Bandai Namco Group INTEGRATED REPORT 2023
オンプロダクト-スタンドードタイプ 英語版

オンプロダクト-ミニラベル

英語版（印刷スペースが無い場合）

1C

1C

4C

I N TE G RATE D RE P O RT

https://www.bandainamco.co.jp/

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Printed in Japan

色指定 / 特色 : Pantone 626C

CMYK : C100 M60 Y100 K20

公和印刷株式会社

2023

Bandai Namco’s Purpose

Bandai Namco exists to share dreams,
fun and inspiration with people around the world.
Connecting people and societies in the enjoymentof uniquely entertaining products and services,
we’re working to create a brighter future for everyone.

1

Contents
04	ORGANIZATIONAL STRUCTURE

50	ESG SECTION

AND IP AXIS STRATEGY
06

	THE BANDAI NAMCO GROUP—OUR VALUE CREATION PROCESS50

ROUNDTABLE DISCUSSION AMONG OUTSIDE DIRECTORS

fun and inspiration to people around the world and strive to create smiles

56	PERSONNEL STRATEGY

and happiness into the future.

		PERSONNEL STRATEGY OF THE BANDAI NAMCO GROUP
		

08

10

	MAJOR IP IN GROUP PRODUCTS AND SERVICESFOR THE BANDAI NAMCO GROUP
12

16

		

EXAMPLE OF A SUSTAINABILITY ACTIVITY		SUSTAINABILITY MANAGEMENT		SUSTAINABILITY ACTIVITIES THAT LEVERAGE IP

	THE BANDAI NAMCO GROUP—

ADDRESSING TCFD RECOMMENDATIONS		MATERIAL ISSUE ACTIVITIES82

	DIRECTORS, BANDAI NAMCO HOLDINGSOF THE CORPORATE PLANNING DIVISION	PRESIDENT’S MESSAGE

	FINANCIAL SECTION	MESSAGES FROM THE PRESIDENTS
105 	CORPORATE DATAOF THE BUSINESS MANAGEMENT COMPANIES30

DIRECTOR SYSTEM	CFO/CISO’S MESSAGE
98

22

CORPORATE GOVERNANCE		MESSAGE FROM THE DIVISION GENERAL MANAGER

94

20

	SUSTAINABILITYDIALOGUE: SUSTAINABILITY INITIATIVES		CLIMATE CHANGE INITIATIVES:

1 YEAR OF RESULTS
14

EXAMPLES OF INITIATIVES TO DEVELOP HUMAN RESOURCES
60

	RISKS AND OPPORTUNITIES	
MID-TERM PLAN OF THE BANDAI NAMCO GROUP

106 	OVERVIEW OF MAIN GROUP COMPANIES(APRIL 2022 TO MARCH 2025)
36

Always keeping in mind “Fun for All into the Future,” we will work to provide

In April 2022, we formulated our Purpose — Fun for All

Originally, our business was “the pursuit of smiles

into the Future — which is the ultimate definition of who

and happiness,” and there is no end to that mission.

we are as a Group, and started the Mid-term Plan, which

To everyone associated with the Group, I will continue

is aligned with the Purpose. The Purpose expresses theto repeat this message going forward. The Company

meaning of the Group’s existence for society and what

has been fortunate to be able to maintain favorable

we aim to be. The key words “connecting and working

results, and for net sales, the ¥1.0 trillion mark is

together to create things” resonate with the Mid-term

within sight. However, we will not be satisfied with

Vision “Connect with Fans.” The Mid-term Plan and thethe status quo. We must strive to record further

Purpose are closely related and inseparable.

growth on a global basis and to continue to evolve

With the richness of spirit that creates entertain-

into a group that is even more highly evaluated. Going

ment, we will connect people with people, people

forward, we will continue to forge broader, deeper,with society, and people with the world. The idea of

longer-lasting connections and to work toward theworking together with all people to create that type of

realization of the future outlined in the Purpose.

future is incorporated into the phrase “Fun for All into
the Future.” In other words, this involves providing
fun and inspiration to people around the world andMasaru Kawaguchi

pursuing smiles and happiness with a focus on thePresident and Representative Director
Group CEO
Bandai Namco Holdings Inc.

future. As used here, the word “people” includes all of
our stakeholders.

	SPECIAL FEATURE: Connect with Fans—
Forging Connections with Fans underthe ALL BANDAI NAMCO Concept

Bandai Namco’s Purpose

Ultimate
definition

Group
About Integrated Report 2023
IR
Information

Sustainability

Mid-term Vision

In editing this report, we made reference to the IFRS Foundation’s Integrated Reporting
Framework and SASB Standards on Toys & Sporting Goods and Software & IT Services, aswell as the TCFD recommendations.

Mission statement

Forward-Looking Statements
The forward-looking statements in this report are based on the information available tomanagement as of August 2023 and include various risks and uncertainties. Accordingly,
actual results may differ materially from these projections for a variety of reasons. Major
factors that could influence actual results include changes in the Bandai Namco Group’s
operating environment, market trends, and exchange rate fluctuations.
Our website provides a variety of information about
the Bandai Namco Group, such as IR information andsustainability initiatives. Please utilize the website inconjunction with this report.

https://www.bandainamco.co.jp/
en/index.html

2

Notes: 1. Figures in this report have been rounded down.
2. Unless otherwise noted, figures in this report are as of August 2023.
3. This is an English translation of the Japanese original Bandai Namco Group Integrated Report
2023. The Company provides this translation for your reference and convenience only and does
not guarantee its accuracy or otherwise. In the event of any discrepancies, the Japaneseoriginal integrated report shall have precedence.

Units
Businesses

Groupcompanies

Mid-term Vision (what we aim to be in the mid-term)
Values (codes of conduct)

Corporate philosophy· Mission (mission that the company should fulfill) / Vision (what we aim to be)· Values (codes of conduct)Note: All tied to Bandai Namco’s Purpose

Bandai Namco Group Philosophy

3* IP: Characters and other intellectual property

ORGANIZATIONAL STRUCTURE AND IP AXIS STRATEGYORGANIZATIONAL STRUCTURE
AND IP* AXIS STRATEGYRegional management companies

With a system of three Units, the Bandai Namco Group is creating a diverse range of entertainment under the ALL BANDAI NAMCO concept.

Bandai Namco Holdings USA Inc.

In addition, the strength of the Bandai Namco Group is the IP axis strategy, under which we work to maximize the value of characters andBandai Namco Europe S.A.S.*

other intellectual property (IP) in order to provide the optimal products and services in the optimal regions at the optimal times.

Bandai Namco Holdings Asia Co., Ltd.
Bandai Namco Holdings China Co., Ltd.
Bandai Namco Holdings UK Ltd.

ORGANIZATIONALSTRUCTURE* Operating holding company

ENTERTAINMENT
UNIT
Digital BusinessBusiness Management Company:
Bandai Namco Entertainment Inc.
Planning, development, and distribution of
network content; planning, development, andsales of home video games

IP PRODUCTION
UNIT​AMUSEMENT UNIT

Business Management Company:
Bandai Namco Filmworks Inc.

Business Management Company:
Bandai Namco Amusement Inc.

Planning, production, and use of visual andmusic content, such as animations; management and use of copyrights; discovery anddevelopment of artists; live entertainment
business

Planning, development, production, sales, andafter-service for amusement machines;
planning and operation of amusement
facilities, including theme parks and indoor
playgrounds, etc.

AFFILIATED BUSINESSCOMPANIES
Supporting the Units in such areas as distribution,
logistics, and administrative services

The最適な
optimalタイミング
time

Maximizing
IP Value

Toys and Hobby BusinessBusiness Management Company:
BANDAI CO., LTD.
Planning, development, production, and salesof toys, capsule toys, cards, confectionery andfoods, apparel, sundries, plastic models,prizes, stationery, and other products

HOME CONSOLEGAMESAMUSEMENTFACILITIESTOYSCONFECTIONERY
and FOODSCARDSCultivation
育成

世界観を活かした
Introducing
products
and 商品・サービスのservices that leverage
the worldviews
投入 of IPs
Creation

Note: This illustration shows one example of IP axis development.

4

Co-creation
共創

IPIPinvestment
への投資

LIFESTYLE

VIDEO ON
DEMAND (VOD)
CONTENTVISUAL andMUSIC CONTENTIP AXIS STRATEGYNETWORKCONTENTWORKS

The最適な
optimalregion地域

LIVE
ENTERTAINMENT

AMUSEMENT
MACHINESNEWDEVICES

The最適な
optimaloutlet出口

MODEL KIT

MOVIES

Accumulated
know-how
ノウハウの蓄積5

THE BANDAI NAMCO GROUP—

Working Together with Fans around the World to Create the Future
In accordance with the Purpose, the Bandai Namco Group is taking steps to address the issues that we face. We are combining distinctive
management resources to implement the global rollout of the IP axis strategy, which is the Group’s greatest strength and business model,
and to provide products and services that leverage the appeal of IP. Moreover, through those products and services, we are striving to fulfill
our responsibility to contribute to a sustainable society and aiming to realize sustained growth over the medium to long term. In these ways,
the Bandai Namco Group is working to meet the expectations of its stakeholders. Through these initiatives, we will strive to provide fun andinspiration to people around the world, to create smiles and happiness into the future, and to achieve growth in our corporate value.

Bandai Namco’s Purpose:
THE BANDAI
NAMCO GROUP’SOPERATING
ENVIRONMENT
AND ISSUESFACING
THE GROUP

Changes incustomerlifestyles andpreferences

INPUT

Diversehuman
resources

Number of consolidated
employees:

10,563 people(As of March 31, 2023)

Technical
capabilities
Intensifying
competition in
global markets

Investment in game content
development etc.

76.2 billion¥

Corporate
culture oftaking on
challenges

Strategic investment tostrengthen the IP axis strategy:

40.0¥billionover three years

Planning anddevelopment
capabilities(FY2023.3 to FY2025.3)

Sales andmarketingcapabilities(FY2023.3)

ADVANCING
THE MID-TERM PLAN
Changes intechnology,
such as network
adoption

OUTCOME(KEY MANAGEMENT RESOURCES)

Advertising expenses:

56.7 billion¥(FY2023.3)

Stablefinancial
positionOpen partnerships

More than400
Shareholders’equity ratio:

70.4%(FY2023.3)

with external parties

Personnel Strategy
Developing diverse human resources

Strengthening
the IP axis
strategy

Shareholders

Number of registered patents:

Intellectual
property

1,929(As of the end of March, 2023,
Japan only)

MAIN STRATEGIESIP Axis Strategy

VALUE CREATION

Annual number ofIP utilized:

Connect with Fans

IP×Fan (Connecting with fans through IP)
IP×Value (Enhancing IP value)
IP×World (Connecting the world through IP)

VALUE CREATION PROCESSOUR VALUE CREATION PROCESS

Sustainability

Expandingbusiness ona global basis

Local
communities

Bolstering
financial
position

Connecting to smiles
into the future

Platform
diversification

Creating newentertainment

BUSINESS MODEL

Customers

Increasing
economic value

Increasingsocial value(IP AXIS STRATEGY)
Dependence on
specific IP,
businesses,
or regions

Securing humanresources

Addressing
climate change
andenvironmental
changeThreats, such as
disasters,
epidemics, andterrorism

6

Introducing products
世界観を活かしたand services
商品・サービスのthat leverage the
投入 of IPs
worldviews

CORPORATE GOVERNANCE

Maximizing
の価値を
IP
IP
Value
最大化

Strengthening
connections
with customers

Employees
Utilizing
diverse humanresources

Partners

Advancingsustainability
activities

7Annual Number of IP UtilizedMore than400

The Bandai Namco Group utilizes more than 400 IP per year to roll out products

Tamagotchi Series

E

E

A

Anpanman has been popular among
parents and children for more than
30 years. The Bandai Namco Group
provides Anpanman products andservices, centered on toys for infants.

E

Entertainment UnitI

IP Production Unit

A

Amusement Unit

IDOLiSH7

THE IDOLM@STER Series

DRAGON BALL Series

PAC-MAN

E

E

E

E

I

A

Since the launch of a game app for
smartphones in 2015, IDOLiSH7 hasachieved a high level of popularity,especially among women. The
Bandai Namco Group is rolling out awide range of products and services,
including animations, live events,
music CDs, and goods.

Ultraman Series

I

A

A

This in-house IP was created as aportable nurturing toy in 1996 andtoday is supported by two generations—parents and their children. We
are working to broaden the scope ofworldwide activities by strengthening
out-licensing.

and services. This section introduces examples of established IP.
Units Developing IP
Products and Services

I

A

This IP was introduced in 2005.
Centered on idol production gamecontent for smartphones and home
video games, it has earned popularity among a wide range of fans,without regard to gender. We arerolling out a variety of products andservices, such as music CDs, live
events, animations, comics, web
radio, and merchandise.

Launched in 1984, DRAGON BALL
comics and animations have earned
the support of customers around theworld for many years. The Bandai
Namco Group provides a wide rangeof DRAGON BALL products andservices, such as home video games,
network content, card products,
and figures.

KAMEN RIDER Series

PRETTY CURE! Series

MAJOR IP IN GROUP PRODUCTS AND SERVICES

MAJOR IP IN GROUPPRODUCTS AND SERVICES

AnpanmanA

With a theme of “eating,” PAC-MAN
was created in 1980 as a game that
could be enjoyed by all, without
regard to age or gender. Since then,in addition to game development,
PAC-MAN has been used in character
merchandising and has appeared ina variety of company commercials.
Even today, it is popular around theworld. PAC-MAN is one of the inhouse IPs that is representative ofBandai Namco.

BORUTO / NARUTO
ひろがるスカイ！プリキュア B2ポスター

E

I

A

Since its launch in 1966, Ultraman
has earned the support of a wide
range of age groups, extending to
two or even three generations.
The Bandai Namco Group provides
Ultraman products and services,such as toys and visual products.

E

I

A

The KAMEN RIDER series has been
popular for more than 50 years andhas earned the support of a wide
range of age groups around theworld. The Bandai Namco Group
provides various KAMEN RIDER
products and services, centered
on toys.

E

A

E

The PRETTY CURE! series has been
popular for 20 years, centered onchildren ages three to six. The Bandai
Namco Group provides a wide rangeof PRETTY CURE! products andservices, centered on toys.

A

This IP was introduced in 1999, andits comics and animations have been
popular around the world for many
years. The Bandai Namco Group isproviding a wide range of products
and services, centered on home
video games and network content.

あさABCテレビ・テレビ朝日系列にて放送

日曜 8 時 30 分

掲載誌：月刊「たのしい幼稚園」「おともだち」「なかよし」（講談社）
制作：ABCテレビ ABCアニメーション ADKエモーションズ 東映アニメーション©ABC-A・東映アニメーション■Illustrator：ver.CS５ ■Photoshop：ver.CS５ ■OS：ver.10.8.5※アウトライン済み※画像：psd※データは例年通りB4サイズ（W257mm×H364mm）で作成してあります。B2サイズ（W515mm×H728mm）に引き伸ばして下さい。

Mobile Suit Gundam Series

Super Sentai Series

Love Live! Series

ONE PIECE

E

E

E

E

I

A

Since the launch of Mobile Suit
Gundam in 1979, Mobile Suit Gundam
products have earned support
among a wide range of age groups.
Centered on visual products, theseinclude plastic models, home video
games, network content, and amusement machines. In addition to Japan,
Mobile Suit Gundam initiatives arebeing rolled out around the world,
including Hollywood films.

I

A

The Super Sentai series has maintained its popularity with more than
45 products and has also earned
support in Asia. The Bandai Namco
Group provides a wide range of Super
Sentai products and services,
centered on toys.

I

A

This IP, which was created from a
project linking magazines, visual
products, and music, was introduced
in 2010. In addition to magazine
pages and visual and music content,
live events are highly popular.

A

Launched in 1997, ONE PIECE comics
and animations have been populararound the world for many years. The
Bandai Namco Group provides awide range of ONE PIECE products
and services, such as home video
games, network content, and figures.

Note: IPs are listed in the order of the Japanese syllabary.

8

9

RISKS AND OPPORTUNITIESFOR THE BANDAI NAMCO GROUP

Opportunities

Risks

Risks

 isasters, such as natural disasters and accidents
DChanges in political situation
Revision of laws, regulations, etc.
Exchange rate fluctuations
Spread of infectious diseases, etc.

 romoting activities and implementing continued reevaluations based on thePbusiness continuity plan (BCP) and business continuity management (BCM)
Strengthening risk management system
Strengthening system for the collection and sharing of the latest information
about each business and region
Implementing initiatives in accordance with circumstances and the requestsof national and local governments in each country/region
Managing hygiene thoroughlyImplementing social support, such as through the contribution of support
funds and business-based measures latform diversificationPTechnological progress
Lengthening development periods and increasing investment amounts

Opportunities

 trengthening monitoring, strengthening vulnerability countermeasures
SExpanding information security departments
Strengthening information security education
Collecting the latest information, strengthening relationships with external
specialists

 preading/expanding network environment
STechnological progressExpansion of customer touchpoints through digitalization

 rowing potential for new markets, businesses, and busiG
ness models as a result of the advancement of technology

RisksI nformation leaks and effects on businesssystems resulting from cyberattacks, etc.
Technological progress and changes in laws,
regulations, etc.
Decline in in-house information literacy

MeasuresAll businesses rend toward fewer children in JapanT
Oil price increases
Strengthened regulations regarding the trend away fromthe use of plastic
Rising distribution costs
Concentration of production regions; quality controlRisks dvancing initiatives for harmonious coexistence with the naturalA
environment
Advancing energy-saving measures; increasing efficiency measures
Using low-carbon energy, such as renewable energy
Advancing recycling
Introducing new technologies and materials; implementing capital
investment

L ower electricity costs due to energy saving
Lower costs due to the introduction of efficient
production/transportation processes (principally the Toys and Hobby Business)
Creation of new markets due to changes incustomer preferences

Items accompanying other external factors

10 igher raw materials costs as well as productionHand procurement costs due to carbon regulations and plastic use regulations (principally the
Toys and Hobby Business)
Higher costs due to the introduction of newtechnologies, investment in R&D, or capital
investment (principally the Digital Business andthe Toys and Hobby Business)
Property damage, supply chain interruption, or
resource depletion due to natural disasters

Opportunities

Items accompanying information
security ecuring and development of the humanS
resources who will advance the IP axis strategy
on a global basis
Building of relationships with external c­ reatorsand external partner companies

Implementing the following initiatives, in addition to the permeation of the
Purpose within the Group:Taking steps to achieve workplace environments that foster mutual respect,
including the introduction of systems and frameworks that facilitate active
careers for diverse human resourcesImplementing employee climate survey
Implementing open collaboration without limiting ourselves to partners
within the Group
Strengthening supply chain management in business activities (continued
implementation of Code of Conduct (COC) audits, etc.)Implementing human rights due diligence

Risks

Changes in thenatural environment, such as
climate change

Risks

Risks

Items accompanying the active
utilization ofhuman resources

Implementing the following initiatives, in addition to enhancing brand value
through the permeation of Bandai Namco’s Purpose and advancing the main
strategies in the Mid-term Plan:Demonstrating synergies, such as from collaboration involving initiatives inboth the physical and digital business categories
Implementing initiatives for new business models, businesses, and platforms
Implementing reorganization to demonstrate our comprehensive strengths
under the ALL BANDAI NAMCO concept, such as with inter-Unit cooperation
Strengthening cooperation with external partners
Establishing balanced IP, business, and regional portfolios
Strengthening quality control/inspection systems, strengthening employee
training and supply chain management
Strengthening development system with focus on quality
Implementing strategic investment
Appropriately utilizing and protecting IP, including the elimination of counterfeit products and services
Taking steps to achieve workplace environments that foster mutual respect,
including the introduction of systems and frameworks that facilitate active
careers for diverse human resources
Bolstering sound financial positionI ntensification of competition in IP creation
Development and securing of human resources in
production

Opportunities

 romotion of collaboration among regions andPbusinesses
Expanding potential for the creation of newmarkets, businesses, business models, and IP asa result of rapid changes in markets and customers and advances in technology

Risks and Opportunities

MeasuresExpansion of viewing environments for visual works

Risks

Risks

 apid changes in markets and customers;
R
technological progressDependence on specific IP
Increased investment related to IP creation/acquisition
Intensifying competition
Problems with quality, etc., in products andservices that utilize IP
Damage to IP value, such as IP infringement
Securing and development of the humanresources who will advance the IP axis strategy

Opportunities

Risks and Opportunities iversification of entertainment utilizing real venuesDRising fuel prices and labor costs

RISKS AND OPPORTUNITIES

Major Risks and Opportunities in Each Business

Major Groupwide Risks and Opportunities
Items accompanying the advancement of the IP axis
strategy

For the Bandai Namco Group to record sustained growth over the medium to long term, we will need to reduce risks and make the most ofopportunities by responding rapidly to changes in the environment, identifying risks and opportunities for the Group, and considering andimplementing measures to address them. At top management meetings and various committees, we are analyzing and sharing information
about risks and opportunities and considering measures. In these ways, we will maintain an appropriate risk management system. In addition, we will strive to leverage new opportunities arising from changes in the business environment and to implement a range of initiatives
going forward.

 ddressing new technologies, new platforms
A
Strengthening initiatives to enhance IP recognition as well
as global roll-outs
Strengthening digital initiatives, such as online events ande-commerceEntertainment Unit
Digital Business ggressively addressing new technologies and newAplatforms
Strengthening research and information collection, such as
for new technologies
Strengthening development system with focus on quality
and increasing efficiency
Strengthening development control in accordance withbusiness models
Continuing communication with fans after title releases

Entertainment Unit
Toys and Hobby Business xpanding target customer groups and regionsEReforming and increasing the efficiency of the value chain indevelopment and production
Promoting initiatives for recycling and initiatives toaddress the trend away from the use of plastic, such as
new material R&D
Dispersing manufacturing bases, strengthening quality
control system (continued reevaluation of quality standards,
implementation of COC audits, etc.)

