitative Information Regarding Consolidated Financial Position................................................................................. 3(3) Qualitative Information Regarding Consolidated Projections ........................................................................................... 4

2. Matters Regarding Summary Information (Others)......................................................................... 5(1) Changes in Significant Subsidiaries during the Period ...................................................................................................... 5(2) Application of Special Accounting for Preparing the Quarterly Consolidated Financial Statements................................. 5(3) Changes in Accounting Policies, Changes in Accounting Estimation and Restatement .................................................... 5

3. Consolidated Financial Statements ..................................................................................................... 6(1) Quarterly Consolidated Balance Sheets ............................................................................................................................. 6(2) Quarterly Consolidated Statements of Operations and Quarterly Consolidated Statements of Comprehensive Income ... 8(Quarterly Consolidated Statements of Operations) ................................................................................................................ 8(Quarterly Consolidated Statements of Comprehensive Income)............................................................................................ 9(3) Notes on Premise of Going Concern................................................................................................................................ 10(4) Segment Information........................................................................................................................................................ 10(5) Notes on Significant Changes in the Amount of Stockholders’ Equity............................................................................ 11-1-

1. Qualitative Information Regarding Consolidated Results for the Second Quarter(1) Qualitative Information Regarding Consolidated Operating Results
During the second quarter (six months) of the fiscal year ending March 31, 2012, harsh economic conditions continued
as a result of factors such as the Great East Japan Earthquake, which caused extensive damage, problems with shortages inelectric power supply arising from said disaster, and the rapid appreciation of the yen. As for the entertainment industry,
weak individual consumption and other factors have added further uncertainty to the outlook.
In such environment, the BANDAI NAMCO Group (“the Group”) pressed ahead with the development of its global
management foundation based on the three-year Mid-term Business Plan that started in April 2009, and sought to realize
medium- to long-term growth.
On the business front, the long-established character toys and card products in the Toys and Hobby Business as well as
areas in the Content Business such as arcade game machines, home video game software, and network content contributed
to performance. In addition, in the Amusement Facility Business, existing-facility sales in Japan trended favorably.
Consequently, the Group’s consolidated results for the second quarter (six months) were net sales of 194,241 million
yen (year-on-year increase of 11.9%), operating income of 15,757 million yen (year-on-year increase of 211.0%), recurringincome of 15,977 million yen (year-on-year increase of 219.2%), and net income of 8,026 million yen (compared with net
loss of 1,930 million yen for the same period of the previous fiscal year).

Operating Results by Segment
Toys and Hobby BusinessIn the Toys and Hobby Business, domestically, character toys from KAMEN RIDER FOURZE, which began
broadcasting on TV from September 2011, became popular, in addition to the well-performing GOKAIGER (Power
Rangers series). Furthermore, digital card games such as the DRAGON BALL HEROES and the network play capable
PRO BASEBALL OWNERS LEAGUE card game performed well, making a significant contribution to this business’s
performance. In fresh developments, The Little Battlers plastic models have gained popularity mainly among
elementary school-age boys, and highly collectable toys for adults performed well.
Overseas, in the North American region, toys of the Power Rangers SAMURAI, the first new creation from thePower Rangers series in two years became popular, and sales in the Asian region were solid thanks to developments inconjunction with Japan. Meanwhile, in the European region, efforts were made to develop new product categories likegirls’ toys and pre-school toys, but performance did not reach the level of the same period of the previous fiscal year
which enjoyed a strong performance centered around popular character toys.
As a result, net sales in the Toys and Hobby Business were 81,627 million yen (year-on-year increase of 13.0%),
and segment profit was 8,986 million yen (year-on-year increase of 27.1%).

Content BusinessIn the Content Business, factors such as repeat sales of prize machines and sales of prizes in the area of arcade
game machines contributed to this business’s performance. In home video game software, titles like TALES OF XILLIA
for PlayStation 3 and AKB1/48 Idol to Guam de Koishitara... for PlayStation Portable performed well, and in the visualand music content area, visual package software such as Mobile Suit Gundam UC (Unicorn) and TIGER & BUNNY
became popular. In the network content area, the number of monthly subscribers to existing services has declined, butsocial games posted a strong performance, particularly GUNDAM ROYALE (distributed via Mobage).
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As a result, net sales in the Content Business were 86,711 million yen (year-on-year increase of 21.4%), andsegment profit was 5,369 million yen (compared with segment loss of 2,600 million yen for the same period of theprevious fiscal year).

