BANDAI NAMCO Group
Information Meeting
Fiscal Year Ending March 2021
3rd Quarter Result Presentation

Results in FY2021.3

2

Results in FY2021.3 (For the First Nine Months of FY2021.3)
FY2020.3

FY2021.3

Vs. previous year’s
results

First nine months

First nine months

First nine months

Net Sales

532.5

543.4

+10.9

Operating Profit

72.0

72.9+0.9

Recurring Profit

73.4

75.1+1.7

Profit Attributable toOwners of Parent

52.9

50.6

-2.3

Capital Investments

19.6

17.0-2.6

Depreciation

15.9

16.1+0.2

Game content
R&D investments

58.0

58.0

±0Advertising Expenses

31.9

29.3

-2.6

Personnel Expenses

46.3

49.2

+2.9

billion yen3

Results by Segment (For the First Nine Months of FY2021.3)

Toys and Hobby
NetworkEntertainment
RealEntertainment

Visual and Music
Production
IP Creation
Other
Elimination andCorporate
Consolidated

FY2020.3

FY2021.3

Segment sales

First ninemonths
200.9First ninemonths
220.9

Vs. previous
year’s results
First ninemonths+20.0

Segment profit

28.6

35.5

+6.9

Segment sales

232.0

258.4

+26.4

Segment profit

36.4

47.7

+11.3

Segment sales

69.0

42.5

-26.5

Segment profit

1.1-9.7-10.8

Segment sales

31.6

16.8

-14.8

Segment profit

5.50.2-5.3

Segment sales

11.7

16.2+4.5

Segment profit

3.5

2.6-0.9

Segment sales

23.5

25.2+1.7

Segment profit

1.3

1.5+0.2

Segment sales

-36.3

-36.7

-0.4

Segment profit-4.7-5.0-0.3

Net sales

532.5

543.4

+10.9

Operating profit

72.0

72.9

+0.9

billion yen

4Overview by Business Segment (For the First Nine Months of FY2021.3)
Toys and Hobby▸Products for the mature fan base grew in popularity
in both Japan and overseas▸Released new IP products in a timely manner▸Peripheral products performed favorably▸Plan to enact measures in the fourth quarter withsights set on further growth in FY2022.3 and beyond

Network Entertainment▸Network content
Continued to achieve brisk results for existing mainstay titles
by virtue of ongoing measures▸Home video games
Repeat sales grew dramatically, totaling 20.69 million units
for the nine months ended December 31, 2020
▸Aim to continue developing major titles and investing toward
future growth

SCARLET NEXUS5

Overview by Business Segment (For the First Nine Months of FY2021.3)
Real Entertainment▸Amusement facilities in Japan: Customer numbers fell considerably as a result of temporary
closures, reduced operating hours, and other factors associated with the spread of COVID-19▸Amusement facilities overseas: Lockdowns remain in force in certain regions at this time

Visual and Music Production▸Releases of visual and music package software titles postponed due todelays in production schedules and other factors▸Enhanced initiatives for organizing live events, such as online streaming
without the presence of an audience, in the wake of their cancellation andpostponement and the impact of restrictions imposed on the number of attendees

IP Creation▸Produced visual products and created buzz for IP for
the Gundam series and Love Live! series
6The Unceasing Evolution of Gundam
GUNDAM FACTORY YOKOHAMA
Opened on December 9, 2020
Located in Yamashita Futo,
Yokohama
Features a life-size moving
GundamNew Visuals

Life-Size Freedom Gundam Statue
To be unveiledin Shanghai,

China in 2021

Products and Services

Mobile Suit Gundam: Senjō noKizuna II arcade game
Scheduled for release in 2021

BANDAIHOBBYPOPUPSTORELA7

Results in FY2021.3 (Full-year)
FY 2020.3
Full-year

FY 2021.3
Full-year

FY 2021.3
billion yen
Previous Forecast

Net Sales

723.9

720.0

650.0

Operating Profit

78.7

72.0

50.0

Recurring Profit

79.7

74.0

50.5

Profit Attributable toOwners of Parent

57.6

36.0

33.0

Capital Investments

27.3

23.0

23.0

Depreciation

23.2

23.5

23.5

Game content
R&D investments

80.3

Advertising Expenses

44.3

43.0

41.0

Personnel Expenses

61.8

64.0

59.08

Results by Segment (Full-year)
Toys and Hobby
NetworkEntertainment
Real Entertainment
Visual and Music
Production
IP Creation
Other