IP Production Unit
 onsolidating studio and production functions
CCollecting know-how regarding visual products, music
products, and live events
Enhancing production environment, securing humanresources, strengthening human resources development
Investing to enhance production technologies
Strengthening collaboration with all partners inside andoutside the Company

Amusement Unit trengthening collaboration with Group resources, such as
SIP, products, and services
Increasing efficiency, strengthening stable businessfoundation
Addressing diverse working styles

11

FY2023.3

THE BANDAI NAMCO GROUP—

1 YEAR OF RESULTS
Bandai Namco Holdings Inc. and Consolidated Subsidiaries
For the Fiscal Years Ended March 31

Operating Profit

990.0 billion

¥
990.0

+11.3%

I n addition to fostering collaboration among major IP
media activities and our products/services, we
advanced unified measures under the ALL BANDAI
NAMCO concept.

116.4 billion¥

YoY

Overview of Results

889.2

YoY

-7.2%

125.4

116.4

732.3 723.9 740.9
84.0

Net Sales

Operating
Profit(¥ billion)

Overseas
Sales Ratio

28.5

29.7
18.7

20.0

22.3

2020

2021

11.8

2022

2023

(%)

2019

2020

2021

2022

I n the IP Production Business, attendance at live events
recovered accompanying the relaxation of restrictions
on activities, and licensing revenues were favorable.
I n the Amusement Business, we advanced facility
development through collaboration with the Groupʼs
products and services.

Operating
Profit Margin

(%)

2019

10.9 11.4

11.5(¥ billion)

14.1

2023

Debt/Equity Ratio*2

70.4%

0.03 times

I n the Digital Business, home video game repeat sales
and major network content titles had favorable results.
On the other hand, with consideration for increased
competition, we recorded valuation losses, etc., on
certain work in process.
I n the Toys and Hobby Business, favorable results wererecorded by products for the mature fan base aroundthe world, and solid results were registered by suchproducts as cards, etc.

84.6

78.7

Shareholders’ Equity Ratio

429.3

453.0

Total
Shareholders’
70.0
Equity(¥ billion)

Others

10.0%

0.9%

2022

0.05

2021

2022

222.58140.70 136.88

0.03

0.01

0.9

2020

2023

*1 From FY2020.3, certain overseas consolidated
subsidiaries applied IFRS 16 “Leases.”
Increase in long-term borrowings in FY2021.
*2 Debt/equity ratio = Interest-bearing debt / Total
shareholders’ equity

2023

Female Managers 

CO2 Emissions 

147

8.4%

Digital

36.7%

2019

2020

2021

2022

2022

2023

* On April 1, 2023, we conducted a share split that split
one share of common stock into three shares.
Calculations are based on the assumption that theshare split was conducted at the beginning of
FY2022.3.

38.9%

Toys and
Hobby

47.0%

9.0%

(people)Return on Equity (ROE)

Return on Assets (ROA)

14.6%

14.3%

Scope 2
18.1

17.4

71.5%

Note: Percentages are calculated based on
external sales.
Figures are estimates based on management
accounting.

Total Net
Assets19.1(t-CO2)

21.5

21.2

(t-CO2)
2020

2021

2022

2023

862.6

15.5

13.1

2022
¥

732.7

14.6

10.2

Total Assets 15.1(¥ billion)

51,83650,945 49,256

6,271

6,039

5,540

6,131

2020

2021

2022

2023

2022

16.7
12.9

29.5 billion¥32.1 billion

Recycling Volume 127.6 billion

¥

13.0

14.3

¥144.5 billion

1,095 tons

Investment in game content
development etc. andCapital Investments

Gundam series
2022¥

101.7 billion

2023¥131.3 billion

2022

16.8 billion¥

Investment in game content
development etc.
2023

76.2 billion

36.4

¥

Ultraman series
2023

2,453 tons

* Covers the smartphone and home video games business ofBandai Namco Entertainment Inc., the toy business ofBandai Co., Ltd., the live events business of Bandai Namco
Filmworks Inc., and the amusement facility operations
business of Bandai Namco Amusement Inc.

DRAGON BALL series

612.9 619.8
16.9(¥ billion)

926.3

2023

5/14

Industrial Waste 

59,975

Scope 1KAMEN RIDER series

511.4
454.6

Number of Independent Directors Sales of IP Products and Services (Group Total)

584.2

429.6

10,563 people

755,556 t-CO

2

* Figures are totals for the five principal Group companies inJapan in FY2023.3.

652.1

Japan

174

57,875 56,485 55,387

Number of
FemaleManagers*
Ratio of Female
Managers to
Total Managers* 2019

Note: Percentages are calculated based on sales before elimination ofintersegment transactions.

Asia, excluding Japan

168

66,246(%)

Contributions to Net Salesby Geographic Region

157

Number of Consolidated Employees 

Scope 3* 

120

Digital

42.6%

12

2021

0.05

262.390.00
2019

IP Production

Toys and
Hobby

10.0%

6.1

After share split*

ESG (For detailed data, please refer to FACT BOOK 2023, a separate publication.)

Others

4.8%

2.9%

7.8%

Americas(times)70.4(%)

Amusement

IP Production

9.5%

288.40(¥ billion)

67.7

Before share split
422.09Interest-Bearing
Debt*1

Shareholders’Equity Ratio
2020

(Yen)

Segment Profit Ratio

Amusement

Europe584.7

Debt/Equity
Ratio*2
69.7

136.88

¥
29.3

22.5

472.8

72.5

2019

Segment Sales Ratio

Basic Earnings per Share

27.3

542.5

1 YEAR OF RESULTS

Net Sales

2023¥19.5 billion

CapitalInvestments(¥ billion)

27.9

27.3
22.7

22.0

ONE PIECE

ROE

ROA

(%)

2022

(%)
2019

2020

2021

2022

2023

2019

2020

2021

2022

2023

44.1 billion

¥

2023

¥86.3 billion

2019

2020

2021

2022

2023

13

DIRECTORS, BANDAI NAMCO HOLDINGSAs of June 19, 2023

DIRECTORS, BANDAI NAMCO HOLDINGS

14

MasaruKawaguchi

Yuji
Asako

Nobuhiko
Momoi

Nao
Udagawa

Kazuhiro
Takenaka

MakotoAsanuma

HiroshiKawasaki

Shuji
Ohtsu

ToshioShimadaKoichiKawanaMasataka
NagaikeToru
ShinodaSatokoKuwabara

Takayuki
KomiyaPresident andRepresentative
Director
Group CEO

Director

Director

Director (Part-time)

Director (Part-time)

Director (Part-time)

Director (Part-time)

Director (Part-time)

President and CEO of
Bandai Namco
Entertainment Inc.

President and CEO ofBANDAI CO., LTD.

President and CEO of
Bandai Namco
Filmworks Inc.

President and CEO of
Bandai Namco
Amusement Inc.

President and CEO of
Bandai Namco
Business Arc Inc.

Director(Part-time, Outside)

Director(Part-time, Outside)

Director
Audit & Supervisory
Committee Member

Director
Audit & Supervisory
Committee Member(Outside)

Director
Audit & Supervisory
Committee Member(Part-time, Outside)

Director
Audit & Supervisory
Committee Member(Part-time, Outside)

15

PRESIDENT’S MESSAGEPRESIDENT’SMESSAGE

Three consecutive years of record-high net
sales, approaching net sales of ¥1.0 trillion

By business, record-high results were achieved in the Toys and

Hobby Business and the Amusement Business. In the Digital

IP×Value (Enhancing IP value)
Please refer to the special feature, pages 42 to 45.

Each year, the Group utilizes more than 400 IP, which support

work content and by repeat sales of home video games. In thethe IP axis strategy. Of these, the established IP, such as Mobile

ing profit of ¥116.4 billion, surpassing the plan announced at

Toys and Hobby Business, contributions to results were made by

Suit Gundam, DRAGON BALL, and ONE PIECE, led our favorable

the beginning of the fiscal year. This performance was attribut-

favorable performances by products and services with high profit

results in the year under review. Although Gundam is theable to rapid measures under the ALL BANDAI NAMCO concept

margins, such as products for the mature fan base and card prod-

Group’s IP, DRAGON BALL and ONE PIECE are the IP of otherfor the global rollout of products and services on an IP axis anducts. Furthermore, due to the relaxation of restrictions on activities

companies. Our rollouts of products and services are imple-

to the persistence of all of our employees, who advanced aresulting from the COVID-19 crisis, there was a recovery in suchmented in cooperation with external partners, such as rights

variety of initiatives to connect with fans. We have achieved

factors as the number of customers at live events in the IP

holders. As a result of media activities for visual works andthree consecutive years of record-high net sales, which have

Production Business and at amusement facilities in thestrong collaboration in products and services, these establishedsurpassed ¥900.0 billion. The ¥1.0 trillion mark is within sight.

Amusement Business.

IP have continued to record stable growth and have become a

MASARU K AWAGU C HI

Looking at profits, in the Digital Business, the market environment

President and Representative Director
Group CEO
Bandai Namco Holdings Inc.

for this environment, we implemented a more rigorous reevalu-

is characterized by intensifying competition. With consideration
ation of the title development circumstances and businesssolid foundation for the IP axis strategy.

Progress with the Mid-term Plan
(April 2022 to March 2025)

In addition, targeting the creation of new IP, we will implement approximately ¥25.0 billion in strategic investment over
the three years of the Mid-term Plan. We are working from aplans. We recorded valuation losses, etc., on work in process

In April 2022, we formulated our Purpose, “Fun for All into thevariety of perspectives. It is difficult to create something from

and, as a result, for the full fiscal year profit was down year on

Future,” as the ultimate definition of who we are as a Group andthin air, but this steady planting of seeds should generate yields

year. Nonetheless, in business operations I believe that we got

began our new three-year Mid-term Plan, which is aimed at thein 10 or 20 years.

off to a good start in the first year of the Mid-term Plan. We

realization of the Purpose. Our Mid-term Vision is “Connect withachieved solid results with our efforts to expand global rollouts,

Fans.” We will work to build a new framework for connecting withessential, as are established IP and new IP. Under the IP axis

implement core IP media activities, foster strong collaborationfans, maximize the value of IP itself, and establish a businessstrategy, which was redefined in the current Mid-term Plan, evenamong products and services, and implement initiatives on ansystem under the ALL BANDAI NAMCO concept.

if upfront investment is made in the short term, we will aim to

IP axis under the ALL BANDAI NAMCO concept.

PRESIDENT’S MESSAGE

Business, contributions to results were made by key titles in net-

In FY2023.3, we recorded net sales of ¥990.0 billion and operat-

The following is an outline of our progress with our initiatives,principally from the perspective of the IP axis strategy.

In this way, in-house IP and IP from other companies are bothmaximize the value of the IP from a long-term perspective.
One factor making possible the above expansion of established IP is the implementation of Groupwide IP projects. In

IP×Fan (Connecting fans through IP)
Please refer to the special feature, pages 36 to 37.

“We will strive to maximize
the value of IP and achieve
further growth underthe ALL BANDAI NAMCO
concept.”

addition to their role in sharing information, these project teams
have also been given the authority to make decisions. The

We are currently focusing on the creation of the Gundam

project teams manage marketing and scheduling in a cross-

Metaverse, which is the first initiative in the IP Metaverse virtual

sectional manner, and coordinate within the Group. In this way,environment. We are planning a test opening in October 2023.

we have increased the speed of a variety of actions under the

The Group’s metaverse concept is significantly different fromthose of other companies. First, this initiative will be developed on
an IP axis. Second, our main focus is on maximizing the value of IP
itself by connecting with fans and building venues for communi-

ALL BANDAI NAMCO concept.

IP×World (Connecting the world through IP)
Please refer to the special feature, pages 46 to 49.

ties with fans. In this regard, what is important is the Data Universe,

Another favorable result in the fiscal year under review waswhich will be the foundation of the metaverse. Through the inte-

progress with global initiatives. The overseas sales ratio was

grated management of fan data and preferences, which are cur-

28.5%,* an increase of 6 percentage points from the final year ofrently managed by individual Group companies, we will increase

the previous Mid-term Plan. In major areas, we have consoli-

fan satisfaction with products and services.

dated bases into single offices. This has led naturally to lively

The IP Metaverse and the Data Universe will work together

communication and to such initiatives as joint booths with an IP

under the IP axis strategy. In this way, we will build an environment

axis at events and exhibitions, whereas in the past each com-

for the advancement of new initiatives, such as the implementa-

pany made its own arrangements. However, currently thesetion of data-driven strategies and the fusion of digital and physicalinitiatives are only being implemented for certain IP andelements.

categories. Going forward, we will need to further strengthen
collaboration across businesses and aim to foster businessdevelopment initiatives that are the same as those in Japan.
* “Overseas sales” is the sales of local subsidiaries and does not include sales madedirectly from Japan (same hereinafter). Results in the fiscal year under review areequivalent to more than 40% on a destination basis.

16

17

PRESIDENT’S MESSAGE

Sustainability and governanceconnections with a larger number of shareholders by increasing
the liquidity of the Company’s stock.

Please refer to the ESG section, page 60.

Favorable opportunities for growth in eras ofdramatic change

Looking at sustainability activities, we are working to establish

we are surrounded by opportunities.

other hand, there is also the viewpoint that activities closely tied

Currently, the Group is enjoying favorable circumstances in the

I would like the Group to have thatto the Group’s distinctive Purpose are themselves important.

markets where it conducts business operations. However,While advancing initiatives for these two axes, it will be neces-

uncertain elements still remain. Unknown start-ups suddenly

sary to communicate with society in a more proactive manner.

appear, and we must acknowledge that they have the potential

understanding and confidence and to takeadvantage of opportunities in global markets.”

specific indicators, with a focus on global standards. On the

Looking at our system, we established the Groupto become our rivals. Rapid progress is being made in the field

Sustainability Committee and the Sustainability Managementof IT, as seen with AI. If we are satisfied with the status quo, thenDepartment in April 2022, when the Mid-term Plan started. In

we are likely to encounter in unexpected areas. We recognize

June 2022, we transitioned to a company with an audit andthese types of risks, and we formulated the current Mid-term

supervisory committee, and we decided to reflect sustainability

Plan with a sense of urgency.

evaluations in the remuneration for directors (excluding Audit &Supervisory Committee and outside directors).
The change in organizational structure has made a significant

working as an aggregation of individual companies. The holding

contribution to enhancing the auditing function and the Board’s

company does not engage directly in business operations. Fromsupervisory function. Through the delegation of authority to thea medium- to long term perspective, it points out the overall

Against a background of advancing online visual productthe past, we will always continue to consider flexibly changing

Full-Time Officers Committee, the speed of decision-making

direction and works in a cross-sectional manner within thethe system accompanying changes in the market environment.

and business execution have been increased, and the Board isGroup to handle issues that are difficult for individual compa-

better able to focus on discussions regarding important matters,

nies to address. The activities of IP projects in FY2023.3

overall strategy, etc. In addition, I think that, along with off-site­exemplify the new form of the Group.

forward, we will leverage this favorable factor, and in the key
markets of North America and China we will implement aggressive investment, such as expanding IP and product categories.
We will strive to increase our overseas sales ratio to 35% in

Personnel strategy:
Environments filled with smiles and happinessIn the Bandai Namco Group, diverse human resources participate

as rapidly as possible.

actively and lead a variety of business initiatives in accordance

Organizational restructuring with a focus on
growth over stability

meetings and Vision Meeting initiatives, the Board is functioning
as a venue for free and open discussion and examination.

Toward the permeation and practicalapplication of the Purpose

ent skills, individual characteristics, and values can thrive.

In April 2022, in conjunction with the start of the Mid-term Plan,

Human resources are the Group’s greatest asset.

we established the Purpose, which is the ultimate definition of

Establishing an environment in which people can work ener-

I am confident that we have not yet fully leveraged Bandai
Namco’s potential. Looking at the history of the Group, it is clearthat the times when the world was undergoing significant

Please refer to the ESG section, pages 56 to 57.

FY2025.3, the final year of the current Mid-term Plan, and to 50%

with the phrase “same spirit, diverse talents.” People with differ-change presented opportunities for growth. In an age of dramatic change, we are surrounded by opportunities. I would likethe Group to have that understanding and confidence and to
take advantage of opportunities in global markets.
The Bandai Namco Group was created in 2005 through the

who we are as a Group. The Mid-term Vision reflects the empha-

management integration of Bandai Co., Ltd., and Namco

Since I became president, we have implemented decisive orga-

getically and leverage their strengths, and which is filled with

sis in the Purpose on “connecting” and “working together toLimited. The long-term targets that were announced at thatnizational restructuring, as well as personnel exchanges at thesmiles and happiness, is an important mission for executives.

create things,” and it clarifies the inseparable relationshiptime were net sales of ¥1.0 trillion and operating profit of ¥100.0

executive level that extend across business areas. The aims ofIn the most recent employee climate survey, scores were higher

between these two elements. We also changed our logo. In

billion. At this point, when we are closing in on the achievement

these initiatives are to activate each Unit and business; to pro-than expected. However, rather than being satisfied with theseprinciple, the new logo is displayed on all products and ser-of those targets, the Group is entering its second growth stage.

mote exchange of know-how, etc.; and to achieve the optimal

results, we will take steps to increase the motivation of employ-vices. I think that this has led to a sense of unity regarding

We will aim for further evolution and continue to take on chal-

allocation of personnel from a Group perspective. Going for-ees, such as further working style reforms.

reforms within the Group.

lenges, and I would like to ask for further support of the Group

Other issues include our personnel strategy under the ALL

Our Purpose, “Fun for All into the Future,” also expresses

BANDAI NAMCO concept. In the past, the tasks of securing andstriving to create smiles and happiness for people around thehiring personnel were handled at the business company level.

world. Striving to create smiles and happiness will always be an

version. For example, currently, the Entertainment Unit isHowever, it is necessary for the holding company to carefully

ongoing mission. We must strive to record further growth, andgenerating the majority of Group earnings, but generally this isconsider the human resources who handle Groupwide opera-

to evolve into a company that is even more highly evaluated insomething that would tend to be avoided from a management

tions. Going forward, we will consider the best approach to theJapan and around the world.

perspective. The reason why the Group implemented this struc-Group’s personnel strategy, including such matters as system

ture is that we are aiming not only for stability but also fordesign.

ward, we will continue to implement these types of initiatives asneeded.
We do not consider our current organization to be the final

growth. With a focus on growth potential, as we have done in18

For the Group to record further growth, we must work
together under the ALL BANDAI NAMCO concept, rather thandistribution and the hit status of Japanese anime movies, overseas fans of IP originating in Japan are increasing rapidly. Going

PRESIDENT’S MESSAGE“In an age of dramatic change,in the years ahead.



September 2023

On April 1, 2023, we conducted a share split with a ratio of
three shares for every one share of common stock. The reason
was that we want to forge broad, deep, and long-lasting19

CFO/CISO’S MESSAGE

Looking at new IP under (1), SAND LAND and SYNDUALITY will berolled out from summer 2023. In addition, we will continue tofocus on existing IP, centered on IP marketing for Mobile Suit

Three pillars of information security measures

Gundam, DRAGON BALL, and ONE PIECE. Moreover, we have

In July 2022, Group companies in Asia (excluding Japan) experi-

formed a start-up investment fund, and as of June 2023 we had

enced an unauthorized access incident. As CISO, I take this inci-

implemented capital participations in nine companies.

dent very seriously. The Group is implementing three pillars of

Looking at the IP Metaverse under (2), we are moving ahead
with the development of the Data Universe, which will be theinformation security measures: (1) standardization, (2) initial
response, and (3) education.

foundation of the metaverse. In regard to the Gundam Metaverse,

For (1) standardization, we are working to standardize thewhich is the first step, we are planning a test opening in Octobersecurity level at each Group company at a certain level or higher.

2023.