Amusement Facility BusinessIn the Amusement Facility Business, domestically, differentiated facilities offering the experience of the distinctive
worldviews of characters located in shopping centers were particularly popular, and existing facilities’ net sales
performed strongly, rising to 103.3% of the figure for the same period of the previous fiscal year.
In the challenging environment presented by countries outside Japan, while sales in North America and Europe
declined, profits were steady thanks to the selection and concentration of stores.
As a result, net sales in the Amusement Facility Business were 31,306 million yen (year-on-year decrease of 0.9%),and segment profit was 1,891 million yen (year-on-year increase of 24.5%).

Facilities as of September 30, 2011
Directly Managed

Revenue-Sharing

Facilities

Facilities

257

956

Others

Total

3

1,216

Other Businesses
Other Businesses consist of companies that conduct operations, such as logistics support and building management
for each of the Group’s strategic business units. During the second quarter (six months), efforts were made to improvethe efficiency of these operations related to group support.
As a result, net sales in the Other Businesses were 11,520 million yen (year-on-year increase of 32.4%), andsegment profit was 1,045 million yen (year-on-year increase of 143.2%).

(2) Qualitative Information Regarding Consolidated Financial Position
At the end of the second quarter of the fiscal year ending March 31, 2012, total assets stood at 312,631 million yen, an
increase of 4,361 million yen from the end of the previous fiscal year. The main factors were increases of 5,640 million yen
in inventories such as work in process, 1,569 million yen in tools, furniture and fixtures included in property, plant andequipment and 1,324 million yen in investment securities included in other investments and assets, while there was adecrease of 5,481 million yen in cash and time deposits due to the acquisition of the Company’s own shares and income
taxes paid.
Total liabilities amounted to 102,559 million yen, an increase of 7,983 million yen from the end of the previous fiscal
year. The main factors were increases of 3,769 million yen in trade payables and 8,000 million yen in long-termborrowings related to taking on new debt, while there was a decrease of 4,427 million yen in accounts payable-otherincluded in other current liabilities.
Total net assets stood at 210,071 million yen, a decrease of 3,621 million yen from the end of the previous fiscal year.
The main factors were an increase of 10,328 million yen in treasury stock through the acquisition of the Company’s own
shares by tender offer and on the market, while there was an increase of 5,186 million yen in retained earnings thanks to
the recording of net income through favorable consolidated results. Moreover, additional paid-in capital and treasury stock-3-

each decreased by 9,299 million yen due to the retirement of treasury stock.
As a result, the equity ratio became 66.6% compared with 68.8% at the end of the previous fiscal year.

(3) Qualitative Information Regarding Consolidated Projections
As for the future of the economy, a difficult business environment is expected to continue due to factors such as weak
individual consumption in Japan, economic sluggishness in North America and Europe and the rise in the yen. Such factors
are also expected to have an impact on the entertainment industry, in which the Group is extensively involved, resulting inongoing uncertainty in this business environment.
Facing these circumstances, the Group is working to steadily develop its global management foundation as outlined in
the three-year Mid-term Business Plan that started in April 2009, and expects these efforts will lead to medium- tolong-term growth.
Specifically, in the Toys and Hobby Business, our plan for the Japanese market is to strengthen development throughcoordinated movement of categories revolving around long-established character toys, such as Mobile Suit Gundam AGE(began broadcasting on TV from October 2011), and the already popular GOKAIGER (Power Rangers series) and KAMENRIDER FOURZE. In addition, while aiming for a dominant position of No. 1 in Japan, we will introduce new products andservices such as card games, plastic models for elementary school students and toys for adults in order to broaden thevariety of customers targeted. Overseas, in the North American region, the Group will strive to improve profitability byfocusing on boys’ toys such as the Power Rangers SAMURAI, which are off to a good start, and the ThunderCats. In theEuropean region, the Group will work to expand new categories such as girls’ toys and pre-school toys, and in the Asian
region, to strengthen developments in conjunction with Japan.
In the Content Business, the Group will respectively expand the areas of arcade game machines and home video gamesoftware, particularly with the latest arcade game machines for popular series such as Tekken Tag Tournament 2 andWangan Midnight Maximum Tune 4 and home video game software titles such as ACE COMBAT ASSAULT HORIZON for
PlayStation 3 and Xbox 360 and Mobile Suit Gundam Extreme VS. for PlayStation 3. Additionally, in visual and music
content, the Group will continue releases for the popular Mobile Suit Gundam UC (Unicorn) and TIGER & BUNNY andwill also launch package software of Mobile Suit Gundam AGE in the latter half of the fiscal year. Furthermore, in network
content, the Group will aim to maximize content value through social games, from Tamagotchi! with Mobage (distributed
via Mobage) and SUPER SENTAI WARS (distributed via GREE), to the already popular GUNDAM ROYALE (distributed
via Mobage) and GUNDAM MASTERS (distributed via GREE).
In the Amusement Facility Business, in Japan, we will continue to promote differentiated facilities that offer theexperience of the Group’s distinctive worldviews of characters. Overseas, we will strive to boost profitability by continuing
to implement various efficiency measures.
As for the consolidated projections for the full fiscal year ending March 31, 2012, there are no changes from the
projections that were announced on October 26, 2011.

