BANDAI NAMCO Group
Information Meeting(Fiscal Year Ended March 2019)

Results in FY2019.3

Results in FY2019.3
billion yen
FY2017.3

FY2018.3

FY2019.3

Vs. previousyear’s results

Net Sales

620.0

678.3

732.3

+54.0

Operating Profit

63.2

75.0

84.0

+9.0

Recurring Profit

63.2

75.3

86.8

+11.5

Profit Attributable toOwners of Parent

44.1

54.1

63.3

+9.2

Capital Investments

19.5

54.8

22.0

-32.8

Depreciation

21.8

23.5

21.3

-2.2

Game content
R&D investments

59.0

70.9

81.4

+10.5

Advertising Expenses

39.3

39.7

44.4

+4.7Personnel Expenses

53.6

56.5

60.6+4.1

Results by Segment
billion yen
FY2018.3
results

Toys and Hobby
NetworkEntertainmentRealEntertainment
Visual and Music
Production
IP Creation
Other
Elimination andCorporate
Consolidated

FY2019.3
forecast(as of February2019)

FY2019.3
results

Vs. previous
year’s results

Vs. previous
forecast

Segment sales

222.4

240.0

242.8

+20.4+2.8

Segment profit
Segment sales

14.4
326.5

22.0
330.0

21.7
340.9

+7.3
+14.4

-0.3
+10.9

Segment profit

50.1

40.0

47.5

-2.6

+7.5

Segment sales

90.5

100.0

101.4

+10.9+1.4

Segment profit
Segment sales

3.1
40.6

4.0
40.0

4.2
45.5

+1.1
+4.9

+0.2
+5.5

Segment profit

6.6

7.5

8.7

+2.1

+1.2

Segment sales

16.9

18.0

22.4

+5.5

+4.4

Segment profit
Segment sales

5.2
27.6

4.5
30.0

5.0
29.7

-0.2
+2.1

+0.5
-0.3

Segment profit

0.7

1.0

1.1

+0.4

+0.1

Segment sales

-46.4

-48.0

-50.6

-4.2

-2.6

Segment profit

-5.4
678.3
75.0

-4.0710.0
75.0

-4.4
732.3
84.0

+1.0
+54.0
+9.0

-0.4
+22.3+9.0

Net sales
Operating profit

Results by Segment (Main factors for differences with previous forecast)
Toys and Hobby
Favorable performance of products for mature fan base, centered on Japan and Asia

Network Entertainment
Network content: Favorable performance of existing key titles
Home video games: Favorable repeat sales and sales from new titles in 4Q,
increase in download rate

Real Entertainment
Favorable performance of existing facilities sales in Japan

Visual and Music Production
Favorable performance of package software and live events related to IDOLiSH7,
THE IDOLM@STER, and other series

IP Creation
License revenue, etc., higher than forecast

FY2019.3 Dividend
End of second
quarterYear-end

Total

FY2019.3 Dividend

¥18

¥127

¥145

FY2019.3 Forecast(as of February 2019)

¥18

¥105

¥123

FY2018.3 Dividend

¥12

¥111

¥123

Dividend

Aim for a total dividend payout ratio of 50% or more
based on a stable divided of DOE 2%Interim dividend: ¥18
Year-end dividend: ¥127
(base dividend: ¥18; performance-based dividend: ¥109)→Annually ¥145 per share (DOE: 7.8%; total dividend payout ratio: 50.3%)(base dividend: ¥36; performance-based dividend: ¥109)

FY2020.3 PlanFY2020.3 Planbillion yen
FY2019.3
First half

FY2020.3

Full-year

First-half plan

Full-year plan

Net Sales

334.6

732.3

340.0

720.0

Operating Profit

43.9

84.0

31.0

70.0

Recurring Profit

45.8

86.8

31.5

71.0

Profit Attributable toOwners of Parent

34.1

63.3

23.0

50.0

Capital Investments

10.7

22.0

11.0

23.0

Depreciation

9.3

21.3

10.0

23.0

Advertising Expenses

18.5

44.4

21.0

49.0

Personnel Expenses

28.4

60.6

28.0

59.0

FY2020.3 Planbillion yen
FY2019.3
First half

FY2020.3

Full-yearFirst-half plan

Full-year plan

Net Sales

334.6

732.3

340.0

720.0

Operating Profit

43.9

84.0

31.0

70.0

Recurring Profit

45.8

86.8

31.5

71.0

Profit Attributable toOwners of Parent

34.1

63.3

23.0

50.0

・ Strengthen stable profit base that is not impacted by changes in the business environment
・Avoid making decisions in digital domains based on existing precedents
・Reinforce IP creation investment in order to strengthen the IP Axis Strategy
・Promote the strengthening of foundations geared toward further global expansion
・Strengthen technological research with a view to the next generation

FY2020.3 Plan by Segment
FY2019.3

billion yen
Toys and Hobby
Network Entertainment
Real Entertainment
Visual and MusicProduction
IP Creation
Other
Elimination andCorporate
Consolidated