For (2) initial response, we have organized measures to be implemented in the event of an incident in an easy to understandGrowth-oriented capital policy
An important principle of our financial strategy is to always secure
one year of labor costs (approximately ¥80.0 billion to ¥90.0 billion) in order to maintain employment of human resources; one

CFO/CISO’SMESSAGEY UJI AS AKO
Director
CFO (Chief Financial Officer)
CISO (Chief Information Security Officer)
Bandai Namco Holdings Inc.

to one-and-a-half months of working capital (approximately¥100.0 billion), for stable operational administration, including
suppliers; and development expenses related to game content,these titles are expected to be released, including by competitors.

which are increasing in scale. Furthermore, it will be necessary toConsequently, the market environment is likely to undergo inten-

secure a certain level of cash on hand for strategic investment

sifying competition. With consideration for this situation, in theunder the Mid-term Plan and for flexible implementation of

Digital Business, with the objective of providing more high-quality

appropriate investment in rapidly changing industries.

titles, we carefully reviewed the title development circumstances

In regard to the cost of capital, we focus on the indicators ofand business plans. As a result, we recorded valuation losses, etc.,

ROE and operating profit margin, and we have announced an ROE

on work in process. In addition, in the Toys and Hobby Business,target of 12% or more in the final year of the Mid-term Plan

we recorded valuation losses, etc., on inventory.

(FY2025.3). We have already cleared this target, with a figure of
14.6% in FY2023.3. In aiming for further increases, rather than

Advancing strategic investment in accordancewith the Mid-term Plan
In the entertainment industry, which handles large numbers of

Off to a favorable start in the first year of
the Mid-term Plan

based on higher profits resulting from business growth. In order tomanner, and we are communicating them in a variety of forms.
For (3) education, we are utilizing e-learning, etc., and working toenhance the IT literacy of individual employees.
The information security environment is changing rapidly, andthe points that require attention also change. Going forward, we
will work to strengthen and enhance the level of security while
continually obtaining the latest information.
Cash Dividends per Share andTotal Payout Ratio
145

212

206

132
112

Cash Dividends per
Share (Yen)

50.3

50.3

50.3

50.2

2019

2020

2021

2022

50.2

Total Payout
Ratio (%)
2023

For the fiscal years ended March 31

continue to take on these frontline challenges, we must have asolid financial position.

Generating a higher level of profits ina secure mannerseasonal products, it is essential to maintain appropriate inven-

We have conducted periodic reviews of our cross sharehold-tory levels. Going forward, we will continue working to increase

ings. In accordance with such indicators as TSR (total shareholder

the accuracy of our demand forecasting. Furthermore, in the

return), each period the Board of Directors carefully reviews theAt the time of the management integration in 2005, the Group

Digital Business, accompanying lengthening development peri-

importance of holdings of listed and unlisted stocks. We will

announced long-term targets of net sales of ¥1.0 trillion andods, investment amounts are also increasing. In response to thissteadily reduce these holdings. On the other hand, we will con-operating profit of ¥100.0 billion. Following the achievement ofsituation, we have strengthened the evaluation system at the title

tinue to hold stocks that are necessary for advancing the IP axis

the operating profit target of ¥100.0 billion in FY2022.3, theIn FY2023.3, net sales and operating profit exceeded the plandevelopment stage. Specifically, in addition to the appeal andstrategy.

achievement of the net sales target of ¥1.0 trillion in FY2024.3 hasannounced at the beginning of the fiscal year, and net salesquality of the plan, we conduct evaluations from multiple per-In regard to shareholder return, our basic policy calls for a focus

come into view. We will continue working to strengthen our foun-reached a new record high. We got off to a favorable start in the

spectives, such as technical aspects and business models. Withon the maintenance of stable dividends over the long term and on

dation so that we can secure earnings in a stable manner that isfirst year of the Mid-term Plan. In the Digital Business, home video

this system, we can make planning decisions from an earlier

the cost of capital, targeting a total return ratio of 50% or moreless susceptible to such factors as changes in the operating envi-

games registered favorable results with repeat sales of existingstage.

based on stable dividend payments of 2% of DOE (dividends onronment and whether or not we have hit products.

titles, such as ELDEN RING. In the Toys and Hobby Business, solid

Also, separate from the ordinary investment activities of theperformances were recorded by products for the mature fan basebusiness companies, Groupwide strategic investment has been

FY2023.3 at ¥206 per share (base dividend of ¥54, performance-

the medium to long term. Through the IP axis strategy, we will

as well as cards, confectionery, capsule toys, and others. By seg-

increased to ¥40.0 billion under the current Mid-term Plan. This

based dividend of ¥152), for a DOE of 7.3% and a total payout ratio

connect with more people and implement broader business

ment, the Toys and Hobby Business and the Amusement Businessincludes (1) ¥25.0 billion to maximize IP value, such as new IP

of 50.2%. With comprehensive consideration for our stock priceinitiatives on a global basis. Going forward, I will strive to establish

achieved new record-high results.

creation, IP projects, and open innovation, and (2) ¥15.0 billion forand cash on hand, etc., in addition to dividends, we will consider

an environment in which people can take on challenges in a free

IP Metaverse-related initiatives. Both of these are being imple-

the acquisition of our own shares as one of our options.

and open-minded manner, and to live up to the trust of our share-

In the Digital Business, development of new titles was delayed
due to the COVID-19 crisis and, going forward, large numbers of20

relying on reductions in the denominator, we will target increases

mented according to plan.

CFO/CISO’S MESSAGE“We will work to maintaina sound financial positionand support
the Group’s further growth.”

equity). Based on this policy, we set the annual dividend for

The Bandai Namco Group is aiming for sustainable growth overholders through growth in our corporate value.

21

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESM E SSAG E

ENTERTAINMENT UNIT
Unit Mid-term Vision

Connect with Fans
• Large-scale, long-term investment × short-cycle, rapid
investment• Acquiring a focus on maximizing IP value

world; and build communities that enable fans to experience a

We will forge stronger connections with fans from both
digital and physical perspectives, with IP as the axis.

range of content.

As with the Group as a whole, the Mid-term Vision of theanalysis. In these areas, we will dig deeper and focus on fans. At theEntertainment Unit is “Connect with Fans.” We are aiming to forge

same time, by generating ongoing business growth, we will build

stronger connections with fans from both digital and physicala business foundation that is stable and also enables us to continue

perspectives, with IP as the axis.

to take on challenges. Through entertainment businesses, such as

We are advancing “large-scale, long-term investment x shortcycle, rapid investment,” which is one of our main strategies.

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESUnit Main Strategies

long-lasting, deep, multifaceted connections with fans around the

The Digital Business has cultivated special strengths in a varietyof areas, such as planning/development, sales/marketing, and data

network content, home video games, and live entertainment, we
will aim to exceed the expectations of fans around the world.

Going forward, we will pursue growth under an investment cyclethat leverages the distinctive characteristics of the businessmodels of the Digital Business and the Toys and Hobby Business.
At the same time, we will strive to further deepen collaboration

Toys and Hobby Business:

The Toys and Hobby Business will rapidly deliverproducts to large numbers of fans around the world.

among businesses.
In addition, maximizing the value of IP itself will link directly to

One strength of the Toys and Hobby Business is the implementa-

business growth and expansion. “Acquiring a focus on maximizingtion of development initiatives in a wide range of product catego-

IP value,” is also one of our main strategies. In accordance withries on an IP axis. In the second year of the Mid-term Plan, we will

this strategy, we will collaborate with external partners, especiallywork to further strengthen global initiatives, and we will focus on

for IP that is rolled out around the world on a Groupwide basis.

promotions and events worldwide.

This will lead to the maximization of IP value.

In “global IP merchandising rollouts,” which is one of our main
strategies, we will continue to accelerate product rollouts for IPs with

Digital Business:buzz and aim to expand our business. Furthermore, in new IP rollouts

The Digital Business will exceed the expectations offans around the world in accordance with two basic
policies.

we will advance rapid, flexible commercialization, and we will build a

In the Digital Business, the basic policies are “high-quality content

initiatives, and we will work to increase the overseas sales ratio in thethat fans can enjoy over long periods of time” and “diverse

Toys and Hobby Business. In each region, we will expand our IP line-

entertainment.”

ups and product categories, and we will work to bolster our demand

worldwide framework for forging connections, both among fansthemselves and between fans and Bandai Namco.
In global markets, we will further strengthen business development

N AO U DAGAWA
Director (Part-time)
In charge of Digital Business,
Entertainment Unit
Bandai Namco Holdings Inc.
President and CEO
Bandai Namco Entertainment Inc.

In our mainstay game business, the global competitive environ-

forecasting and reinforce our production capabilities. Also, as withment is intensifying. In addition, the scale of game development is

Bandai Namco’s Groupwide strategies, we have positioned North

increasing, and the development periods are getting longer. In

America and China as key markets. In North America, we will

this setting, targeting the realization of content that fans can enjoy

strengthen connections with fans through both digital initiatives,

over long periods of time, we will strategically roll out the games

such as e-commerce, and physical initiatives, such as events andthat we produce, based on an optimal portfolio that reflects

products. In China, in addition to IP originating in Japan, we will

multiple viewpoints. In addition, we will work to build a powerfulcommercialize IP originating in the local market and conduct prod-development system by strengthening our in-house development

uct planning in line with the preferences of local fans.

capabilities and implementing further collaboration with externalstudios.

With IP as the axis, the Toys and Hobby Business has a large
number of product brands that are popular with fans. Going forward,

At the same time, in diverse entertainment, in accordance with

we will work to steadily nurture existing brands and newly created

the Bandai Namco Group's Mid-term Vision, “Connect with Fans,”

brands, and to connect with large numbers of fans around the world.

K A ZUHI RO TA K EN A K A
Director (Part-time)
In charge of Toys and Hobby Business,
Entertainment Unit
Bandai Namco Holdings Inc.
President and CEO
BANDAI CO., LTD.

we will expand the outlets for IP originating from games; forge

22

23

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESM E SSAG E

ENTERTAINMENT UNIT
Example of Business Model in the Digital Business (When In-House IP Is Used)

Example of Business Model in the Toys and Hobby Business (When Another Company’s IP Is Used)

Customers
Promotion androllout of media

Downloadable content,
updates, events

Provision of products
and services

Game content

Promotion androllout of media

Platforms

Downloadable content,
updates, events

Creators
Development partners

Collaboration

Stores / e-commerceGamecontent

DigitalBusiness

Provision of products
and services
Promotion androllout of media

Media

IP usage approval

TV
MoviesWebcastPublishing
Internet
Eventsetc.

Development /production partner

Collaboration

TV
MoviesWebcastPublishing
Internet
Events
etc.

Media

IP usageapproval

Program provision /investment

Merchandisingpermission

Toys and Hobby
Business

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESCustomers

Rights holders

Other companies

FY2023.3 RESULTS AND RELATED DATA

MAIN STRATEGIESRealizing the metaverse concept
 orldwide title organization, large-scaleWdevelopment
Strengthening content originating overseas

FY2024.3 NUMERICAL TARGETS

 390.0
 58.0

Segment sales

Segment profit¥¥

Results forecasts are as of May 2023.

24

194.0 billion¥

Network Content
Overseas sales ratio*

billionbillionGlobal IP merchandising rollouts

Sales by Major Category
Network content

43%* Percentage of network content sales
contributed by transactions arisingoverseas

FY2023.3 RESULTS AND RELATED DATA

MAIN STRATEGIESSales of IP Products and Services (Toys and Hobby Business in Japan)

Home video games

 trengthening business in North America
S
and China

Anpanman¥ lobal strategy for digital marketing andG
direct marketing¥

159.8 billion

Home Video Games
Unit sales of home video games

 450.0
 63.0

Segment sales

Full package download sales ratio

Segment profit

60%

Ultraman series

FY2024.3 NUMERICAL TARGETS

48,291 thousand units¥¥

9.3 billion

9.2 billion

Gundam series

60.5 billion

billion

KAMEN RIDER series

23.0 billion¥

5.6 billion¥

Super Sentai series

5.6 billion¥
billion

PRETTY CURE! series¥

Pokémon

8.8 billion¥

DRAGON BALL series

22.5 billion¥¥

ONE PIECE

31.9 billion¥

Results forecasts are as of May 2023.

25

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESM E SSAG E

IP PRODUCTION UNIT
Unit Mid-term Vision

Example of Business Model in the IP Production Unit

 volving into the leading IP production group thatE
continues to provide a wide variety of stories that bring
the world together

Provision of
products
Provision of
products
and services

Packaged
products, live
events, etc.

Promotion androllout of media

Media

The main role of the IP Production Unit is to create IP itself, whichis the key to the IP axis strategy, and to create excellent visual works.
We work to expand the value of IP in a variety of forms, including

Sales ofproducts

visual works, such as TV programs, movies, and visual works distrib-

Promotion androllout of media

TV
MoviesWebcastPublishing
Internet
etc.

Provision of
products andservices

Promotion androllout of media

uted online; licensing inside and outside the Group; program sales;
packaged product sales; and live events. The earnings generated inthese ways are used for investment in the creation of new IP and

Visual
Products

Other companies

IP usageapproval

products and for taking on challenges.
As a result of the reorganization that was implemented in April
2022, we have consolidated know-how and resources in the visual
works, music, and live event businesses. We have a stronger system

Collaboration

consolidated bases that had been dispersed and strengthened

Other UnitsLive
EventsMusicfor connecting IP and fans, from the creation of IP to the provision of
products and services to fans. In April 2023, in the visual business, we

Coordination

IP Production
Unit

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESOur main role is the creation of IP, and we will continue
working to create excellent products.

Customers

Bandai Namco
Group

External partners,
creators, artists

collaboration. In this way, we have increased the speed of decisionmaking. Moreover, we are taking steps to reinforce our IP and visual
work creation capabilities. For example, we are fostering theexchange of techniques and know-how by deepening collaboration
with outside studios.
In the second year of the Mid-term Plan, we will further expand initiatives for existing IP, such as the Gundam series and the Love Live! series. In
addition, we will work to create IP with a variety of approaches, including
new original plans and new products created through collaboration withexternal partners, such as SAND LAND. Moreover, due to such factors as
the growth of online visual works distribution, attention around theworld is increasingly focused on IP and visual works originating in Japan.

 ccelerating the creation of hits by strengthA
ening multifaceted production capabilities
 aximizing product value by strengtheningM
multifaceted management capabilities
 stablishing strong a Unit structure for theE
implementation and continued developmentof strategies

In this setting, we will take such steps as implementing creation initiatives
with an awareness of global markets and strengthening licensing. In
these ways, we will work to maximize IP value. Furthermore, we arestrengthening our management and educational systems and working

M A KOTO ASAN U MA
Director (Part-time)
In charge of IP Production Unit
Bandai Namco Holdings Inc.
President and CEO
Bandai Namco Filmworks Inc.

to establish a more sound production environment so that employees
and creators can engage in production activities in a safe, secure manner.
Going forward, the IP Production Unit will continue to take on thechallenge of creating large volumes of IP and excellent products. By
delivering them to a large numbers of fans, we will build connections

FY2023.3 RESULTS AND RELATED DATA

MAIN STRATEGIESFY2024.3 NUMERICAL TARGETS

Segment sales

83.0 billion¥

Segment profit

Results forecasts are as of May 2023.

11.0 billion

I P Production Business
Number of Copyrighted Products(As of March 2023)

Number of copyrighted products /Total number of hours
Bandai Namco Filmworks Inc. /Bandai Namco Pictures Inc. /SUNRISE BEYOND INC.

1 , 1 1 3 products /5,834 hours

Number of musical works
Bandai Namco Music Live Inc.
Number of works withmaster license recordings

70,000Approx.

Number of works published

Approx.

37,600Number of Live Events Held
Number of performances*618¥* Number of performances held by Bandai Namco
Music Live Inc.

with fans around the world and strive to evolve into the leading IP
production group.

26

27

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESM E SSAG E

AMUSEMENT UNIT
Unit Mid-term Vision

Example of Business Model in the Amusement Unit

Bandai NamcoGroup esponsive to Change—Becoming a Unit that can addressRchange as we move into the future

Other Units

We will contribute to the Group by leveraging ourstrengths in direct points of contact with fans.

Customers
Directly operated facilities

Under the IP axis strategy, the strength of the Amusement Unit is
our ability to directly experience and share the enthusiasm of fans

Provision of products
and services
Revenue-sharing facilities*

through our venues.
In the second year of the Mid-term Plan, we will advance threemain strategies. Under Transform, we will roll out initiatives suchas Bandai Namco Cross Stores. These facilities will utilize theGroup’s IP, products, and services and will leverage Bandai
Namco’s distinctive strengths. Through physical venues, we will
provide opportunities for experiencing content, such as IP, prod-

Amusement machinedevelopment

Amusement
Unit

Sales / new versions

Facilities operated
by other companies
Collaborationucts, and services. In this way, we will aim to create further added
value. Under Unite, as we did with the new CLENA3 amusement

IP usage approvalmachine, we will implement product development that leverages
feedback from operations staff, which is based on the opinions offans. Under Control, with the aim of further strengthening ourbusiness foundation, we will work to implement management

MESSAGES FROM THE PRESIDENTS OF THE BUSINESS MANAGEMENT COMPANIESCollaboration
Provision of products
and services*R evenue-sharing facilities:
Revenues from the operation of amusement machines
are shared.

Production /development partner

Rights holders

with a focus on cash flow and will continue striving to increasebusiness efficiency. Moreover, as a business that operates many
venues, we will also address social issues, such as developing
products with consideration for environmental burdens andreducing electricity consumption at facilities.
Going forward, we will continue to work with two points offocus. These are traditional game centers and amusement facilities that fully leverage the Group’s strengths and are planned
in-house. We will further deepen these points of focus, provide
high-value-added content and venues that can be enjoyed byfans, and connect directly with fans. In these ways, we will strive tocontribute to the Group.

Transform:	Change method of
implementing businesses

Director (Part-time)
In charge of Amusement Unit
Bandai Namco Holdings Inc.
President and CEO
Bandai Namco Amusement Inc.

28

Sales by Major Category

Unite:	Continually work together as a
Unit to foster optimization

Amusement machines

Control:	Address circumstances rapidly
and flexibly¥

FY2024.3 NUMERICAL TARGETS

 110.0
 5.0

Segment sales

H IRO S H I K AWASAK I

FY2023.3 RESULTS AND RELATED DATA

MAIN STRATEGIES

Segment profit¥¥

Results forecasts are as of May 2023.

31.0 billion

Amusement facilities

73.5 billion¥
billion umber of Amusement
N
Facilities (Global Total)
Directly managed facilities

264 facilities

Revenue-sharing facilities*698 facilities
Other

10 facilities
Total

billion972 facilities* Revenue-sharing facilities: Revenues from the operationof amusement machines are shared.

29

MID-TERM PLAN OF THE BANDAI NAMCO GROUP (APRIL 2022 TO MARCH 2025)

Mid-term Vision

Connect with Fans
The Bandai Namco Group commenced a new three-year Mid-term Plan in April 2022. In accordance with the Purpose,a wide range of business partners, Group employees, and regions/communities around the world and to foster broad, deep,
and multifaceted connections.

Main Strategies

P.34

Starting on page 36, the special feature section provides messages from people in charge of advancing IP projects
in frontline settings. These projects are one of the pillars of the IP axis strategy. In addition, the special feature section

IP×Fan­introduces initiatives targeted at further business growth on a global basis.

Connecting with fansthrough IP

SPECIAL FEATURE

Connect with Fans —Forging Connections with Fans under the ALL BANDAI NAMCO Concept

CONTENTS

IP Axis Strategy

IP×Value

P.36–49

Enhancing IP value

IP×World

IP×FanConnecting the world
through IP

36 T
 he Groupwide Gundam Project36	Working to maximize IP value through progress with the Gundam Project38	Visual works initiatives becoming entry points to the IP axis strategy

New framework for connecting with fans

Accelerating evolution in the IP axis strategy

MID-TERM PLAN OF THE BANDAI NAMCO GROUP“Fun for All into the Future,” as we work toward what we aim to be, we will strive to always meet the needs of IP fans,

Building businesses under the ALL BANDAI
NAMCO concept

Personnel StrategyP.56–59

Developing diverse human resources

Sustainability

P.60–81Connecting to smiles into the future

39	Expanding the fan base around the world through Gundam visual works
40 Gundam plastic models continuing to evolve together with fans41	Expanding new groups of fans with Gundam multi-purpose
entertainment facility
IP×Value42

The Groupwide ONE PIECE Project
42 Establishing a solid position as worldwide IP
44 Initiatives aiming to enhance recognition worldwide
45 Contributing to growth in IP value with the ONE PIECE Card Game

Numerical Targets for the Fiscal Year Ending March 31, 2025

Consolidated Net Sales:

Consolidated Operating Profit:

ROE:

1,100 billion¥

125 billion

12% or more¥

IP×World

46 B
 uilding Businesses under

the ALL BANDAI NAMCO Concept46	The Group Business Strategy Department:
Forging Connections throughout the Group
48	North American operations demonstrate the Group’s presence underthe ALL BANDAI NAMCO concept

Promotion System• Strengthening governance systems

Transition to a company with an audit and supervisory committee• Certain changes to the Unit system

Reorganization within the IP Production Unit
ESG SECTION: ROUNDTABLE DISCUSSION AMONG OUTSIDE DIRECTORS, P.50

49	China operations aiming for rapid initiatives underthe ALL BANDAI NAMCO concept30

31

MID-TERM PLAN OF THE BANDAI NAMCO GROUP (APRIL 2022 TO MARCH 2025)

Connect with Fans

Mid-term Vision

HISTORY OF
OUR MID-TERM PLANS

2021.4–2022.32016.3–2018.3 Mid-term Plan
Mid-term Vision:
NEXT STAGE: EMPOWER, GAIN
MOMENTUM, ACCELERATEEVOLUTION

The Bandai Namco Group was created in September 2005 through the management integration of Bandai Co., Ltd., and Namco Limited.
After the integration, the Group moved quickly to leverage synergy effects by implementing a range of internal measures. However, we were
not able to respond adequately to changes in our markets and customers. Our operational speed declined and we did not effectively utilize
the strengths of each Group company. As a result, our performance was sluggish. In April 2010, we launched the Restart Plan with the objecand in this way we achieved a recovery in our results.
In response to COVID-19, we positioned FY2022.3 as a period for enhancing our business foundation and organizational structure.