Elimination andCorporate
ConsolidatedFY 2020.3

FY 2021.3

Full-year

Full-year

Vs. previous
year’s result
Full-year

Segment sales

253.7

290.0+36.3

Segment profit

26.7

36.0+9.3

Segment sales

328.0

340.0+12.0

Segment profit

43.8

50.0+6.2

Segment sales

91.7

67.0

-24.7

Segment profit

-1.5

-12.0

-10.5

Segment sales

46.9

25.0-21.9

Segment profit

8.0

0.5

-7.5

Segment sales

23.4

25.0+1.6

Segment profit

6.2

4.0-2.2

Segment sales

31.0

30.0-1.0

Segment profit

1.3

1.0-0.3

Segment sales-51.0-57.0-6.0

Segment profit

-5.9

-7.5

-1.6

Net sales

723.9

720.0

-3.9

Operating profit

78.7

72.0

-6.7

billion yen9

Full-Year Forecast Assumptions and Extraordinary Loss
Full-Year Forecast (Fourth-Quarter Forecast) Assumptions
・Current state due to COVID-19 is expected to continue in Japan and overseas.
・Fourth quarter positioned as a period for the development of IP and products and services
for FY2022.3 and beyond.

Extraordinary Loss
Cost associated with restructuring of the Real Entertainment Business: ¥13.0 billion
Operations in Japan: ¥10.0 billion
Operations overseas: ¥3.0 billion
Pursue the development of a robust business foundation based on the new organizational systemby shedding fixed costs, improving business efficiency, and engaging in selection and concentration
strategies in the Real Entertainment Business, in addition to complying with various accounting
standards.
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Dividend Forecast
Aim for a total dividend payout ratio of 50% or more
based on a stable divided of DOE 2%

Projected annual dividend for FY2021.3: ¥82‐ Base dividend: ¥42‐ Performance-based dividend: ¥40

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Organizational SystemFrom April 2021:

Entertainment Unit
(current Network Entertainment Unit + Toys and Hobby Unit)

BANDAI NAMCO Entertainment Inc. (in charge of Digital business)
BANDAI CO., LTD. (in charge of Toys and Hobby business)

IP Production Unit
(current Visual and Music Production Unit + IP Creation Unit)

BANDAI NAMCO Arts Inc. (in charge of Visual and Music business)
SUNRISE INC. (in charge of Creation business)

Amusement Unit
(current Real Entertainment Unit)

BANDAI NAMCO Amusement Inc.
Affiliated companies

12Officer System (From April 2021)

Mitsuaki Taguchi
Chairman and Director
BANDAI NAMCO Holdings Inc.

Masaru Kawaguchi
President and Representative Director
BANDAI NAMCO Holdings Inc.

13

Officer System (From April 2021)

Yasuo Miyakawa
President and Representative Director
BANDAI NAMCO Entertainment Inc.

Naoki Katashima
Representative Senior Managing Director
BANDAI NAMCO Entertainment Inc.
14

Officer System (From April 2021)

Kazuhiro Takenaka
President and Representative Director
BANDAI CO., LTD.

Nao Udagawa
President and Representative Director
BANDAI SPIRITS CO., LTD.
15

Officer System (From April 2021)

Satoshi Kono
President and Representative Director
BANDAI NAMCO Arts Inc.

Hiroshi Kawasaki
President and Representative Director
BANDAI NAMCO Amusement Inc.
16

Mid-term Vision17

Note on Projections
This document contains forward-looking statements and information related to the BANDAI
NAMCO Group that are based on our knowledge as well as various assumptions made on thebasis of information currently available. The words “forecast,” “plan,” “target,” “estimation,”“projection,” “intend,” “will” and similar expressions, as related to the Group, are intended toidentify forward-looking statements and information. Actual results could differ materiallyfrom those projected in such forward-looking statements.

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BANDAI NAMCO Group
Information Meeting
Fiscal Year Ending March 2021
3rd Quarter Result Presentation
19