First half

FY2020.3 Plan

Full-year

First-halfplan

Full-yearplan

Segment sales

112.3

242.8

120.0

250.0

Segment profit

12.8

21.7

10.0

21.0

Segment sales

154.6

340.9

150.0

320.0

Segment profit

23.4

47.5

16.0

36.0

Segment sales

46.0

101.4

50.0

110.0

Segment profit

2.0

4.2

1.5

5.0

Segment sales

20.5

45.5

20.0

45.0

Segment profit

4.7

8.7

3.58.0Segment sales

9.3

22.4

8.0

20.0

Segment profit

2.5

5.0

2.5

5.0

Segment sales

14.2

29.7

14.0

30.0

Segment profit

0.5

1.1

0.5

1.0

Segment sales

-22.4

-50.6

-22.0

-55.0

Segment profit

-2.1

-4.4

-3.0

-6.0

Net sales

334.6

732.3

340.0

720.0

Operating profit

43.9

84.0

31.0

70.0

Plans for FY2020.3 by Segment
Toys and Hobby
Japan and overseas: Strengthening of product development for mature fan base
Focusing of efforts on IP creation, new IP, new product launch, etc.

Network Entertainment
Network content: Stable operation centered on key titles
Home video games: Differences in title lineup (off-season for large-scale worldwide titles)
Technological research for the next generation

Real Entertainment
Amusement machines: Planned launch in multiple new products
Amusement facilities : Improvement in YoY performance of existing facilities sales in Japan +Roll out of new-format facilities

Visual and Music Production
Package software: Not expected to reach levels of FY2019.3, when performance of highvalue-added products was strong
Live events: Anticipated decline in number of performances

IP Creation
Fostering interest in the 40-year anniversary of GUNDAM
Changes in composition of license revenue

Progress of the Mid-term Plan

IP Axis
StrategyAccelerate Evolution in the IP Axis Strategy

IP Creation▶ Ongoing progress with multiple efforts, includingGroupwide projects and external partnerships▶ Amount invested in FY2019.3: ¥6.0 billion▶ Commencement of the BANDAI NAMCO Content FundRegionStrategyGain Momentum with ALL BANDAI NAMCO

Groupwide, large-scale tours

Continuing on from the North
American tour in FY2019.3,
worldwide tour planned for FY2020.3

Business collaboration in China

BANDAI NAMCO Holdings CHINA CO., LTD

万代南夢宮（中国）投資有限公司

TH

BANDAI NAMCO Toys & Hobby (SHANGHAI) CO.,LTD.
万代南夢宮（上海）玩具有限公司

NWE

BANDAI NAMCO Entertainment （SHANGHAI） CO., LTD.
万代南夢宮（上海）互動娯楽有限公司

RE

BANDAI NAMCO Amusement（SHANGHAI）CO., LTD.
万代南夢宮（上海）遊楽有限公司

IPC

SUNRISE（SHANGHAI）CO., LTD
⽇昇（上海）品牌管理有限公司

Trends by Business

Trends by Business

Toys and Hobby

Start of new IP and expansion aimed at mature fan base
Key new IP series

Start of Ultraman
Taiga in 2Q

Collaboration with the 40-year
anniversary of GUNDAM

Advanced release inAsia
SD GUNDAM WORLD SANGOKU SOKETSUDENAI technologies × Digital card games
Planned release insummer 2019

Figurines

Trends by BusinessNetwork Entertainment

Efforts focused on improving quality and increasing contact points with customers

Network Content

Home Video Games

Initiatives and operation based onanalyses
Title lineup that emphasizes quality

Longer lifespan of games via
downloadable content (DLC), etc.
Lineup of selected new titles

Trends by Business

Real Entertainment

In addition to the launch of new machines, start to roll-out new venues
Amusement machines
Launch of multiple
new titles andimprovement tocompetitiveness
Facilities
Expansion of new-format
facilities

Plans underway for new largescale concept facilities
New technologies
andIP worldviews

Trends by Business Visual and Music Production
Strengthen roll-out of IP among visual, music, and live events
Strengthen key IP roll-out
GIRLS und PANZER

Anticipated package software titles
Release of visual package
software for theatricalversions of hit titles

Roll-out of new visuals

New roll-out of key IP
The Magnificent KOTOBUKI

Roll-out of newvisuals linked to apps

Anticipated live events
20-year anniversary of the Lantis label

Trends by BusinessIP Creation

Strengthen roll-out of GUNDAM with a view to the future
40-year anniversary of GUNDAM
Roll-out and creation of multiple new visuals

Multiple ongoing projects
GUNDAMGLOBALCHALLENGEGUNDAM live-action Hollywood movie

New release in the GUNDAM BUILD series
SD GUNDAM WORLD SANGOKU SOKETSUDENGUNDAM Reconguista in G Theatrical Movie
MOBILE SUIT GUNDAM HATHAWAYMid-term VisionNote on Projections
This document contains forward-looking statements and information related to theBANDAI NAMCO Group that are based on our knowledge as well as various
assumptions made on the basis of information currently available. The words “forecast,”“plan,” “target,” “estimation,” “projection,” “intend,” “will” and similar expressions, as
related to the Group, are intended to identify forward-looking statements and information.
Actual results could differ materially from those projected in such forward-lookingstatements.

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BANDAI NAMCO GroupInformation Meeting(Fiscal Year Ended March 2019)