Management
Integration

740.9
125.4
732.3

620.0
565.4

575.5
84.6
84.0

507.6
487.2

459.1

460.4

116.4

723.9

678.3

• Transformation into a speedy group• Adoption of IP axis strategy by the Group

Reduction in speed
Unable to address changes
in society

450.8

889.2

We advanced three business area strategies, whichwere applied to businesses, and two functional strategies, which were applied on a Groupwide basis.

Introduction of the Restart Plan

Strengthening corporate governance
Effectively utilizing human resources
Building optimal management system
Entertainment Hub Concept
Strengthening overseas businesses

990.0

Mid-term Vision: EMPOWER, GAIN
MOMENTUM, ACCELERATE EVOLUTIONRESTART!

Theme: Strengthening, Enriching,and Expanding Portfolio Management

2023.3–2025.3
Mid-term Plan

Accelerate evolution in IP axis strategy
Empower push into new entertainment
Gain momentum with the ALL BANDAI NAMCO concept
Make personnel the core of the GroupIP axis strategy: From adoption to acceleration2013.3–2015.3 Mid-term Plan

Investments in growing business areas
Improving profitability of each business2007.3–2009.3 Mid-term Plan

Enhancing
Business
Foundations
and Systems
for the Next
Mid-term Plan

MID-TERM PLAN OF THE BANDAI NAMCO GROUP

We started a new Mid-term Plan from FY2023.3.

Theme: Developing a global base for growth

Mid-term Vision:
CHANGE for the NEXT: EMPOWER,
GAIN MOMENTUM, ACCELERATE EVOLUTION

Accelerate evolution in the IP axis strategy
Through the IP axis strategy, gain momentum in global markets
Empower and innovate business modelthrough Bandai Namco market advantages

tive of transforming ourselves into a speedy group under the IP axis strategy. The Group worked together to maximize the shared value of IP,

2010.3–2012.3 Mid-term Plan

2019.3–2021.3 Mid-term Plan

78.7

75.0

454.2
426.3

Net Sales(¥ billion)

378.5

394.1

63.2

56.3
49.6

48.6

44.6

42.2

Operating
Profit

34.6

35.6
33.4

(¥ billion)

16.3

22.3
For the Fiscal Years Ended
March 31

1.8

2006
32

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024
33

MID-TERM PLAN OF THE BANDAI NAMCO GROUP (APRIL 2022 TO MARCH 2025)

MAIN STRATEGIES IN THE MID-TERM PLAN:

OUTLINE AND PROGRESS

IP Axis Strategy
IP×Fan Connecting with fans through IP

We will further strengthen our IP creation and production capabilities
through reorganization and strategic investment, etc. In addition,
through collaboration with external partners and cooperation with
regions and businesses, we will aim to maximize IP value from alonger-term perspective.

Examples of initiatives in FY2023.3 Groupwide initiatives

Toys and Hobby BusinessRolled out Groupwide initiatives for products, services, and marketing incoordination with the opening of DRAGON BALL and ONE PIECE films
Implemented closed testing for the Gunpla Colony (FY2023.3)
Advanced the Data Universe conceptI n order to expand global rollouts, strengthened product development initiatives for IP originating overseas, bolstered e-commerce, and reinforced production systems
Made stuffed toy manufacturer a subsidiary

Digital Business

IP Production Business trengthened development system with focus on quality
SEstablished development studios and made development studios into subsidiaries around the world
Invested in startups through Bandai Namco Entertainment 021 Fund onsolidated know-how regarding visual, music, and live events throughC
reorganization
Strengthened global rollouts of in-house visual works and visual works basedon collaboration with other companies

IP×World Connecting the world through IP
To work together and advance our strategies under the ALL BANDAI NAMCO concept in global markets, we implemented such initiatives asregional organizational restructuring and business base consolidation around the world. With this system, we expanded global initiatives andstrengthened marketing collaboration across businesses. As a result, the overseas sales ratio in FY2023.3 increased to 28.5%. We will aim to raise
the overseas sales ratio to 35% in FY2025.3, which is the final fiscal year of the Mid-term Plan, and to 50% as soon as possible.

FY2021.3 result

FY2023.3 result

FY2025.3 target

Overseas sales ratio:
22.3%

Overseas sales ratio:
28.5%

Overseas sales ratio:
35.0%

Overseas

OverseasLong-term goal

Overseas sales ratio:

50.0%

Overseas
Japan

Overseas

Japan

Japan

Japan

MID-TERM PLAN OF THE BANDAI NAMCO GROUP

As a new framework for connecting with fans, we will develop a
metaverse for each IP. In this way, we will aim to provide venues forforging connections among fans and partners in virtual spaces. For
these initiatives, we will advance the Data Universe concept for the
integrated management of fan data, which up until now has beendispersed among individual companies.

IP×Value Enhancing IP value

Amusement Business
SPECIAL FEATURE: Building Businesses under the ALL BANDAI NAMCO Concept, P.46–49

Strengthened facility initiatives coordinated with Group IP and products

TopicsAiming to maximize IP value on an IP axis with IP projects
For IP rolled out across regions and multiple businesses, we aim to maximize
IP value from a long-term, overall optimal perspective through Groupwide
projects (IP projects). We will leverage outlets for a wide range of products
and services as well as our strengths in facilitating collaboration among
digital and physical elements. We will move forward under the ALL BANDAI
NAMCO concept, with the producers of IP acting as the control tower for
rollouts of IP products and services, online distribution, PR, and events.
SPECIAL FEATURE:
The Groupwide Gundam Project, P.36–41

SPECIAL FEATURE:
The Groupwide ONE PIECE Project, P.42–45

Personnel Strategy
Developing diverse human resources
We aim to be a group that reflects the concept of “same spirit, diverse
talents,” so that our human resources, who have diverse talents,
individual characteristics, and values but the same spirit, can work
ESG SECTION: PERSONNEL STRATEGY OF THE BANDAI NAMCO GROUP, P.56–57
For further information about specific initiatives, P.76–79

34

Bandai Namco Entertainment 021 Fund startup investment fundIn April 2022, Bandai Namco Entertainment Inc. launched Bandai Namco
Entertainment 021 Fund, a startup investment fund that is aimed at building
the IP Metaverse and creating new entertainment. In FY2023.3, the fundinvested in a total of nine startup companies worldwide. By combining thetechnologies and know-how, such as block-chain and AI, of the investee
companies with Bandai Namco’s IP knowledge, we aim to strengthen
connections with fans and provide new entertainment.

actively with motivation and energy. We will strive to employ anddevelop diverse human resources, including marketing personnel,
creators and engineers, and personnel in administrative units. In
addition, we will advance the establishment of environments thatfacilitate varied working styles, including providing support for
employees taking on challenges and developing human resources
who will be active in global settings.

ESG SECTION: EXAMPLES OF INITIATIVES TO DEVELOP HUMAN RESOURCES, P.58–59

Investment plan for accelerating evolution in the IP axis strategy Three-year period covered by
the current Mid-term Plan

40.0 billion

Total: ¥Strategic investment to maximize IP value:

Investment to develop the IP Metaverse:

25.0

¥

¥

15.0

billionbillionExamples of initiatives in FY2023.3:

Examples of initiatives in FY2023.3:

SAND LAND Project,SYNDUALITY Project, etc.

Establishing Group data platform forthe Data Universe project

Sustainability
Connecting to smiles into the future
In accordance with the Purpose, we will work together with fans topromote sustainability activities for the realization of a sustainable
society. In addition, we have announced targets for the reduction ofenergy-related emissions of CO2, and we will implement initiatives towork toward the realization of decarbonization.

The Bandai Namco Group Sustainability PolicyI dentification of material issues
Five material issues- Harmonious coexistence with the natural environment- Provision of appropriate products and services- Appropriate utilization and protection of intellectual property- Establishment of work environments that facilitate mutual respect- Harmonious coexistence with communities
Medium- to long-term targets for decarbonization
For further information about material issue initiatives, P.69–81

35

S PE C IA L F E ATUR E

Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept­

IP×FanThe Groupwide
Gundam Project orking to maximize IP value throughW
progress with the Gundam Projectof the Group’s IP, but we will not strive to keep it within the Group.

expect this to trigger further gains in recognition in North America.

Rather, we will work to see that it evolves into social property that is

Schedule revisions, etc., have an influence on this project, but we

recognized in a broader manner by society. In this way, from a differ-consider it to be an extremely important initiative and we are moving

ent perspective than in the past, we will strive to connect Gundam toforward on that basis. In China, as seen with the life-sized Freedom

new businesses and to collaboration with a wider range of partners.

Gundam statue in Shanghai, the popularity of Mobile Suit Gundam

The idea of developing Gundam as social property started with

SEED is extremely high. We would like to make the 2024 rollout ofthe development of the life-size moving Gundam that was installed

Mobile Suit Gundam SEED FREEDOM, a theatrical film, into an initiative

at GUNDAM FACTORY YOKOHAMA. Practically, it was not technicallythat increases the popularity of Gundam in China.

possible for the Group, working on its own, to make the Gundam

It has been more than 40 years since the creation of Gundam, andnies with a variety of specialized skills to take on this advanced

Japan but around the world. More than the communication abili-

technical challenge. One of the common points that connected

ties of the Group, this involves the communication abilities of thethese external partners was devotion to Gundam. Everyone sharedfans. Of course, the Company provides information about new

the enthusiasm for making the Gundam move, and the completed

works, etc. That information spreads in the blink of an eye, as thelife-size moving Gundam inspired not only fans but also those of us

strong communication abilities of fans promote the appeal of

who worked on the project. This result was not due to the strength of

Gundam from original perspectives. The advancement of social

Bandai Namco. Rather, it was due to the appeal of Gundam.

media and various other networking tools is also a factor. The

We believe that we can increasingly expand the potential ofcommunication abilities of fans have global reach, and in recent

Gundam if we work in this way. That is, if we work not alone but

years they have had a major influence on increases in recognition

rather together with a variety of external partners with which weand on business growth.

exchange ideas. There has also been an increase in connections
among fans and regions under the Gundam name, such as Gundam
Universal Century Development Action (GUDA),* which was

131.3 billion ¥135.0 billion¥¥78.1 billion¥95.0 billion¥101.7 billion

The objective of the Gundam Metaverse is to connect fanswith each otherlaunched in 2021. The ongoing implementation of these types of

In October 2023, we will implement a test opening of the Gunpla

the Gundam Pavilion (tentative name), for which the axis will beColony in the Gundam Metaverse. In addition to the opening up of

Mobile Suit Gundam. The concept will be based on such ideas as the

3D spaces, plans for the Gunpla Colony include operating Gundam

future potential demonstrated by Mobile Suit Gundam, and theplastic model e-commerce shops and implementing scanning ofsetting will be “Another Universal Century.”

Gundam plastic models. The greatest objective of the Gundam
FY2019.3

FY2020.3

FY2021.3

A shared understanding about maximizing IP value under
the Gundam Project

We have started to enter a phase in which we can implement awith other fans. For Bandai Namco, the metaverse is a venue thatJapan but rather from the world. Going forward, rather than think-leverages the distinctive characteristics of digital spaces that enable

ing about how Gundam benefits the Bandai Namco Group, we willfans around the world to share moments of time. Fans who visit theneed to consider what Bandai Namco should do for Gundam. My

and we rapidly shared information, such as content and scheduling.

metaverse can connect with other fans around the world, and they

mission is to address this directly in order to demonstrate the still

This facilitated progress in Groupwide collaboration, promotions fromcan share their enthusiasm among themselves. Community activa-

untapped potential of Gundam.

before the start of broadcasts, and a variety of commercialization

tion is important, and accordingly we are preparing services andinitiatives in conjunction with the broadcasts.

tools for that objective. We do not know what kind of evaluation we* A project under which the Bandai Namco Group takes various actions to create a betterworld for children in the future, collaborating with fans and external partners in the name of
Gundam. (For further information, please refer to the ESG section P. 66)

FY2022.3

FY2023.3

FY2024.3(plan)

In particular, in the Toys and Hobby Business, initiatives were

will receive from

centered on Gundam series plastic models. In addition, a large

fans, but we want

information and collaborate. The project has been operated since thenumber of products were rolled out by businesses in business formats

to make this initia-

time of the first Chief Gundam Officer. (The current Chief Gundamthat are different from those of the Gundam plastic model business.

tive into something

Officer is the third). In recent years, the entire Group has had the shared

These included character lottery, amusement prizes, capsule toys,that will truly

objective of maximizing the value of the Gundam IP. We have set targets

confectionery, and food. In this way, we worked in a powerful manner

amaze them.

and formulated strategies from a medium- to long-term perspective,

based on a shared understanding among Group businesses. This

Please look forward

and we have transitioned to the active implementation of initiatives

resulted in an increase in Gundam fans.

to these initiatives.

Fans providing information to other fans

Opening up unlimited possibilities, turning Gundam intosocial property

KOJ I F UJ IWA RA
Image of Gundam Metaverse 3D space

while communicating information outside the Group. Looking at thebusiness scale, we have set a target of ¥150.0 billion in Group Gundam36

In 2025, at the Expo 2025 Osaka, Kansai, Japan, we will establish

variety of initiatives from a position in which Gundam is not fromwhich representatives from Group companies gather together to share

Looking at FY2023.3, Mobile Suit Gundam THE WITCH FROM MERCURY

activities will lead to the emergence of next possibilities.

Metaverse is to establish a venue for communities that connect fans

The Gundam Project has been operated as an internal initiative undersales in FY2026.3, and results are posting steady growth.

move. However, we brought together nine external partner compa-

recognition of and interest in Gundam has increased, not only in

YoY: 29.1% increase

Gundam series sales (Groupwide)¥78.1 billion

The Hollywood live-action Gundam film is also moving ahead, and we

SPECIAL FEATURE: Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept

01
Interview

S P E C I A L F E AT U R E(hereinafter, THE WITCH FROM MERCURY), the first TV series in seven

As with the Group policy, North America and China have been posi-

years, started broadcasts in October 2022. Under the Gundam Project,tioned as key markets for Gundam. Currently, the scale of the business

From a long-term perspective, we have announced that we will strive

we indicated the direction that THE WITCH FROM MERCURY would take,in China is expanding, and in North America the growth rate is strong.

to see that Gundam has social significance. Gundam is representative

Corporate Managing Director
Chief GUNDAM Officer (CGO)
Bandai Namco Entertainment Inc.

37

Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept­

IP×FanThe Groupwide Gundam Project03
Interview

S P E C I A L F E AT U R E

 xpanding the fan base around theEworld through Gundam visual works
In rolling out visual works globally, one of our major strengths is

N AO H IRO OGATA

Mobile Suit Gundam THE WITCH FROM MERCURY
recording favorable growth in viewings in North America

the fact that we have bases around the world. We can leverage the

I work in the Global Licensing Department, which delivers Gundam

growth of Gundam.

together under the ALL BANDAI NAMCO concept. This leads to thevisual works to fans overseas. In addition, I also work with licensing

Executive Officer
IP Production Group Division Director
GUNDAM Department General Manager
Bandai Namco Filmworks Inc.

in the area of products and services, in cooperation with Sotsu Co.,
Ltd., and other Bandai Namco Group companies.
Currently, the Internet is the main method of delivering visual
works to fans overseas. This is a complete change from the former

Interview

 isual works initiatives becoming entry pointsVto the IP axis strategy
models both playing essential roles. However, under the ALL

Mobile Suit Gundam THE WITCH FROM MERCURY appealing
to younger generations and fostering growth in new fans

BANDAI NAMCO concept, this time we broadly implemented

I am responsible for the visual works business at Bandai Namco

I think that we succeeded in the challenge of appealing to new

Filmworks Inc., which creates Gundam visual works and imple-

groups of fans. Going forward, I would like to leverage this example

ments visual work licensing and promotion.

of success in such areas as the rollout of Mobile Suit Gundam SEEDAs the first new TV series in seven years, THE WITCH FROM

Gundam initiatives that included elements that had previously been
implemented individually by members of the Group. In this way,

FREEDOM, a theatrical film.

Aiming to broadly distribute works and nurture richnessof spirit

era, when the principal methods were TV broadcasts and packaged

Going forward, I will strive to contribute to increases in Gundam

product sales. By implementing simultaneous worldwide rollouts

recognition from a worldwide perspective. Countries and regions

through online distribution, and by forging connections among fanshave various characteristics, such as in the areas of law, culture, andover the Internet, we expect to see further growth. There is a certain

living environments. Difficult decisions will be required, but welevel of Gundam recognition in North America, which is one of thewould like to actively approach local companies, including online

key markets for the Bandai Namco Group. Sales of Gundam plastic

visual product distribution companies, and bolster Gundam world-models are growing, and there are devoted fans. However, in regard

wide rollout initiatives. Targeting a variety of countries and regions,to permeation to a general level of customers, there is still room for

we will strive to deliver visual works in a variety of forms. In line withgrowth. An environment for the viewing of visual works has been

Bandai Namco’s Purpose, I will strive to fulfill my role in a way that

established in North America. The online distribution of THE WITCH

enables Bandai Namco to appeal to people’s feelings through visual

FROM MERCURY looks like it might have been a turning point for us

works and to nurture richness of spirit.

to step up our initiatives. Initially, online distribution was centeredon existing fans, but as the number of episodes rose, the viewing
numbers began to increase. This could be considered evidence thatnew fans are increasing. In addition, I think that another factor isthat the Internet distribution platform fosters connection amongfans. New groups of fans join, and the buzz increases.

MERCURY started in October 2022. This visual work, which is a new

Gundam: Requiem for Vengeance,a new original animation produced forworldwide online distribution

SPECIAL FEATURE: Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept

02

latest regional information and implement initiatives while working

entry point to the Gundam IP axis strategy, was created with the aimof making a Gundam that would also be accepted by a young
generation of fans, including the story and the visual expression. In
addition, the Gundam Project played a central role in this visual
work. Prior to the product rollout, promotional initiatives were
implemented on a Groupwide basis. In the past, we have implemented collaboration, with the visual works and Gundam plastic

Aiming to further increase recognition around the world
As for THE WITCH FROM MERCURY, it had been seven years since theprevious TV series, Mobile Suit Gundam: Iron-Blooded Orphans.
However, going forward we would like to release a product in a shorter
period of time. The worldwide recognition of Gundam is still low, andto expand it on a global basis it will be necessary to work with a senseof urgency. One initiative aimed at further increasing recognition going
forward is the live-action film. COVID-19 has had an influence, andthere has been a delay in production in comparison with the initialplans. However, we will continue to do our utmost so that this film
becomes a trigger for increases in the recognition of Gundam.
In 2024, Gundam will mark its 45th anniversary. Currently, visual
works that are in production include Mobile Suit Gundam SEEDA I TA K A I

FREEDOM, which is a theatrical film, and Gundam Build Metaverse,
which is primarily distributed online. However, for Gundam, the45th anniversary is a transit point, and we are positioning this as a
Mobile Suit Gundam THE WITCHFROM MERCURY

Mobile Suit Gundam SEED FREEDOM,a theatrical film

period for preparation for the 50th anniversary. Targeting the maxi-

General Manager
Global Licensing Department
Management Business Group
Bandai Namco Filmworks Inc.

mization of IP value, we will work together with fans around theworld to continue to create new Gundam initiatives.

38

39

Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept­

IP×Fan05

The Groupwide Gundam ProjectInterview

H IROTA K E TAGU CHI
Deputy General Manager
Global Business Department
Hobby Products Division
BANDAI SPIRITS CO., LTD.