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2. Matters Regarding Summary Information (Others)(1) Changes in Significant Subsidiaries during the Period
Not applicable.

(2) Application of Special Accounting for Preparing the Quarterly Consolidated Financial Statements
Calculation of taxes
Taxes are calculated first by reasonably estimating the effective tax rate after applying tax effect accounting against
income before income taxes and minority interests for the fiscal year including the current second quarter, and next bymultiplying the quarterly income before income taxes and minority interests by such estimated effective tax rate.

(3) Changes in Accounting Policies, Changes in Accounting Estimation and Restatement
Not applicable.

-5-3. Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(¥ million)
Prior Fiscal Year(As of March 31, 2011)

Current 2nd Quarter(As of September 30, 2011)

AssetsCurrent assets
Cash and time deposits

88,12682,644

Trade receivables

57,26257,002Finished goods and merchandise

10,553

12,593Work in process

26,741

29,789Raw materials and supplies

4,406

4,957

Other current assets

24,66425,708

Allowance for doubtful receivables

(820)

(664)

210,934

212,032

Property, plant and equipment

42,59144,504

Intangible assets

8,536

8,055

48,11150,049Total current assets
Fixed assets

Investments and other assets
Other investments and assets
Allowance for doubtful receivables(1,905)(2,011)

Total investments and other assets

46,20648,03897,334

100,598

308,269

312,631

Total fixed assets
Total assets-6-(¥ million)
Prior Fiscal Year(As of March 31, 2011)

Current 2nd Quarter(As of September 30, 2011)

Liabilities
Current liabilities
Trade payables

36,64140,410

Short-term borrowings

3,428

4,400

Accrued income taxes

7,979

7,400

Provision

2,590

2,151

Other current liabilities

35,46431,807

Total current liabilities

86,105

86,169Long-term liabilities
Long-term borrowings

–

8,000

Provision

3,001

3,065

Other long-term liabilities

5,469

5,324

Total long-term liabilities

8,470

16,38994,576

102,559

10,00010,000Total liabilities
Net assets
Stockholders’ equity
Common stock
Additional paid-in capital

69,92360,623Retained earnings

159,491

164,678

Treasury stock(3,496)(4,524)

Total stockholders’ equity

235,919

230,777

447

1,567

3

(323)

Accumulated other comprehensive income
Unrealized gains or losses on other securities, net of tax
Deferred gains or losses on hedges, net of tax
Land revaluation, net of tax(6,491)(6,491)

Foreign currency translation adjustments(17,775)(17,351)

Total accumulated other comprehensive income(23,816)(22,600)

Minority interests

1,590

1,893

Total net assets

213,693

210,071308,269

312,631

Total liabilities and net assets-7-

(2) Quarterly Consolidated Statements of Operations and Quarterly Consolidated Statements of Comprehensive
Income(Quarterly Consolidated Statements of Operations)(¥ million)
Prior 2nd Quarter(From April 1, 2010
to September 30, 2010)
173,595

Current 2nd Quarter(From April 1, 2011
to September 30, 2011)
194,241

111,231

119,004

Gross profit

62,36375,236

Selling, general and administrative expenses

57,29659,478Operating income

5,067

15,757

Dividend income

158

179

Other non-operating income

362

399

Total non-operating income

521

579

Net sales
Cost of sales

Non-operating income

Non-operating expenses
Equity in loss of affiliated companies

97–

Foreign exchange loss

334

146

Other non-operating expenses

151

213

Total non-operating expenses

582

360

5,006

15,977

Gain on transfer of business

405

54

Reversal of allowance for doubtful receivables

119–

Reversal of provision for loss from business restructuring

30–

Gain on reversal of stock subscription rights

715–

Other extraordinary income

168

18

Total extraordinary income

1,439

72

Loss on sales of fixed assets

1–

Loss on disposal of fixed assets

Recurring income
Extraordinary income

Extraordinary loss
54

561

Loss on adjustment for changes of accounting standard for
asset retirement obligations

1,205

–

Other extraordinary loss

2,716

440

Total extraordinary loss

3,977

1,002

Income before income taxes and minority interests

2,467

15,046

Income taxes

4,255

6,720

Income (loss) before minority interests(1,787)