Venue for connecting with fans of many types andage groups

New possibilities for the IP axis strategy

In April 2022, we opened the world’s first Gundam multipurpose enter-park, and it draws attention with 1/12-size Nu Gundam and Sazabi

tainment facility—Gundam Park Fukuoka—in Mitsui Shopping Park

statues installed at the entrance. The facility is visited by many

LaLaport FUKUOKA. This facility has three areas. The shop area hascustomers, including parents and their children. Visitors become

merchandise and a variety of information about Gundam. The sports

absorbed in the activities, including visual works shown on large

entertainment area enables visitors to enjoy experience-based activi-

monitors and amusement machines. While they are immersed inties drawing on collaboration with Gundam, and the amusement area

the world of Gundam, before they realize it, they notice the extent

enables visitors to enjoy crane games, etc. Gundam Park Fukuoka is aof what is available, and they want to dig deeper. This is attribut-

facility that can be enjoyed by a wide range of age groups.

able to the formation of a business model of converting customers

Gundam Park Fukuoka has an excellent location in a shopping

Gundam Park Fukuoka is jointly operated by Bandai Spirits Co.,Interview

Ltd., and Bandai Namco Amusement Inc. Bandai Spirits, which

Gundam plastic models continuing to evolve
together with fans

Sales recording growth worldwide
At Bandai Spirits Co., Ltd., I have a responsibility for promotions andWorking together with fans to create the future of Gundam
plastic models

directly managed stores for all plastic models, including Gundam

Gundam plastic models have continued to evolve for more than 40 years.

plastic models. In addition, as a member of the Gundam Project, I

Of course, the Gundam plastic models based on THE WITCH FROM

am involved with the formulation and implementation of measures

MERCURY incorporate the skills that we have accumulated to date and ourrelated to the Gundam on a Groupwide basis.

dedication. For the package design, we were conscious of a bright design

At the end of March 2023, cumulative total shipments of Gundammodels for the first time with THE WITCH FROM MERCURY. For the technol-increase worldwide. In overseas initiatives, North America andogy aspects, we took steps to design the models so that they are easy for

China have been positioned as key markets. In North America,

everyone to make, such as focusing on the parts placement and thethrough events, etc., we are highlighting the fun of making plastic

assembly process. In production, we worked on a daily basis with cooper-

models, and we have started to expand sales routes. In China,

ating partners inside and outside the Group so that the production

where Gundam recognition has been high, we are strengthening

volume could be increased. We are also planning the construction of apromotions, including face-to-face initiatives.

new plant. Going forward, we will continue working to see that theseIn this setting, we implemented promotional initiatives for THE

to fans.
In Fukuoka, THE GUNDAM BASE FUKUOKA was opened in 2019. A

operates as THE GUNDAM BASE, a comprehensive facility forvariety of Gundam promotion initiatives have been held there, andGundam plastic models, has a wide range of knowledge in the area

it could be called a major Gundam showplace. As a gateway to Asia,of IP product branding. Bandai Namco Amusement, which operates

Fukuoka has many customers from overseas. Being able to hearsuch initiatives as the namco amusement facilities, has strong skills

feedback directly from a wide range of fans is highly significant for

not only in the development of facilities targeting families but also

business strategy.

in the creation of highly exciting customer experiences. Working

Gundam Park Fukuoka, which was developed on the axis of thewith Gundam as an axis, both companies collaborated from the

Gundam IP, has demonstrated new possibilities for connecting

planning stage for this initiative. The know-how of the two compa-

directly with fans. With this as a model case, going forward we will

nies in different fields generated motivation, and this initiative

strive to maximize IP value under the ALL BANDAI NAMCO concept

became an excellent opportunity for the two companies to deepen

with even greater international reach.

their mutual understanding.
Gundam Park Fukuoka, a new Gundam
multipurpose entertainment facility

that is easy to pick up, even for fans who are experiencing Gundam plastic

plastic models had surpassed 760 million units. Sales continue to

WITCH FROM MERCURY prior to the start of broadcasting. The

products can be provided to as many fans as possible.
The evolution of Gundam plastic models is a result of our listening to

Gundam Project played a central role in these initiatives, which

feedback from fans and building the future of Gundam plastic models

targeted the acquisition of new fan groups in addition to the exist-

together with them. “Connecting and working together to create things,”

ing Gundam fans. From August 2022, we held events that could be

which is an element of the Purpose, is certainly in accord with the evolu-

enjoyed by all Gundam fans, centered on exhibitions of Gundamtion of Gundam plastic models. In the future, targeting the maximization ofplastic models, in Tokyo, Nagoya, and Osaka etc. We could strongly

the value of Gundam, we will continue to emphasize connections withsense connections with fans in each region. Subsequently, we rolledfans as we evolve and expand Gundam plastic models.

out ongoing promotions, and we had significant success with our

YA S U F U M I YA M A SHITA (left )Manager
Global Business Department
Hobby Products Division
BANDAI SPIRITS CO., LTD.

DA IG O SAWA (r i g h t )targets—young people between 10 and 30 years old and femalefans. We were able to build a large movement that incorporated

ManagerContent Production Team 1
IP Experience Business Department
Solution Business Division
Bandai Namco Amusement Inc.

new groups of fans.

40

 xpanding new groups of fans at GundamE
entertainment complex

SPECIAL FEATURE: Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept

04

S P E C I A L F E AT U R E

Mobile Suit Gundam THE WITCH FROMMERCURY plastic model series packaging

An event for Mobile Suit Gundam THE WITCHFROM MERCURY

We will work together with fans, in locations thatare close to fans, to open up new areas of business that will provide opportunities for growthfor Gundam and Gundam plastic models.
Yasufumi Yamashita

Under the ALL BANDAI NAMCO concept, we willbuild venues that are enjoyed by fans in a wide
range of age groups worldwide.
Daigo Sawa

41

Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept­

S P E C I A L F E AT U R E

At Bandai Namco Entertainment Inc., I have worked with ONE

IP×Value

The Groupwide

among younger customers between 10 and 20 years of age.

PIECE since 2016, as the person with responsibility for development

Targeting further expansion, we will strive to increase the overseasof home video games, smartphone apps, etc. ONE PIECE is an IP

sales ratio. Also, the ONE PIECE ODYSSEY home video game. To

that always involves new discoveries, and in working to fulfill myextend the lifespan of this title, we are considering promotion plansrole in the project of maximizing value through products and ser-from a long-term perspective.

vices, I think that there are still things that need to be done.

I think that the appeal of ONE PIECE is that, among the wide
range of fans, there are differences in how individual fans interact

ONE PIECE Projectwith it. There are a variety of ways of enjoying ONE PIECE and vari-Aiming to further increase recognition around the world

ous points that people like. Continuing to provide multiple games

To further increase IP recognition and value in global markets, thethe fundamental digital game strategy for ONE PIECE.

with a concept that makes it possible to address various needs isGroup ONE PIECE project involves advancing a variety of initiatives
together with the rights holders and partners involved with
The opening of ONE PIECE FILM RED, which I mentioned above,
led to significant growth in sales of Group products and services.
Working in close cooperation with the rights holders, Group companies around the world planned effective promotions in conjunction
with the opening. A major point was that the Bandai Namco GroupONE PIECE Bounty Rushrolled out products and service at once. Actually, for the ONE PIECE
Project, Units and businesses were able to cooperate with the same

Establishing a solid position as worldwide IP

point of view under the ALL BANDAI NAMCO concept. This was amajor turning point for the project. The film has achieved recordhigh box office revenues not only in Japan but also overseas. For
the project initiatives, the various measures implemented over the
past several years were successful.

YoY: 95.7% increasebroadcasts are ongoing. Fans have something to get excited about

ONE PIECE sales (Groupwide)

86.3 billion¥
ONE PIECE Project
starts¥30.4 billion

The ONE PIECE manga magazine serialization and TV animation¥34.9 billion¥38.0 billion

every week. Going forward, in the Japanese market, where recogni¥78.0 billion

tion is high, we will focus on gathering new fans while maintaining
and expanding the enthusiasm of existing fans through periodic
measures aligned with the progression of the story. And then, in¥44.1 billion

collaboration with regions around the world, we will strive to spreaddomestic enthusiasm.
In the Digital Business, for which I have responsibility, the mainelements are rollouts of smartphone apps and home video games.

FY2019.3

FY2020.3

FY2021.3

FY2022.3

FY2023.3

FY2024.3(plan)ONE PIECE Bounty Rush, a smartphone app, has become popular

Taking on the challenge of expanding Group colleagues
and maximizing IP value
As we target further maximization of the value of ONE PIECE, going
forward it will be necessary to implement collaboration among
Bandai Namco Group companies under the ALL BANDAI NAMCO
concept worldwide. In order to create significant buzz about ONE
PIECE around the world, and to have many fans understand how
wonderful the visual works are, it is very important to believe in the

SPECIAL FEATURE: Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept

ONE PIECE.

major potential of ONE PIECE. Expanding the number of colleagues
within the Group who are enthusiastic in the same way and implementing a variety of initiatives will lead to maximization of IP value.
Personally, I believe that I have been extremely fortunate to be
associated with the ONE PIECE Project, in a manner that includes
the entire Group, at the time when the final chapter is serialized. In
an environment that is highly motivating and is also linked to personal growth, I will continue to do my utmost to expand the potentialof ONE PIECE from the perspectives of products and services.

products and services. In 2019, with the objective of maximizing IP

Working to maximize the value of ONE PIECE

value, we launched the Groupwide ONE PIECE Project. In FY2023.3,

ONE PIECE started in July 1997 in a weekly youth manga magazine

the release of the theatrical film ONE PIECE FILM RED and the rollout

published by Shueisha Inc. It is highly popular with a wide range ofof products and services. We worked to increase recognition inage groups. TV animation broadcasts started in 1999. ONE PIECE

Japan, North America, and Europe. Going forward, we are planning

FILM RED is a theatrical film released in 2022, which marked the 25th

further initiatives on a worldwide basis. I am the leader for advanc-

year of serialization. It recorded the highest box office revenues ofing this project. My role is to formulate strategies for maximizing the

ONE PIECE theatrical films to date.

value of ONE PIECE with Bandai Namco Group products and ser-

The popularity of ONE PIECE is spreading around the world, andin this setting the Bandai Namco Group has rolled out a variety ofin cooperation with the rights holders, we actively collaborated withRE I HIRATA
General Manager
Production Department 3
IP Business Division 1
Bandai Namco Entertainment Inc.

vices, and to foster the advancement and evolution of Groupwide
activities that are coordinated with strategies.
We participated in Anime Expo 2022

42

43

Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept­

IP×ValueS P E C I A L F E AT U R E

The Groupwide ONE PIECE Project

Y UJ IRO H A N A I (right) ontributing to growth in IP value withC
the ONE PIECE Card Game

Assistant Manager
Team 1
Production Department 3
IP Business Division 1
Bandai Namco Entertainment Inc.

M A R I ITO (left)
Event & Licensor Relation Senior Specialist
Global Business Strategy Team
Global Marketing Department
Global Marketing Division
Bandai Namco Entertainment Inc.

I will continue to take on challenges going
forward so that the amazing IP known as ONE
PIECE is known and enjoyed by people aroundthe world.
Yujiro Hanai

Aiming to further increase recognition around the world

Sales of the ONE PIECE Card Game started in July 2022 in conjunc-

the objective of teaching card game beginners. We also held antion with the opening of ONE PIECE FILM RED, a theatrical film. In myinternational tournament focused on Japan and Asia. From

position as producer, I have been involved with development fromFY2024.3, we plan to add the regions for the simplified Chinese

the start of planning approximately two years ago. An assumption

character version and the English version and to hold a worldwide

was that global initiatives would be implemented. As a member ofchampionship. Furthermore, as a part of the ONE PIECE Project, thethe ONE PIECE Project, I started with the strong idea that making

activities that we were able to implement under the ALL BANDAI

the ONE PIECE Card Game a hit would expand the recognition of the

NAMCO concept had major effects in stepping up global initiatives.

IP and contribute to ONE PIECE.

The card game still has the potential for worldwide growth, and it

In developing the card game, we did not rely only on the strong

I nitiatives aiming to enhance recognition
worldwide

For promotional activities, we held experience-based activities withwill be necessary to attract a larger number of new fans. Goingappeal of the IP. Rather, we placed importance on incorporating

forward, we will work to steadily secure the trust of fans throughelements that would be truly enjoyed by fans of card games. We

solid operations so that we can meet the fans’ expectations.

aimed for high levels of appeal and degree of completeness as a

Moreover, we will strive to contribute to the maximization of thecard game. This concept was successful in attracting not only ONE

value of ONE PIECE by creating worldwide buzz about the card

PIECE fans but also pure card game fans. In addition, we also

game, such as through success with global tournaments.

focused on the quality of illustrations so that the product would
appeal to people who had never played a card game.

North America, a key market for global initiatives
Working in close cooperation with the rights holders, in North

More than anything else, listening to fans
and taking their thoughts seriously

America we implemented a variety of promotional activities inMore than anything else, what we think is important is listening tocoordination with the theatrical film ONE PIECE FILM RED. We took

feedback from fans around the world. We will place importance on

steps to expand recognition among general customers in addition

communications with members, who best know the circumstances

to anime fans. At a local college football game, buzz was created byin local markets overseas. We will work to realize the optimala marching band performance of theme songs from the film andapproach in each region under the ALL BANDAI NAMCO concept.

visual works. In addition, we also implemented a collaborative

Fans definitely are watching how we work with the IP. Rather thaninitiative with a U.S. nationwide fast-food chain. In these ways, we

simply pursuing profit, we will work to build environments thatare promoting the visual works in a variety of ways. What generated

generate enthusiasm. To that end, we will listen to feedback fromthe most buzz was a ONE PIECE takeover of Times Square in New

fans and place importance on their thoughts.

In the end, it was a major success right from the launch, andsupply continues to be unable to catch up with fan demand, suchas at the time of the launch of the new series. Currently, the card
game supply situation is gradually improving, and going forward we
will do our best to build a system for increased production so thatthe product can be delivered to a larger number of fans.

Card game experience-based event

SPECIAL FEATURE: Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept

For ONE PIECE fans, I will step up activities
that touch their hearts, work together with
Bandai Namco Group members aroundthe world, and implement initiatives in a
broad and deep manner.     Mari Ito

Aiming for a high level of appeal and completeness as
a card game

York that used multiple screens and lasted for an hour. This initiative was one of the largest outdoor advertisements for an anime
work in history. It was picked up by a variety of media, and it led to
the generation of buzz about the film. Going forward, through thesetypes of promotional activities, we will implement even more
powerful initiatives so that ONE PIECE demonstrates an even greater
presence.
ONE PIECE still has major potential in global markets. Looking at
the degree of recognition, the Asian region is second after Japan.
The next is Europe, where there is a high level of recognition in
France. And then, in North America, the success of the theatricalfilm ONE PIECE FILM RED has significantly enhanced recognition,and fans are increasing. In North America, the market scale is large
and there is potential for growth. North America plays a central rolein the strategies for global rollouts of products and services.

44

ONE PIECE takeover of Times Square in New York using large outdoor screens

KO HE I G OTOAssistant Manager
Card Business Department
BANDAI CO., LTD.

45

Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept­

S P E C I A L F E AT U R E

Our third major activity is supporting the creation of new IP. The

IP×World

01

interests. However, it is necessary to leverage unique strengths andin which Units and businesses participated separately. Now, forcharacteristics and link them to the demonstration of synergy

these events we are providing support for cross-sectional initiatives

effects. Targeting the advancement of the globalization of license

involving collaboration and cooperation among companies, with IP

management, the Group Business Strategy Department will strive toas an axis. This has led to the creation of buzz about IP under the

implement the functions of leading the coordination of related

ALL BANDAI NAMCO concept. Going forward, in preparation for theparties and fostering the resolution of issues.

licensee. The fact that the Group has businesses with these differ-

In addition, through these types of activities, it is also necessary

2025 Osaka, Kansai, Japan, we will work to foster cooperation

to secure and develop human resources. In particular, we consider

within the Group.

global human resources to be an urgent issue. In regard to the

Our second major activity is working on the Data Universe con-

expansion of global business, together with Group personnel

cept, which will be the foundation of the metaverse. Up to thisdepartments, we will implement ongoing discussions to consider

point, we had been implementing data analysis itself, but there was

the Group’s approach to personnel strategy in the years ahead.

no unified platform from a Groupwide perspective. For example, inthe Digital Business, a development period of three to five years is
required for one title. After launch, operations continue for several
years, with additional measures for download content, etc. On the he Group Business Strategy Department:
T
Forging Connections throughout the Groupother hand, in the Toys and Hobby Business, the PDCA cycle is fast.

Always keeping the Purpose in mind, demonstrating
the strengths of the Bandai Namco GroupA short development period might be several months, with more

In addition to these activities, the Group Business Strategy

than 30,000 items commercialized in a year. In this way, Bandai

Department is also involved with a variety of other initiatives. In thisNamco has businesses with significantly different characteristics.

setting, I think that the resolution of various issues will lead to major

The Group obtains data through the sales of products and services

successes, while including the entire Group under the ALL BANDAI

and through marketing initiatives, and it will be a major strength for

NAMCO concept. The Purpose puts into words ideas that we havelong-term target of an overseas sales ratio of 50%, we must build

the Group if the businesses can mutually utilize that data in analways had and implemented. In that sense, it was a very naturalbusinesses under the ALL BANDAI NAMCO concept in order to work

effective manner. From a long-term perspective, I think that, to aprocess to accept the Purpose. The phrase “connecting with every-in a more unified manner and to demonstrate our comprehensive

certain extent, it will be possible to make forecasts about the future

one around the world and working together to create things” is the

In conjunction with the start of the Mid-term Plan, the Group

strengths. The role of the Group Business Strategy Department is toby capturing and analyzing the varied data that is scatteredbasis of my actions. By including many people around the world, it

Business Strategy Department was established in April 2022 within

forge connections throughout the Group from the perspective ofthroughout the Group. An important role of the Group Businesswill be possible for the Bandai Namco Group to record further

Bandai Namco Holdings Inc. In accordance with the spirit of auton-

overall optimization, while respecting the individuality and inde-

Strategy Department is to organize the interests of the Units andevolution. I think that the vision of the Bandai Namco Groupomy and independence, the Group’s Units and businesses imple-

pendence of each Unit and business. In this way, we strive to foster

businesses and collect and utilize large amounts of data from a

involves the realization of the Purpose, in its true meaning, while

ment business initiatives that demonstrate their individual

more effective collaboration and cooperation within the Group

perspective of overall optimization.

having fun ourselves.

characteristics. I believe that this is linked to our strengths as awhile working to resolve a variety of issues. Through these initia-

Group. However, to accelerate global initiatives and realize ourtives, we will further accelerate support for global initiatives.

Role of the Group Business Strategy Department

FY2023.3 result

Overseas sales ratio:

28.5%

FY2025.3 target

Overseas sales ratio:

Overseas

Japan

46

ent, opposing positions increases the difficulty of coordinatingsuch initiatives as large-scale events. Previously, there were events

establishment of the Gundam Pavilion (tentative name) at the Expo

ALL BANDAI NAMCO Concept
Interview

Looking at our major activities, first, we are focusing on support for

35.0%

Overseas

Japan

SPECIAL FEATURE: Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept

Building Businesses under the

Promotional activities, our principal axis

Bandai Namco Group includes the functions of both licensor andLong-term goal

Overseas sales ratio:

50.0%
N O BUHIKO M O M O I

JapanOverseas

Director
General Manager
Group Business Strategy Department
Bandai Namco Holdings Inc.

47

03

Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept­

IP×World

Building Businesses under the ALL BANDAI NAMCO Concept

MIKE CHANG (left)

S P E C I A L F E AT U R EInterview

Vice President
Marketing and Digital Business
Bandai Namco Entertainment America Inc.

 hina operations aiming for rapid initiatives
Cunder the ALL BANDAI NAMCO concept
In January 2022, Bandai Namco Entertainment (Shanghai) Co.,MEGAN SAPIN (right)

Combining the strengths of the Digital Business andthe Toys and Hobby Business, implementing initiatives
with a focus on speed and cooperation

Director
Sales, Specialty Chain Retail and Distribution
Commercial Sales Department
Bandai Namco Toys & Collectibles America Inc.

Looking at the Chinese market in FY2023.3, the Digital Business andIt will be necessary to deepen connections
under the ALL BANDAI NAMCO concept, andevery day we will challenge ourselves todeliver a better experience for fans of allages through our products and services.
Megan Sapin

the Toys and Hobby Business were both significantly affected by
COVID-19. The Digital Business in mainland China is centered principally on network content. We worked to increase customer satisfaction by focusing on new versions of existing titles. In the Toys andHobby Business, we are implementing initiatives in a wide range ofbusinesses, including toys, plastic models, capsule toys, and character lottery products. We were affected by lockdown-related store

Interview

closures and COVID-19 countermeasures, etc. In this setting, we are orth American operations demonstrate the Group’sN
presence under the ALL BANDAI NAMCO concept

actively taking on the challenge of new initiatives, such as the candy
toy business etc.

82.0

46.3

¥
billionmoved into the same office in Irvine, California. Over the past year,
communication between the Digital Business and the Toys andposting strong growth. In this setting, we have seen a surge in the
popularity of Japanese anime, which is becoming a mainstream
element in the field of visual works. Competition for the time andattention of fans is intensifying.
In the Digital Business, game development expenses continue torise, and fans want game experiences that offer higher added value.
It is increasingly necessary to provide products and services withoriginal value.
With the popularity of anime increasing, the Toys and Hobby
Business is implementing development initiatives in a wide range ofcategories, from Gundam plastic models, collectible figures for themature fan base to capsule toys. These products have become acomprehensive event. We were able to highlight the appeal of newforms of entertainment fusing the Digital and Toys and Hobby
Businesses.
Ultraman has high levels of recognition and popularity in the
Chinese market. Going forward, one of our major goals is toincrease enthusiasm for Gundam in China and to make Gundam a
representative of Japan-originated IP. In 2021, a life-sized Freedom
Gundam statue was constructed in Shanghai. In addition, in various
locations we have opened comprehensive Gundam plastic model
facilities under the name THE GUNDAM BASE SHANGHAI. Sales arefavorable. For initiatives in China, in order to more fully demonstratecontent and events, and we will aim to increase recognition.

For the Fiscal Years Ended March 31

and Bandai Namco Toys & Collectibles America Inc. (BNTCA)*

accelerated rapidly, and the online distribution of visual works isservices and joint events. In March 2023, we held the first BNESH

Hobby Business, we are planning collaborations with network

In April 2022, Bandai Namco Entertainment America Inc. (BNEA)

In recent years, the shift to digital in the North American market has

ing to see effects from collaboration, such as with products andthe effects of integrating the Digital Business and the Toys andGroupwide Sales in Asia

core part of the Toys and Hobby Business in North America.

Demonstrating even greater potential throughthe fusion of the Digital Business and the Toysand Hobby BusinessBusiness and the Toys and Hobby Business. We are gradually start-

47.3¥
billion52.2¥
billion

The Chinese market changes rapidly, and it is extremely impor-88.7¥
billiontant to address those changes quickly. Accordingly, we will aim to
combine the strengths of the Digital Business and the Toys andAiming for
further growth¥billionHobby Business and work in a unified manner to create new entertainment aligned with the characteristics of the Chinese market.

Hobby Business has been enhanced. We believe that North
American operations have been able to demonstrate the Group’s

2019

presence under the ALL BANDAI NAMCO concept, not on a business

2020

2021

2022

2023

2025

axis but rather on an IP axis. For example, we implemented joint
exhibits at a ONE PIECE event in 2022 and a SAND LAND event in July
2023. However, this is just the beginning.
Fans see BNEA and BNTCA not as separate companies or businesses but rather as a single group providing popular IP products
and services. That is why it will be necessary to further advance thefusion of the Digital Business and the Toys and Hobby Business. We
will be able to create an extremely high level of added value by
working across product categories and implementing wide-ranging
promotions with the cooperation of both businesses.

QI RUI (right)

Currently, we have just started leveraging our respective expertiseand know-how to provide fans with a consistently high level ofquality in products and services. However, we are already advanc-Groupwide Sales in the Americas

BANDAI NAMCO concept. Going forward, by making further progress

99.2¥
billion46.7¥
billion

2019

48

53.5

¥
billion

2020

99.3

¥
billion58.4¥
billionwith the fusion of the Digital Business and the Toys and Hobby
Business, we will strive to generate major synergies and link them to

Aiming for
further growth

2022

2023

TSUYOSHI HIGASHI (left)

significant growth for North American operations overall.
* Established in April 2022 following the integration of Bandai Namco Collectibles LLC (known
as Bluefin) and Bandai America Inc.

2021

General Manager
Game Department/Marketing &Strategy Advancement Department
Bandai Namco Entertainment (Shanghai) Co., Ltd.

ing multiple new projects that demonstrate the potential of the ALL

For the Fiscal Years Ended March 31

SPECIAL FEATURE: Connect with Fans—Forging Connections with Fans under the ALL BANDAI NAMCO Concept

02

In accordance with the spirit of the ALL
BANDAI NAMCO concept, we will continue
working to make optimal decisions in orderto strengthen connections, not only withfans but also among those in the Bandai
Mike Chang
Namco Group.

Ltd. (BNESH) was established as a company integrating the Digital2025

I believe that my mission is to provide fansin mainland China with large numbers oftoys and hobby products.

My dream is to create and provide world
number-one game titles through my workat Bandai Namco.



Tsuyoshi Higashi

Vice President
General Manager
Pioneer MD Department
Bandai Namco Entertainment (Shanghai) Co., Ltd.

Qi Rui49

E S G S E C TIO N

R OUNDTABLE DISCUSSION AMONGOUTSIDE DIRECTORSESG SECTION: ROUNDTABLE DISCUSSION AMONG OUTSIDE DIRECTORS

We will strive to support
more sustainable growth for
the Group by increasing governanceeffectiveness and carefully
reviewing Group management strategies.
It has been one year since the Bandai Namco Group made the transition to a company
with an audit and supervisory committee and changed its management system in 2022.
The Group has posted favorable results, and the possibility of achieving net sales inexcess of ¥1.0 trillion has come into view. In this setting, five directors, including Audit &Supervisory Committee members, had an open discussion about further strengthening
Group management.

ShimadaIt has been two years since I

increasing the awareness of people

began this position in 2021.

involved with auditing throughout the

Looking back at the changes

Group.
Prior to becoming a director

ated. A framework for broader discussions

ToshioShimadaKoichiKawanaToru
ShinodaSatokoKuwabara

Takayuki
KomiyaOutside Director

Outside Director

Outside Director
Audit & Supervisory
Committee Member

Outside Director
Audit & Supervisory
Committee Member

Outside Director
Audit & Supervisory
Committee Member
One year since the transition to
a company with an audit andsupervisory committeebeen streamlined. The Board is now able to2022, I think that there has been a degree offocus on broader discussions. A variety of

progress in the sharing of thoughts regard-

measures to increase effectiveness are

ing the transition to a monitoring board.

being implemented, such as holding off-site

and Audit & Supervisory
Committee member of theby the Board has been established.
However, in matters presented to theCompany in 2022, I worked as an Audit &Board and in the flow of meetings, someSupervisory Board member at Bandai

elements remaining from the previous

Namco Amusement Inc. With the movesystem can be seen. Going forward, we willfrom a business management company to

be in a phase of completing the transition

the holding company, and from a position

through the efforts of the entire Board.

that does not have voting rights to one that
does, my role has changed. I am dealing

ShinodaLooking at the 2022 reforms

with my duties with a greater intensity.

from the perspective of aGoing forward, I will strive to leverage mydirector and Audit &experience in order to contribute in themeetings. In place of the previous Audit &between the Board and the Audit &Against a background of major

Supervisory Board members, the Company

Supervisory Committee. In this setting,

Supervisory Committee member, onechanges around the world,

now has Audit & Supervisory Committee

what I noticed after transitioning to an

aspect was strengthened collaboration

corporate governance is chang-members, who are directors and have

Audit & Supervisory Committee member iswith the Internal Auditing Division. Also,ing. Bandai Namco is a company thatvoting rights. They have a more powerfulthat governance-related discussions arefrom before, meetings for Audit &embodies these new developments. One

voice as they participate in discussions.

shared more rapidly, and it is easy to estab-Business. Achieved under challenging
performance was the result of efforts toenhance employee motivation whileadvancing structural reforms. I think thiswas a favorable sign for new initiatives
under the ALL BANDAI NAMCO concept.
I have no issues with the results.
ShimadaIt was a performance worthyof praise. In particular, theGroup’s earnings balance, such as for the
Amusement Business, has begun to
improve.
However, at the end of the term there

new environment.

was an announcement regarding theprocess, etc. Of course, it was good toSupervisory Board members and others inEvaluation of results in FY2023.3
lish a shared understanding with the full-

the Group are held once per quarter with

The fiscal year under review

Up to this point, the Board hastime committee members. I think wethe business management companies.

addressed our opinions andshould leverage this position and work to

From FY2023.3, a similar framework has

Successes included ELDEN RING,

to the Full-Time Officers Committee, andcontinued to evolve. As a result

deepen cooperation among outside

been established within each Unit. I thinka major hit, and the possibility of achieving

the matters presented to the Board haveof the change in organizational structure in

directors.

that these are effective measures fornet sales of ¥1.0 trillion came into view.

Kawanaexample of this is the transition to a company
with an audit and supervisory committee.
Detailed decisions have been delegated50

Importance is placed on cooperation

Komiyathe record-high results in the Amusement
conditions during the COVID-19 crisis, thisover that period, certainly the transition
toward a monitoring board has acceler-

In particular, I would like to acknowledge

Kuwabara

Kawanawas an epoch-making term.

recording of valuation losses on work in
carefully review the business plan in preparation for FY2024.3, but in the sense of
dialog with markets, it seems that there is
likely a need to further increase accuracy inoperations and in setting forecasts.

51

ROUNDTABLE DISCUSSION AMONG OUTSIDE DIRECTORS

ShinodaIt was a year in which thecontinued to record high growth. I think

Group’s culture. The Purpose has put thatGroup’s capabilities were dem-

this was a first-rate accomplishment. On

into words. In that sense, perhaps the

onstrated by the outlet strate-E S G S E CTI ON

Something I often emphasize is
Shimadathe other hand, the scale of the valuation

Purpose has already permeated through-It is not the case that simply

gies for a variety of IP, such as ELDEN RING.

losses was surprising, and I think theout the Group. Having said that, there are

obtaining data is sufficient. For example,

On the other hand, aggressive businessCompany should strive to avoid repeating

potential markets other than current fans.

looking at a plant, it is necessary toactivities led to valuation losses, etc., andthis situation. There is a need to verify theAlso, we should be careful not to make theimplement a feedback loop linking therecord high profits were not achieved. I

process and apply the lessons learned in

mistake of considering the “the world” toproduction line data to increases in pro-think there is a need for improvements so

the future.

mean “outside Japan.”ductivity/quality. With the Data Universe,with more accurate business forecasting.
The favorable results in the
Kuwabara

Toward the permeation andpractical application of the Purposethat it has been put into words has further

Looking at the Purpose and ESG

advanced its permeation, and given rise toissues, Japanese companies

a sense of unity in the Group. I think that

often tend to start with thethe new logo’s speech bubble effectively

discipline for the Group in the areas of gover-fiscal year under review were
the result of the steady planting

rather than acquiring data
separately from each business,
it will be necessary to standardize
data granularity in advance.”

rather than acquiring data separately from

that, as necessary, course corrections canbe made at an early stage in accordance“With the Data Universe,

the method of acquiring data.

Kawanaeach business, it will be necessary to stan-always been a part of the corpo-

dardize data granularity in advance.

rate culture. However, the fact
Aside from the operation of
Shinodaindividual businesses, it is desirable to have a certain level ofgrowth in the business for the mature fanform, but what is important is the content.

expresses the concepts of the Purpose,nance and administration. As a recent exam-base in the Toys and Hobby Business. This

Bandai Namco should work to ensure

such as “communication” and “connec-

ple, at certain business companies there wasreinforced my sense of the importancethorough permeation throughout thetions.” This should also be of use in foster-a mismatch between sustainability-relatedof nurturing and broadening IP from aGroup, so that the philosophy is reflected

ing permeation outside of the Group.

KPIs and the Group’s material issues. I strive

year. Each time a theme is set, and in 2022

medium- to long term perspective. In

in actual behavioral patterns. At the Groupto point out these issues each time.

the meeting was led by an outside director.

addition, with ongoing trends toward aemployees themselves are having discus-

growing scale in game development and asions in a variety of venues about putting

focus on quality, there were some issues

the Purpose into practice. It will be impor-regarding the management of the develop-

tant to continue this attitude in the future,

ment process.

and to work on this issue while utilizing the
PDCA cycle.

results on an annual basis, but
overall the businesses comple-

Shimadamented each other, and the Groupthe inside directors in regard to
IP and entertainment, and I

There are no resolutions to be voted on,
As a director and Audit &and there is no particular order to state-

think this is very meaningful. As a result ofSupervisory Committee

ments. I think that the Vision Meeting is

the alignment of the opinions of the inside

employee engagement and, in particular,

member, I am aware of defensivefunctioning effectively as a venue for mutu-

and outside directors and others, I expect

more than 70% indicated that they could

governance. For example, with complianceally enhancing knowledge, with everyone

to see better initiatives rolled out.

identify with the Company’s corporatecases, in some ways the corporate culture isbringing their own perspective.

Kuwabaramate survey, there were many
positive answers related to

Kuwabara

philosophy. Looking at these results, I havein the background, such as the appropriate-

The approach of emphasizing

the impression that many people identify

ness of measures to prevent a recurrence,fans and the world has always

with the Purpose.

subsequent follow-up, and highly personal

By business, there were varying
KomiyaIn the previous employee cli-

I can sense the enthusiasm of
ShinodaThis is operated in a very casual
Komiyaissues. Regarding these types of points, I

been deeply rooted in the

ShimadaIn the most recent meeting, I

manner, and has become agood opportunity to deepen

served as chair. We were able toshare an awareness of issues

mutual understanding. Through the accu-

I strongly agree with the point

exchange opinions with the full-time com-faced by companies, as well as challenges. I

mulation of this experience, discussions atthat the Purpose has expressed

mittee members, and if there seems to be

think that the Vision Meeting is a significant

meetings of the Board of Directors will

in words the corporate culture

an issue, then the business execution side isvenue, even if there is room for consider-likely become easier. As the first step inthat the Group has always had. It has aurged to pay attention, such as through theation in the future about the way the meet-

new initiatives, I think the Vision Meetingbright, fun image, and I think the Purpose

Board of Directors.

ings proceed.

was an excellent idea.

KomiyaESG SECTION: ROUNDTABLE DISCUSSION AMONG OUTSIDE DIRECTORSof seeds on a rolling basis, as seen in the

ShinodaCertainly, the Purpose has

is excellent.
I consider matters and makeposal is present, and it is difficult for other

always involve tax issues and, accordingly,internal directors to participate in discus-

One thing that I am always

for especially important matters I work tosions. We wanted to changed that point.

aware of is the perspective of

offer necessary opinions from that

The Vision Meeting was established follow-

project management. Recently,

perspective.

ing an evaluation of the effectiveness of the(excluding Audit & Supervisory Committee

Komiyajudgments based on my experience as a certified public tax

anime and game projects have become

Kuwabara

ings of the Board, the internal
director in charge of each pro-
In 2022, substantial revisions
Kawanawere made to the framework forremuneration of directors

Board of Directors. The secretariat officemembers and outside directors). A certain

preparation materials have been mini-level of remuneration is desirable because

there are also many technical challenges.

Experiments at the Vision Meeting

mized, and with major themes such as

it is indispensable to enhance the motiva-

into practice. It will be important to continue

The question of how these will be man-

personnel strategy and the IP axis strategy,tion of directors in order to increase corpo-

this attitude in the future, and to work on

In 2022, the Vision Meeting was

open discussions are held. Lively discus-

rate value and, in addition, to gather

in regard to regional strategies around the

newly established as a venue

sions are held among the inside directors,

excellent resources globally. More thanfor the exchange of opinions

and our knowledge and awareness ofanything else, in regard to performance-

in a variety of venues about putting the Purpose

this issue while utilizing the PDCA cycle.”52

New framework for remunerationof directors

accountant and a CPA. Business activities

Kawana“Employees themselves are having discussions

Under the framework for meet-Content of statements at meetingsof the Board of Directors

larger in scale and more complex, andaged is increasingly important. In addition,world, I am working to ask a variety of

Kawanaquestions to the people involved in busi-

among all directors. This is different fromissues is deepened. I think that this was

based stock compensation as variable

ness executions and to foster candid

meetings of the Board or off-site meetings

an excellent initiative.

remuneration, given the favorable results in

exchanges of opinions.

for directors. Meetings are held twice per

recent years, the consolidated operating

53

ROUNDTABLE DISCUSSION AMONG OUTSIDE DIRECTORSE S G S E CTI ON

standards, and accordingly I think perhaps“Currently, the Group’s results are

One issue is how to strengthen

there is a need to put these into words andKomiyashare them.

organizations and human­favorable, and it is excellent timing forresources for the management ofbenefits for human resources. In parallel

sustainability activities. There are specialized
Human capital is the mostpositions in the holding company, but there

important management

are differences among the business compa-

with investment in businesses, I think

resource supporting sustainable

nies in terms of the management functions.

growth. In the fiscal year under review, when

There is a need to standardize management

the Group should work to enhance

we did a focused check of the Group’s

frameworks on a Groupwide basis.

Shinodaa variety of policies and frameworks.”

personnel strategy, at the level of individual

management strategies. We did not see anyImportance of the personnel
strategy

evaluations has significantly fostered awareness.

major problems. On the other hand, lookingIn regard to operations, going forward I will strivethat extends across businesses and regions,businesses, each company was advancing“I think that the introduction of sustainability

a better method of system operation.”

at personnel in a cross-sectional manner

The Group is very popular among
Kawanathere were some issues remaining. In orderpeople seeking jobs, and is ideallysuited for nurturing young

to reinforce the overseas business founda-

employees. It is important to give authority totion, the nurturing of global personnel inthink there is a need to make a special

outside perspective. Going forward, I will

employees while they are young, to haveadministrative Units is an urgent task.

point of developing people with skills in DX.

continue to work to see that discussions atthem experience small successes and major

meetings of the Board of are meaningful.

challenges, and to give them a broad perIn regard to diversity, I think thatspective. Enhancing the diversity of thethe recent appointment of aworkforce in terms of gender and nationality

forward, I will strive to learn from past

female inside director at thewill contribute to the advancement of diver-there is a need to look at whether or not

examples while considering a betterholding company represents excellent

marketing personnel, I have the impression

considered questions from ansity for the entire Group. Overseas, it will bethis is functioning as an incentive.

method of system operation.

progress. Looking at the nomination process,that the Group is somewhat thinly staffed inoutside perspective. Going forward, I will

necessary to hire local employees who have

Ms. Udagawa has been highly evaluated, andthe area of personnel in administrative Units.

continue to work to see that discussions at

everyone on the Personnel Committee wasWith the Group’s scale increasing rapidly,

meetings of the Board are meaningful.

up global personnel exchanges.

The operating profit perfor-


Sustainability initiatives

the ability to formulate strategies and to step

there is a need to strengthen the administra-

mance condition of ¥75.0 billiontion, the ratio of female managers at busi-

profit indicator is nearing the performanceand the assessment was neutral. Going

condition upper limit. I think that perhaps

ShimadaKuwabara

in agreement with the conclusion. In addi-

Shinodahuman resources within theGroup, in comparison with

What is important for outside
Shimadative function for the organization as a whole.
At this point, when Bandai

directors is to ask carefully

At this point, when results are
Shinodafavorable, the Group has an

Addressing the issue of plastic is

ness management companies has begun tosomething that the Company

increase. However, there is still room forneed to reconsider this for the next Mid-cannot avoid. Targeting a reduc-

improvement for the Group overall.

term Plan. However, I think that it is basi-tion in the environmental burden not only

In regard to the issue of plastics, in thecally appropriate to have variable

for the Group but also for the entire supply

short term we should start with initiatives

remuneration at approximately 60% of

chain, the Group Sustainability Committeethat we can implement, as has been done

Also, it is important to actively hireannual remuneration.

is holding discussions, and initiatives arewith the collection of runners. And then fortion seem to recognize the importance ofpeople who have something that they want

In addition, sustainability evaluations

being advanced in a variety of frontline

the future, I think we should prepare forthe personnel strategy and are advancing a

to do. Digital transformation (DX) can bewere introduced. These incorporate thesettings. I think that it is the Company’s

game-changing initiatives.

variety of ideas. I expect people to imple-

used to support these people throughresults of activities aligned with material

mission to demonstrate initiative in its

ment appropriate measures while looking

digital initiatives. In particular, I do notcurrent circumstances and prepare for theissues and indicators related to engage-

specialty fields and to foster involvement

over the business as a whole.

next growth stage. I will strive to contributement, etc. In FY2023.3, the assessment wasof related parties around the world.

to ¥125.0 billion is certainly
conservative, and I think maybe there is a

Kawananeutral. With a focus on the TCFD recommendations and trends in legally mandated
disclosure items, it will likely be necessary tohave continued discussions about the best
method of system operation.

It is necessary to formulate
Shimadawell-defined standards. Fromthe perspective of the sustain-

ability of the business itself, what is thecentral value that the Company must

Kuwabara

54

Looking at the demand for

I think that the introduction ofcreate? What management resources

sustainability evaluations hasshould the Company hold on to? When asignificantly fostered awareness.

company is quick to rely on outside manu-

The operation of the system is still in afacturing due to rapid business expansion,

process of trial and error. In FY2023.3, there

then there is a possibility that it will invite awere some favorable factors. However, thishollowing out. Of course, I think that each

was the first year since its introduction,

front-line setting has these types of

ShimadaNamco is recording continued
growth, it will be necessary to

For the Group to grow, collaboKuwabara

secure unique human resources. In an era

opportunity for thorough compli-

ration among a wide range ofance. I will strive to contribute to establishinghuman resources is essential,

systems for addressing problems early andof generative AI, unique creativity requires

including those inside and outside theunique human resources.

Group. Those involved in business execu-

ESG SECTION: ROUNDTABLE DISCUSSION AMONG OUTSIDE DIRECTORS

to learn from past examples while considering

the personnel strategy in connection withpreventing them from becoming major issues.
Results continue to be favorable.
Kuwabara

I think that it is at times like thisthat there is a need to reconsider

to further gains in the Group’s corporate
Currently, the Group’s results are“Looking at personnel in a crosssectional manner that extends

resources. In parallel with investment inacross businesses and regions,enhance a variety of policies and frameworks.

there were some issues remaining.
In order to reinforce the overseas
business foundation, the nurturing

timing for benefits for humanbusinesses, I think the Group should work to

The position of outside director
Komiyaand Audit & Supervisory
Committee member for theholding company is distinctive. Based on
my business company audit experience, IToward further increases incorporate valueof global personnel in administrative
Units is an urgent task.”

value, centered on governance.

favorable, and it is excellent

Komiyawill do my best to contribute while thinking
about the meaning of this position.