8,326

Minority interests

143

300

Net income (loss)(1,930)

8,026

-8-

(Quarterly Consolidated Statements of Comprehensive Income)(¥ million)
Prior 2nd Quarter(From April 1, 2010
to September 30, 2010)
Income (loss) before minority interests

Current 2nd Quarter(From April 1, 2011
to September 30, 2011)(1,787)

8,326

Unrealized gains or losses on other securities, net of tax

96

1,165

Deferred gains or losses on hedges, net of tax

(95)

(326)

(5,658)

459

(64)

(45)

(5,722)

1,253(7,509)9,579

Comprehensive income attributable to owners of the parent(7,586)

9,242

Comprehensive income attributable to minority interests

76

337

Other comprehensive income

Foreign currency translation adjustments
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to-9-(3) Notes on Premise of Going Concern
Not applicable.

(4) Segment Information(Segment Information)
I. Prior 2nd quarter (From April 1, 2010 to September 30, 2010)
1. Information regarding the amounts of net sales and income/loss by reportable segment(¥ million)
Reportable Segments

Quarterly
Adjustments Consolidated
Total(Note 2)
(Note 3)Toys and
Hobby
Business

Content
Business

Amusement
Facility
Business

Subtotal

Other(Note 1)

To external customers

70,602

68,25731,581

170,441

3,153

173,595–

173,595

Inter-segment sales
and transfers

1,621

3,194

22

4,839

5,547

10,386(10,386)–

Total

72,22471,452

31,604

175,280

8,701

183,982(10,386)

173,595

Segment income (loss)

7,072(2,600)

1,520

5,991

429

6,421

(1,354)

5,067

Total

Net sales

Notes: 1.
2.

3.

The “Other” category is a business segment not included in reportable segments under which operations such as
logistics services and building management for each of the Group’s strategic business units are classified.
Included in the 1,354 million yen deducted from segment income (loss) as adjustment are an addition of 110
million yen in inter-segment eliminations, and a deduction of 1,465 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.
Segment income (loss) is adjusted with operating income in the quarterly consolidated statements of operations.

2. Information regarding loss on impairment of fixed assets and goodwill by reportable segment(Material loss on impairment of fixed assets)
Not applicable.
(Material changes in the amount of goodwill)
Not applicable.
(Material gains on negative goodwill)
Not applicable.

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II. Current 2nd quarter (From April 1, 2011 to September 30, 2011)
1. Information regarding the amounts of net sales and income/loss by reportable segment(¥ million)
Reportable Segments

Quarterly
Adjustments Consolidated
Total(Note 2)
(Note 3)Toys and
Hobby
Business

Content
Business

Amusement
Facility
Business

Subtotal

Other(Note 1)

To external customers

79,082

79,97331,283

190,339

3,901

194,241–

194,241

Inter-segment sales
and transfers

2,545

6,738

22

9,306

7,618

16,925(16,925)–

Total

81,62786,711

31,306

199,645

11,520211,166(16,925)

194,241

8,986

5,369

1,891

16,247

1,045

17,293(1,535)15,757Total

Net sales

Segment income

Notes: 1.
2.

3.

The “Other” category is a business segment not included in reportable segments under which operations such as
logistics services and building management for each of the Group’s strategic business units are classified.
Included in the 1,535 million yen deducted from segment income as adjustment are a deduction of 224 million
yen in inter-segment eliminations, and a deduction of 1,310 million yen in corporate expenses that cannot beallocated to any reportable segment. The corporate expenses are mainly costs related to the administration
division that has not been attributed to a reportable segment.
Segment income is adjusted with operating income in the quarterly consolidated statements of operations.

2. Information regarding loss on impairment of fixed assets and goodwill by reportable segment(Material loss on impairment of fixed assets)
Not applicable.
(Material changes in the amount of goodwill)
Not applicable.
(Material gains on negative goodwill)
Not applicable.
(5) Notes on Significant Changes in the Amount of Stockholders’ Equity
During the second quarter (six months), in accordance with a decision made by the Board of Directors at a meeting
held on February 25, 2011, the Company acquired 11,110,764 of its own shares at a purchase price of 10,327 million yen.
Additionally, in accordance with a decision made by the Board of Directors at a meeting held on July 15, 2011, theCompany carried out the retirement of treasury stock on July 19, 2011. As a result of this retirement, treasury stock
decreased by 10,000,000 shares, or 9,299 million yen, and additional paid-in capital decreased by the same amount.
The value of treasury stock as of the end of the second quarter was 4,524 million yen.

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