What is important for outside
Kawanadirectors is to ask carefully
considered questions from an

55

E S G S E CTI ONPERSONNEL STRATEGY OF THE BANDAI NAMCO GROUPP E RS O N N E L ST R AT E G Y

Targeting the realization of the Purpose,
we will work to create a favorable cycle with a personnel
strategy that leverages the Group’s strengths andthe characteristics of Group companies.

Permeation of the Purpose and engagement

addressing the issue of long work hours, we are working to establish environments that are supportive after employees return towork. To that end, we are working together with related Units,

Looking at initiatives in FY2023.3, the Purpose was addressed as acentered on personnel departments at Group companies, totopic in Groupwide new officer training, training by years with theconsider a variety of measures. On the other hand, looking at theCompany, and position-based training. We received a substantial

employee climate survey mentioned above, there is room foramount of positive feedback, including from younger employees.

improvement in the item regarding the environment for male

Going forward, we will further enhance these programs so that

employees utilizing childcare leave. Going forward, we will con-additional progress is made and everyone has a sense of personaltinue to enhance the environment for the utilization of this leaveownership regarding the Purpose.

on a Groupwide basis and to step up our progress.

In addition, for Group employees around the world, we implemented the first global employee climate survey. Among the itemsin the survey, in particular, the engagement indicator was substantially above the benchmark. One element of Bandai Namco’s* Four business management companies and Bandai Spirits Co., Ltd.


Toward further growth on a Groupwide basis

strength is an environment that enables employees to work withIn FY2024.3, the second year of the Mid-term Plan, the global

tionship between employees and the Company, and it also shows

personnel database for which we advanced preparations was

the attachment of employees to IP and the Group. We will continue

placed into operation. As a result, we have a bird’s-eye view ofto implement the survey in the future. We will track trends on anGroupwide personnel shortages and surpluses as well as distribu-

ongoing basis, centered on engagement and employee satisfac-

tion imbalances. Currently, we gather a limited amount of quanti-tion, and we will work to sustain and enhance the results.

tative information, but we are aiming to expand this going forward.

Toward more substantial diversity and inclusion

mentation of optimal Group personnel allocation and employ-

Establishing an environment in which diverse human resources

employees had been restricted for the Global Next-Generation

with various talents, individual characteristics, and values can work

Managers Development Program. From FY2024.3, this program willin an energetic, active manner, irrespective of whether they are

be returned to its original form, with exchanges among overseas

new graduates or mid-career hires, and regardless of their gender,

employees. Recently, a trend of combined training in overseas

age, nationality, race, religion, or sexual orientation, is the way toareas has spread, and going forward we would like to see thisachieve diversity and inclusion. We are working to address issues,

linked to new initiatives.

We expect that the utilization of data will facilitate the imple-

A S U K A S HI MI Z U

TAK ASH I K ANEKO

KOJI H AMANO

Deputy General Manager
Global HR Management Team
Human Resources Department

Executive Officer
Division General Manager
Group Administrative Headquarters

General Manager
Human Resources Department
Group Administrative Headquarters

Bandai Namco Business Arc Inc.

Bandai Namco Holdings Inc.

Bandai Namco Holdings Inc.

Group personnel strategy closely tied to managementaligned with the Purposethe diversity of the Bandai Namco Group. Looking at matters thatare related to this expression, one is the development of a wide
range of diverse talents. Another, which is close to “same spirit,” isthe shared identification with the Purpose in a Groupwide culture

The Bandai Namco Group’s personnel strategy is inseparable frommanagement strategies. The Purpose, which was formulated inand environment that enable the active use of diverse talents.
For example, the Mid-term Plan calls for securing and developing

April 2022, is also the ultimate definition of the personnel strategy.

marketing personnel and creators/engineers, etc., as diverse humanWith the Group targeting “Fun for All into the Future,” the role ofresources in a variety of fields. The Group is advancing open discus-

human resources includes establishing an environment that tran-

sions about this matter, centered on the business companies. In

scends boundaries between Units and businesses and enables thecontrast, securing and developing personnel in administrative

ongoing pursuit of smiles and happiness. This environment willdepartments is positioned as a Groupwide issue, and this is a theme

facilitate a focus on the future under the ALL BANDAI NAMCO

for which the Group Administrative Headquarters must take theconcept, including those of us in human resources.

central role. Furthermore, in expanding operations in global markets,

In addition, in the Bandai Namco Group, each company has

there are significant differences in personnel strategies depending

significant discretionary power in conducting its operations. Thison whether the Company dispatches employees from Japan oralso applies to the personnel strategy. Accordingly, the Group’semphasizes local autonomy. Under the current Mid-term Plan, we

personnel strategy has two axes. The business company personnel

will implement a variety of initiatives to optimize strategies for indi-

strategies, which are coordinated with individual business strate-vidual companies and to maximize Group results.

gies, comprise the first axis. The second is the Groupwide person-* This expression refers to a group of people who have the same spirit but different talents
and characteristics.

nel strategy, which extends across the business company

ESG SECTION: PERSONNEL STRATEGY

motivation. We believe that this demonstrates the positive rela-ment strategies from more of a management perspective.
In addition, due to the COVID-19 crisis, travel by overseas

centered on the Japanese Group, which has a large workforce. In
April 2023, Japanese Group companies introduced the Partnership

We recognize that, against a background of the Group’s busi-

System for people in same-sex relationships. In addition, the ratio

ness activities and solid results, our recruitment initiatives haveof female managers at the five major Group Companies* wasreceived a high degree of attention in recent years. Nonetheless,

21.2% at the end of March 2023. Among younger employees, where

entertainment is also an industry that undergoes dramatic change.

there is a high percentage of women, we are starting to see a

Accordingly, to secure human resources who will lead the Group’s

prominent trend toward active careers. Going forward, we willfurther growth, we would like to establish the creation of work-

strive to build an environment that develops future leaders fromplace environments with ongoing appeal. Going forward, we will

this group. From FY2024.3, on a Groupwide basis, we will imple-

work to support further increases in corporate value by advancing

ment career support seminars for female employees who havemeasures to maintain and enhance engagement and otherexperienced childbirth and child-rearing, etc. Also, in addition toinitiatives.

Co m m e n t
Through an appropriate personnel strategy, I will work to establish a favorable
cycle that facilitates smiles and happinessfor Group employees while contributing to
Takashi Kaneko
stable business growth.

Our job is to build steady foundations.
Going forward, I would like to do meaningful work by establishing venues that make itpossible to actively utilize diverse individual
characteristics in a way that is especiallyappreciated when people look back after
Koji Hamano
several years.

We have access to large volumes of data
about personnel. We will strive to leverage
this asset in order to support the establishment of an environment that enables theGroup to continue working to create
smiles and happiness into the future.
Asuka Shimizu


strategies. The expression “same spirit, diverse talents”* embodies

56

57

E S G S E CTI ON

EXAMPLES OF INITIATIVES TO DEVELOPHUMAN RESOURCESP E R S O N N E L S T R AT E G Y

人材取り組み事例

人材取り組み事例

Case Study

Case Study

Developing animators

Developing game creatorsO S A M U TA NI GU CHIF UM IHIRO SUZUK I

General Manager
Production Department and Production Administration Department
Vice Division Director
IP Production Group
Bandai Namco Filmworks Inc.

Executive Officer
Studio 2 Studio Head, Studio S Studio HeadGeneral Manager
Large Scale Development Promotion Office Co-Production Group Studio S
Bandai Namco Studios Inc.

for the content business

SUNRISE Drawing Academy

Developing animators who will
have wide-ranging viewpoints
and support the animationindustry in the future
In the animation industry, there has been ashortage of animators for some time. Froman early stage, we have advanced initiatives
to develop the human resources who will
support the next-generation animationindustry. We are providing a large number ofvisual works, and all of them are created bypeople. In the end, it is the human resources
themselves who are the foundation of theanimation industry. In that sense, we areadvancing personnel development initiatives that enable human resources toacquire a breadth of experience while
making visual works. This will enable young
animators, such as future director candidates, to demonstrate their diverse talents.
Specifically, in addition to SUNRISE
Drawing Academy,* which was opened in2018, we opened SUNRISE Art Academy* in

582021. For employees, we have also opened
the Technical Directing School and the
Scenario School. Under these initiatives, we
invite highly experienced technical directors
and well-known scriptwriters. These initiatives are steadily showing results, and there
are large numbers of graduates working on
production front lines in such positions as
director and main animator, both in-houseand externally. Given these results, thenumber of applicants is increasing, leading
to a favorable cycle under which outstanding
graduates are produced. The graduates
include not only people working in-house
but also people active at outside production
companies. We strongly believe that there isa need to continue these initiatives, including to support the future animation industry.
Going forward, I would like to take on thechallenge of developing human resources inlocal markets, such as at production studios
around the world. Furthermore, I would also
like to implement activities from a different
viewpoint than in the past. For example, withan exchange study program, humanresources who were developed overseas
could gain production experience in Japan,
and human resources in Japan could gain
experience overseas.
To further advance the IP axis strategy, it
will be necessary to develop animators withnew viewpoints. Our development policy
reflects an awareness of the acquisition ofa range of experiences. For example, we
respect the various wishes of employees andrespond flexibly in such areas as positionchanges. Going forward, we will strive tocontribute to the further activation of theanimation industry by developing animators
who will support long, stable lives for theGroup’s established IP as well as the creationof new IP. This is a mission that we must
continue.
* Under this system, external recruitment is conducted inaccordance with the application guidelines. Training
related to animation drawing and art is provided. Working
animators, art directors, and art staff serve as instructors,
and students receive grants that provide support for their
daily lives. The aim is for students to acquire skills andknowledge that will enable them to actively contribute in
actual work settings after six months to a year of practicaltraining.

ESG SECTION: PERSONNEL STRATEGY

in the IP Production BusinessTraining in analog game production under the GEMini Project,a training initiative for newcomers

Leveraging the strong points andcuriosity of creators, building
organizations for the continued
creation of entertainment
In order to develop human resources in thearea of game development, it is necessary to
focus on their individual aptitude and toenhance their capabilities. Also, the knowledge and skills that are required in gamedevelopment are not something that can beacquired in a day. Steady knowledge acquisition is necessary. Essentially, it is importantfor young creators to get an overall view
through the development of small-scalegames at first. However, currently, in hardware performance levels are rising, and insoftware increasingly detailed expression isrequired. Accordingly, the scale of development projects has increased, and work has
become increasingly subdivided.
Consequently, there is a trend toward people
getting experience only in certain areas.

With consideration for these circumstances, we have a framework for young
creators to gain development experience.
Since 2019 we have implemented the GEMini
Project, a training initiative for newcomers
under which they form teams with a small
number of people and experience the process of game development over three to fourmonths. In 2021, as a venue for young creators to utilize more open concepts in development, we launched the GYAARStudiogame label.
Furthermore, in large-scale game development, in addition to technical expertise,skills are also necessary in the area of group
activities, such as collaboration with people
in various types of jobs and suitability forleadership. The Large Scale Development
Promotion Office, which I lead, was established in 2021 with the objective of cultivating
future skills in young creators. We are promoting initiatives and evaluation systems that will
foster understanding among different jobs
and promote the development of leaders.
When this department was established, inmany cases senior managers took the lead.
However, recently we are seeing situations inwhich frontline leaders who have noticed theimportance of skill acquisition are more
actively interacting with young creators.
Going forward, we will strive to make this aCompanywide initiative. In addition, leveraging strengths under the ALL BANDAI NAMCO
concept, we will collaborate with visual work
production, which requires skills similar to
those needed in game development, and wewill work to develop creators, including
people at overseas Group companies.
Since I was a child, I liked old namco
games, and I wanted to be involved in gamedevelopment. Based on my experience todate, game development requires a daily
process of trial and error. I think that having
strong thoughts about games is connected tothe creation of games that everyone canenjoy. To be an organization that provides, on
an ongoing basis, amazing entertainment thatmeets the enthusiasm of fans, we will continue to implement development that supports creators’ curiosity and spirit of inquiry.

59

E S G S E CTI ON

D I A LO G U ESUSTAINABILITYSUSTAINABILITY INITIATIVES

Connecting to smiles into the futurewith distinctive Bandai Namco
sustainability activities while increasing
business sustainability
The Sustainability Management Department, which was established in April 2022 in
the Corporate Planning Division, is the control tower for advancing sustainability,
which is a main strategy under the Mid-term Plan. Two of the people who support
the Group’s sustainability in a wide range of fields, from in-house education, overseas

KOJI TSUYUKIYUKO A R I S H I MA

General Manager
Sustainability Management Department
Corporate Planning Division
Bandai Namco Holdings Inc.

Assistant Manager
Sustainability Management Department
Corporate Planning Division
Bandai Namco Holdings Inc.


From foundation building to
a new phase
It has been more than one year
since the establishment of the
Sustainability Management
Department. We have identified Groupsustainability issues and provided information to Group companies. Furthermore, wehave advanced a variety of measures tosupport the implementation of effective
initiatives that reach fans. With FY2023.3
positioned as a period for foundation reinforcement, we worked to promote theunderstanding and permeation of basic
concepts. Over that period, there was progress in the understanding of sustainability
and a change in sustainability awareness.
This can be seen in the results of the inhouse questionnaire.
Tsuyuki

60

Looking at organizational initiatives, theGroup Sustainability Committee was established under the Board of Directors. Insidedirectors, including the presidents andrepresentative directors of business management companies, participate in thiscommittee. In addition, we have introduced
sustainability evaluations for director remuneration. These initiatives have enhanced
the visibility of each company’s initiatives.
One example is the MIRAI Creation (Future
Creation) Project of Bandai Co., Ltd. andBandai Spirits Co., Ltd.
With consideration for these types ofresults, our initiatives are moving to a newphase from FY2024.3. On a Companywide
basis, we will encourage people to take theattitude that “material issues are my business.” In addition, we will expand the scaleof initiatives worldwide.
In regard to encouraging the idea
Arishima that “this is my business,” from2022 we have advanced the My
SDGs Project on a Groupwide basis. We
started with the display of posters at Group
companies in Japan, and in November 2022
we launched a portal site in the online
Company newsletter. We are working to foster
awareness about the Purpose and material
issues while introducing the daily initiatives of
employees, etc. We have created an English
version for overseas employees, and we havealso implemented a questionnaire-based
survey at Group companies around the world.

Currently, we are moving ahead
with the identification of issues foreach overseas area. In October
2023, we will hold the Global Sustainability
Summit in Japan. People from the regional
management companies will get together
with the aim of standardizing initiatives as aGroup.
Tsuyuki

implement in-house education in order tosupport the creation of a new axis for
initiatives.

Initiatives in the areas of humanrights and the environment

The Sustainability Policy, which
was formulated in 2021, has atarget for reducing CO2 emissions
to work toward carbon neutrality. This
stipulates reductions in Scope 1 and 2*
emissions. Moreover we are currently considering the possibility of Scope 3 initiatives,
and we are moving forward with discussions
about targets. Together with initiatives
addressing the plastics issue, we will implement initiatives on a new axis that leverage
the Group’s distinctive strengths. I believethat this will lead to true increases in corporate value.

In regard to material issues, especially human rights initiatives,
these are areas in which the
Sustainability Management Department
should actively take the lead, while collaborating with related departments.
Tsuyuki

In 2022, with the cooperation of anNGO, we implemented humanrights due diligence and identified
potential risks. As a result, in FY2024.3 wewill move ahead with measures to build a
specific system. First, we will formulate aGroup human rights policy and work to seethat it permeates throughout the Group. We
will also aim to standardize the measures
implemented by Group companies, including management of suppliers.
Furthermore, in the environmental field,
in addition to initiatives in the recycling ofplastic, such as with Gundam plastic models
and capsule toys, we will aggressively
Arishima

culture at Bandai Namco. We will further
strengthen our communications abilities,
and in regard to matters that employees do
not notice, we will work to deepen theirunderstanding and recognition that “everything is connected to sustainability.” In thisway, we will foster a setting in which information for new initiatives is provided. In
addition, so that initiatives extend beyond
Japan, we will focus on global cooperationand strive to realize sustainability activities
under the ALL BANDAI NAMCO concept.

Tsuyuki* Scope 1: Direct emissions from in-house activities (fuelconsumption, industrial processes)
Scope 2: Indirect emissions accompanying the purchaseand use of electricity, heat, and steam
Scope 3: Indirect emissions other than Scope 1 and Scope 2

Support for business sustainability
The scope of activities in the
Sustainability Management
Department also includes thefields of crisis management, compliance,
and information security. These fields have asignificant effect on business sustainability.
Within the department, a team has been
established for each of these fields. The
teams implement appropriate collaboration
Tsuyukiand work in a unified manner for business
continuity plan (BCP) issues. Following theunauthorized access incident in 2022, we
took steps to thoroughly strengthen systems
and to unify reporting schemes. As a result,worldwide incident reports in both of thesefields are now available in real time.
Going forward, our initiatives in crisis
management and compliance will include
strengthening and enhancing e-learning andtraining, and our initiatives in information
security will include bolstering measures
regarding personal information and AI.
The story of our pursuit ofcomprehensive value

Arishima

Going forward, we will continue
working to contribute to thecultivation of a sustainability

ESG SECTION: SUSTAINABILITY

initiatives, and human rights to information security, met for a discussion.

The idea that “this is my business”
extends to everything. Without
this initiative, there is no future forBandai Namco. In the first year, there were alarge number of general discussions. In amanner that is easier to understand, I would
like to communicate the message that“connecting to smiles into the future is itself
a sustainability activity.” Sustainability is
inseparable from the IP axis strategy andindividual businesses. For example, thegrowth in sales of the Clena 3 low power
consumption crane game is simply thesimultaneous pursuit of economic value andsocial value. The permeation of these typesof stories to the individual level will work
together with the three main strategies in the
Mid-term Plan. And then I think that Bandai
Namco’s business foundation will start tobecome even stronger.
Tsuyuki61

E S G S E CTI ON

EXAMPLE OF A SUSTAINABILITY ACTIVITYSUSTAINABILITY

Case Study

Waste reduction initiatives
N O R IKO F UJI TA
Director
BANDAI CO., LTD.
BANDAI SPIRITS CO., LTD.

forward, the MIRAI Creation (Future Creation)
Project will implement a variety of initiatives
linked to the realization of targets and actively
promote the communication of information.

Advancing the MIRAI Creation(Future Creation) Sustainability
Project
In April 2023, I moved to my current position,
where I am responsible for the promotion ofsustainability in the Toys and Hobby
Business. My role includes advancing themeasures that are necessary for the Toysand Hobby Business to continue to operate
in a sustainable manner. In addition, I work
to create an environment in which all
employees address sustainability with astrong sense of ownership.
As one part of those activities, Bandai andBandai Spirits started the MIRAI Creation(Future Creation) Sustainability Project inMarch 2023. These two companies share thesame corporate slogan—Dreams andCreation—and this project connects “Dreams
and Creation” to the future. Bandai andBandai Spirits have set three targets that they
are addressing on a companywide basis.

62

These are reducing CO2 emissions at Toys andHobby Business bases by 15%, providing
products and services that can be used safely
and with peace of mind, and providing education and experiences to children, who will
support the future. To facilitate the realizationof these targets, they have been divided into
three layers—company, department, andofficer/employee. Each of these layers will
aim to fulfill its role. We hope that the division
into three layers will clarify the tasks to behandled by companies, and we would like to
see everyone address sustainability from theirown perspectives and work with a sense ofownership and motivation. Previously, sustainability activities were advanced in cooperation with businesses. However, this waslimited to activities at the level of each business or department. The MIRAI Creation(Future Creation) Project was launched basedon the sense that it was necessary to organize
the roles by perspective and to broaden theirscope. For the project logo, green is used for
an image of new sustainability. Going

to reduce food loss, which will promote
reductions in product and raw material
losses.
I do not believe that we can advance thesetypes of activities on our own. Rather, I thinkthat these are activities that are implemented
together with the fans who support our products. In regard to the social issues that we needto address, in line with the Purpose, I think that
it will be important to continue to establish
environments in which we can work together
with fans and broaden the scope of initiatives.

Rolling out environmental
initiatives on a global basis
Our products are delivered to fans in many
countries and regions. In Europe, various
legislative initiatives regarding sustainability
are making progress. We consider a global
approach in the area of product specifications
to be a high priority. Going forward, we will
work to implement communication initiatives, including information exchanges withbases around the world. At the same time, wewill advance product designs suitable for theregions in which we have a presence.

With the launch of the MIRAI Creation(Future Creation) Project, the Toys andHobby Business is approaching a new phasein sustainability activities. In these circumstances, I have become responsible for thisissue, which I consider to be a major challenge. From a global perspective that
includes all bases in Japan and around theworld, we will formulate and advance sustainability activities that leverage Bandai
Namco’s distinctive strengths. Going forward, I will do my utmost to support thecreation of environments that enable everyone to work with the attitude that “this is mybusiness.”

ESG SECTION: SUSTAINABILITY

in the Toys and Hobby Business

was started in April 2021 as a joint initiativeof four companies in the Bandai Namco
Group. Under this project, we collectGundam plastic model runners (part of theplastic model framework) and recycle themto create new plastic model products. To
collect the runners, we have put collection
boxes at about 200 participating Bandai
Namco Amusement Inc. facilities acrossJapan, including namco facilities. In thisway, we collect runners from fans. In
FY2023.3, we were able to collect 21 tons ofrunners, which was 46% more than ourannual target. The collected runners arereused through material recycling or converted to electricity through thermal recycling. At the planning stage for the Gunpla
Recycling Project, there was some concern
about whether or not people would go outof their way to bring used runners to thecollection boxes. However, in the end wewere able to collect more than the expectedvolume due to the cooperation of fans.
In addition to recycling activities basedon in-house collection, we are also promoting environmentally friendly designs for
products and packaging, and we havelaunched a project to extend the best-before
dates of confectionery and food products.
In addition, we are implementing initiatives

Promoting sustainability
together with fans
In the Toys and Hobby Business, there aremany cases in which plastic is the principal
material in products and packaging. We
believe that our highest priority issue is the
reduction of waste, which will lead to lower
environmental burdens. To contribute to thetransition to a recycling-oriented society, we
have set a high priority on in-house collection and recycling initiatives.
Against this background, in 2006 westarted to collect empty capsules from
capsule toys, and in 2021 we commenced
the use of recycled materials for in-housecapsules. Empty capsules become unnecessary immediately after the customer makes
a purchase. Accordingly, they are readily
recyclable and the number of stores recycling them is steadily increasing.
In addition, the Gunpla Recycling Project

Logo for the MIRAI Creation (Future Creation) Project implemented by Bandai Co., Ltd., andBandai Spirits Co., Ltd.

Gashapon Capsule Recycling

Gunpla Recycling Project

1/1 scale Gundam head that uses recycled runners

63

SUSTAINABILITY MANAGEMENTE S G S E CTI ONSUSTAINABILITY

Our Purpose, “Fun for All into the Future,” has been positioned as the ultimate definition of the Group. In accordance with
the Purpose, we have formulated the Sustainability Policy for implementing initiatives that use the IP axis strategy and leverage our distinctive strengths. To implement this policy, five themes that will need to be addressed by focused initiatives
have been identified as material issues (important themes), and on that basis we are advancing sustainability activities.

Identification of material issues 
In regard to risks and opportunities related to sustainability,

Each fiscal year, the results are analyzed for the Group as a whole

following discussions by the Group Sustainability Committee, weand by business segment. This is linked to improvements in

identified the material issues that the Group needs to address,

initiatives for the next fiscal year and thereafter. The details of thisand we are now advancing Groupwide sustainability activities.

analysis are reported to the Board of Directors following discus-

Also, Group companies are implementing initiatives aligned withsions at the Group Sustainability Committee. The Board conducts

the material issues and the characteristics of their businesses.

discussion and supervision.

Bandai Namco’s Purpose

Three Steps for Identification of Material Issues
Listing
Major SDG targets
that the Group will focus on

Sustainability Policy
Based on the IP axis strategy, the Bandai Namco Group will work
together with fans to advance sustainability activities that focus
on the social issues that the Group should address.

1

STEP

2

We mapped these items on
two axes: importance tostakeholders and importanceto the Bandai Namco Group.

Perspectives that are emphasized
during specification/verification
The Bandai Namco Group’s Purpose
The Bandai Namco Group Sustainability Policy
The Bandai Namco Group Compliance Charter
The Bandai Namco Group Mid-term Plan

For the promotion of sustainability activities, we have establishedfrom the perspective of management strategy. Accordingly, thethe Group Sustainability Committee. The members of the com-

Group Sustainability Committee, which is directly under the

mittee include full-time directors of the Company and presidents

Company’s Board of Directors, holds discussions related to sus-

and representative directors of the Group’s business management

tainability strategies, considers various initiatives, and periodicallycompanies (Bandai Namco Entertainment Inc., Bandai Co., Ltd.,

reports to the Board of Directors, which discusses and supervises

Bandai Namco Filmworks Inc., and Bandai Namco Amusement

those matters. In addition, we have established the Group

Inc.). The committee is led by the president and representative

Sustainability Subcommittee, which is a subordinate organization

director of the Company. In this way, we are implementing

under the Group Sustainability Committee. The subcommittee

activities in cooperation with businesses. We recognize that theworks with activities aligned with the Bandai Namco Group

promotion of sustainability activities is an important initiative

Sustainability Policy and our material issues.

STEP

3

We incorporated the content
of management deliberations
and identified the material
issues. We obtained comments from outside experts.

Material Issues

Importance to Stakeholders

The Bandai Namco Group’s Approach and Policies
At business segments and affiliated business companies, we have formulated major initiatives and KPIs,
and through business operations we are advancing sustainability activities in alignment with material issues.

Identification

MappingRelated Group policies/guidelines

ESG SECTION: SUSTAINABILITY

Material Issues (Important Themes)

STEP

From the perspectives outlined below, we created a listof social issues to be analyzed
and narrowed the list to
20 items.

Extremely Important

The ultimate definitionof the Group

Extremely Important

Importance to the Bandai Namco GroupTrends and Demands of Society in Japan and around the WorldV arious policies and guidelines from international institutions, research institutions, and governments
Example: Sustainable Development Goals (SDGs), Ministry of the Environment’s Environmental Reporting Guidelines, GRI Guidelines, TCFD recommendations, SASB Standards, ESG evaluation institution guidelines and reports (CDP, MSCI, Sustainalytics, FTSE), etc.
Interviews with outside experts
Consumer surveys (implemented at irregular intervals)
Initiatives of companies that are advanced in regard to sustainability

Five material issues Bandai Namco Holdings Inc.’s Board of Directors
Group Sustainability Committee
Chair
President and Representative Director Masaru Kawaguchi
Participants
Full-time directors of Bandai Namco Holdings Inc.; presidents and representative
directors of business management companies, etc; other designated individuals
Schedule
Convenes semiannually and otherwise as neededGroup Sustainability Subcommittee

Agenda/Objective
 iscussions and sharing of information related to the Group’s important sustainability
Dstrategies; consideration of matters to be resolved and matters to be reported atmeetings of the Board of Directors as well as other deliberations; overall supervision of
the Group Sustainability Subcommittee; overall supervision of progress with material
issues for each Unit and affiliated business company

Harmonious coexistencewith the natural environment
Unit sustainability projects

Appropriate utilizationand protection of
intellectual property

P.69–70

P.80–81P.74–75

Provision of appropriate
products and services
P.71–73

64

Harmonious
coexistence with communities

Establishment of work environmentsthat facilitate mutual respect
P.76–7965

E S G S E CTI ONSUSTAINABILITY ACTIVITIESTHAT LEVERAGE IPSUSTAINABILITYGUNDAM UNIVERSAL CENTURY
DEVELOPMENT ACTION (GUDA)

THE IDOLM@STER

Gundam has a message about various problems in space. In the lead up to the dawn of the real “Universal Century,” which

With THE IDOLM@STER series, we are implementing sustainability activities aligned with the concept of “connecting andwill likely accelerate going forward, the Bandai Namco Group will draw on lessons from the Universal Century of the fictional

working together to create things.” Fans can readily participate in these activities, which leverage IP. They are centered on

Gundam world. We will implement a variety of actions to create a better world for children in the future, collaborating withthree material issues of the Bandai Namco Group—harmonious coexistence with the natural environment, appropriate

fans and external partners under Gundam’s name.

­utilization and protection of intellectual property, and harmonious coexistence with communities.

Connecting with fans, implementing sustainability activities together with them

Initiatives to promote recycling 

In FY2022.3, we started a project aimed at collecting runners (part of the plastic model framework)

As a collaborative initiative between THE IDOLM@STER SHINY COLORS and Japan’s Ministry of thefrom plastic models in the Gundam series and reusing them in new plastic models through a chem-

Environment, Houkago Climax Girls, which is affiliated with 283 Productions, is the focus of PR

ical recycling process. The runners, which are collected at amusement facilities, etc., nationwide,

initiatives related to plastic recycling.

are transported to the Bandai Hobby Center, a plastic model manufacturing plant. A portion is used

Agenda 283, an in-game event scenario, utilizes regional clean-up activities. Participants imple-

as a material for verification testing targeting the realization of chemical recycling, and the rest isment initiatives to support nature and plastic recycling while studying and discussing the issue ofreused through material recycling or thermal recycling. (The amount collected in FY2023.3 wasplastic garbage in the oceans. There is an educational video that publicizes the promotion of plas-

approximately 21 tons.)

tic reduction and recycling, with idol
Rinze Morino, who was elected from

Gundam Open Innovation 
Reconsidering the “Universal Century,” we are working to make future dreams and hopes a reality
by combining Gundam and future technologies to address social issues faced in the real world as in
the world of Gundam. This program was introduced in FY2022.3.

Gundam Educational Program 
From FY2022.3, we started an educational program that provides opportunities to think about the
fun of manufacturing and about environmental issues. For the subject matter, this initiative draws
on the moving Gundam at GUNDAM FACTORY YOKOHAMA and on Gundam plastic models. Gunpla
Academia, which has been implemented since October 2021, offers the experience of assembling
Gundam plastic models. In addition, the Bandai Hobby Center’s facilities, manufacturing processes,
and business activities are introduced by video. The objective is to utilize these types of content inorder to have participants learn about the fun of manufacturing and about initiatives for environmental issues, and to increase their interest in advanced technology and sustainable manufacturing.
As of the end of FY2023.3, a total of approximately 240,000 elementary school students at about
3,800 schools had participated in this program.

among the Houkago Climax Girls mem-

ESG SECTION: SUSTAINABILITY

Gunpla Recycling Project 

PR for promotion of plastic
reduction and recycling

bers, serving as navigator.
THE IDOLM@STER SideM PASSIONABLE READING SHOW—Chojo Jihen—Tairitsu Suru Seigi, wasa reading show for THE IDOLM@STER SideM that was held in March 2023. With the objective of
reducing disposable plastic, customers were asked to use their own bottles when purchasing
drinks from the beverage facilities that were opened in the event venue. Many fans responded tothis initiative. People using their own bottles accounted for about 90% of the total number of drinks
sold at the venue.
At the venue for THE IDOLM@STER SHINY COLORS 5thLIVE If I_wings., which was held in March
2023, we implemented an initiative to collect unnecessary clothing from attendees. Boxes were set
up at the venue to collect old clothes from fans in attendance. In regard to the clothes that werecollected, we are considering recycling them into new materials for that will be used at events
related to THE IDOLM@STER within FY2024.3.

Initiatives for regional advancement 
In this activity, THE IDOLM@STER CINDERELLA GIRLS idol Fujiwara Hajime, who likes pottery, is a
Bizen ware idol who communicates the appeal of and information about Bizen ware. Three idol

Gundam Universal Century Development Action (GUDA) official website

units from THE IDOLM@STER MILLION LIVE!—Sun, Moon, and Stars—are the focus of PR activities
about the appeal of Sagamihara City, Kanagawa Prefecture, which is working on city development
initiatives with a theme of the universe. We are implementing these types of regional activation
initiatives that leverage IP.

66

67

CLIMATE CHANGE INITIATIVES:ADDRESSING TCFD RECOMMENDATIONS

MATERIAL ISSUE ACTIVITIESE S G S E CTI ONSUSTAINABILITY

The Bandai Namco Group believes that measures to address climate change are necessary for the realization of a sustainable society andfor business continuity. Accordingly, in April 2021 we formulated the Bandai Namco Group Sustainability Policy and established medium-

Harmonious coexistence with the natural environment

to long-term targets for the transition to a decarbonized society. As we aim for the realization of a sustainable society, we will link these
initiatives to sustained growth for the Group.

We believe that the promotion of business operations that reflect consideration for the natural environment is essential forthe achievement of sustainability for society and for companies. Together with a variety of stakeholders, the Group is aiming

Risk Management

The Group Sustainability Committee is directly under the Board of
Directors and is led by the president and representative director of theCompany. In regard to the promotion of sustainability activities, thecommittee holds discussions related to sustainability strategies,
considers various initiatives, and periodically reports to theCompany’s Board of Directors, which discusses and supervises
those matters.

In regard to risks and opportunities, following deliberation by theGroup Sustainability Committee, the Group formulates and implements various measures. Furthermore, in regard to energy-related
emissions of CO2, we have formulated numerical reduction targets foreach business segment and are advancing measures in line withbusiness characteristics. Each year, we calculate and analyze emissions volumes for the Group as a whole and for each businesssegment, and we use this information to improve measures in subsequent years. Also, the status and results of reductions are analyzed
each fiscal year for the Group as a whole and by business segment.
This is linked to improvements in initiatives for the next fiscal year andthereafter. The details of this analysis are reported to the Board of
Directors following discussions at the Group Sustainability
Committee. The Board conducts discussion and supervision.

Strategy
The Bandai Namco Group has established numerical targets andsteps to be taken in the period up to 2050 in order to support decarbonization through reductions in energy-related emissions of CO2. In
setting targets, at meetings of the Group Sustainability Committee
and the Board of Directors, discussions were held regarding thedemands of society, including the TCFD recommendations, and theimpact of climate change on the Group. In line with the formulation of
the Mid-term Plan, which started from April 2022, we have formulated
and are now implementing more specific measures to achieve ournumerical targets. Our analysis of the transition risks, physical risks,and opportunities accompanying climate change is as follows. We areadvancing initiatives to address these risks and opportunities.

55,387

Risks• Higher costs due to the introduction of new technologies,
investment in R&D, or capital investment (principally the
Digital Business and the Toys and Hobby Business)• Property damage, supply chain interruption, or resource
depletion due to natural disasters• Lower electricity costs due to energy-saving

Opportunities• Lower costs due to the introduction of efficient production/transportation processes (principally the Toys and Hobby
Business)• Creation of new markets due to changes in consumer
preferences due to natural disasters

In addition, we are implementing the following measures toaddress these risks and opportunities.
THE GROUP’S MEASURES TO ADDRESS RISKS AND OPPORTUNITIES

6,271
2020

Measures•A dvancing recycling• I ntroducing new technologies and materials; implementing
capital investment

We have converted to electricity derived from renewable energy
sources for all of the electricity used at certain major Group company bases. This initiative has been implemented at the Bandai
Namco Mirai Kenkyusho, Bandai head office building, Bandai
Namco Amusement head office building (Sumitomo Fudosan
Tamachi Ekimae Building), Bandai Namco Studio head officebuilding (Shibusawa Eitai Building), and Bandai Hobby Center,
Bandai Namco Mirai Kenkyusho

Scope 1

Scope 2

57,87556,48555,387

51,83650,94549,256

5,540

6,131

6,039
2021

2022

2023

Introducing solar power generation 
Bandai Spirits Co., Ltd., has introduced solar power generation
facilities with 400 solar panels in an area of approximately 1,202
square meters on the roof of Bandai Hobby Center. The objective
is for the Bandai Hobby Center to be self-sufficient in electricity
through solar power generation. The annual amount of electricity
generated through this solar power generation is approximately

Indicators and Targets
As shown below, we have established medium- to long-term targets
for decarbonization.
MEDIUM- TO LONG-TERM TARGETS FOR DECARBONIZATION

TargetMedium-termtarget•A
 dvancing energy-saving measures; increasing efficiency
measures•U sing low-carbon energy, such as renewable energyof Group companies.

emissions at these bases by more than 4,000 t-CO2 per year.

Vs. FY2020.3: reduction of 16.4%• Higher raw materials costs as well as production andprocurement costs due to carbon regulations and plastic
use regulations (principally the Toys and Hobby Business)

electricity derived from renewable energy sources at major bases

tions at these bases. Through this initiative, we have reduced CO2

t-CO2

59,975

Targeting decarbonization, we are advancing the conversion to

Ltd. We have achieved net-zero CO2 emissions from office opera-

For the Fiscal Years Ended March 31

RISKS AND OPPORTUNITIESTHAT COULD AFFECT THE GROUP’S BUSINESSES

Converting to renewable energy at in-house bases 

which is a plastic model production facility of Bandai Spirits Co.,

Bandai Namco Group CO2 emissions

66,246for harmonious coexistence with the natural environment.

ESG SECTION: SUSTAINABILITY

Governance

260,000 kWh,* and we expect to be able to reduce CO2 emissions
by approximately 130 t-CO2 per year.
*C alculated by the solar cell power generation quantity calculation method based on JIS 8907

Bandai Hobby Center

Actively promoting a distribution network that reflects consideration for the environment 

By 2050:

Bandai Logipal Inc. is responsible for distribution for the Bandai

Reduce the amount of energy-related CO2 emissions at Groupbusiness sites (offices, own plants, directly operated amusement facilities, etc.) to net zero

Namco Group. The company not only focuses on the safe deliveryof products but also promotes eco-driving on a Companywide

By 2030:

actively taking steps in the area of environmental consideration,

A 35% reduction compared with FY2020.3 (a 50% reduction
compared with FY2014.3) in energy-related CO2 emissions at
Group business sites

such as acquiring Green Project Management Certification andbasis. In addition to eco-driving, Bandai Logipal Inc. is also

introducing low-emissions vehicles.

• Converting to renewable energy
Maininitiatives• Introducing solar power generation at in-house production
facilities• Further advancing energy-saving measures• Managing supply chain CO2 emissions in accordance withGHG Protocol Scope 3 starting from FY2023.3

Note: Recommendations by the TCFD: The Task Force on Climate-related Financial Disclosures recommends efficient information disclosure that is consistent, comparable, reliable, andclear in order to support appropriate investment judgments in regard to the main causes of climate change.

68

69

MATERIAL ISSUE ACTIVITIESE S G S E CTI ONSUSTAINABILITY

Provision of appropriate products and services

Harmonious coexistence with the natural environment

Developing environmentally friendly products With our priority on the safety and peace of mind of customers, based on appropriate ethical standards, we strive to increase

In 2012, Bandai Namco Amusement Inc. established the Eco-are working to clarify CO2 reductions. Going forward, we will

Amusement Product Requirements for amusement machines

continue working in the area of sustainable product creation

used in Japan. Products are evaluated based on seven standards

while effectively utilizing this handbook.

stipulated in these guidelines, including compliance with green

Pursuing products and services with consideration for safety and security 

procurement standards, energy efficiency, and resource efficiency. Products that satisfy a certain threshold are certified as“Eco-Amusement Products.” Based on the operations know-how
of staff throughout the country, CLENA3, which is a certified product, reflects creative initiatives for prize operations and for reducing the burden on staff. In addition, the CLENA3 design reflectsconsideration for the environment, with a reduction of approxi-

エンターテインメントユニット トイホビー事業

mately 56% in electricity consumption in comparison with thefirst-generation CLENA FLEX.

更新日：年月日
初版

サステナブル設計
ハンドブック

Sustainable Design Handbook. To communicate environmentally
CLENA3&2

tives in the area of environmentally friendly product design are
included, as are many examples of actual products. Furthermore,
the amount of CO2 reductions achieved through those creative※複製・無断転載はおやめください。

initiatives (in-house survey values) are also noted. In this way, we©BANDAI

Sustainable Design Handbook

Reducing food loss 

At Bandai Co., Ltd., with consideration for the characteristics ofGroup is conducting facility design, safety reviews, checks,

the products that we handle and the diverse needs of customers,

and employee education. As one example, Bandai Namco

we have established various quality standards, and we implement

Amusement Inc., which operates amusement facilities, is working

designs and select materials accordingly. In addition to the toy

to see that customers can safely enjoy facilities with peace ofsafety standards established by the Japan Toy Association (STmind. To that end, Bandai Namco Amusement Inc. verifies theStandards), the quality standards consist of original standards forsafety of amusement machines and activity facilities from a vari-

approximately 260 items, which are broadly divided into three

ety of perspectives, including operations. In product development

categories: safety, performance, and labeling/instructions. Fromand improvement, we consider

these standards, we select the required standards in accordance

the safety of parts that customers

with the product specifications. On that basis, we perform inspec-

come into contact with as welltions prior to commercialization. In addition, we have also estab-as the safety of facility staff

lished original quality standards at Bandai Spirits Co., Ltd., which

members when they conduct

handles products for the mature fan base. Furthermore, when

maintenance work. Bandai

products are shipped overseas, we work in cooperation with

Namco Amusement Lab Inc. andoverseas Group companies and external institutions in order toBandai Namco Technica Inc.

take into account the regulations of each country and region.

work together and implement
safety reviews in the areas of

Looking at facilities, to enable a wide range of age groups todevelopment, production, qual-

enjoy facilities safely and with peace of mind, the Bandai Namco

ity assurance and service, etc.
Toy safety review

As part of its effort to address the social issue of food loss, Bandai
Co., Ltd., succeeded in extending the best-before dates of its princi-

Advancing initiatives for universal design 

pal confectionery products—Tsuri Gummies, tray gummy series,

The Bandai Namco Group is working to provide barrier-free prod-

ramune, and desserts. This was the result of repeated validation

ucts and services that can be enjoyed by customers with visual

testing and five years of research. In addition, we are working indisabilities or hearing disabilities.

such areas as reducing product and raw material loss in the production process and extending sales periods. We reduced food loss

In addition to subtitles for visual works, Bandai Namcoby 10.5 tons compared with previous levels.

Filmworks Inc. is introducing barrier-free voice guides that use
Tsuri Gummies series

Advancing initiatives for petroleum-free plastics Bandai Spirits Co., Ltd., is advancing initiatives to use recycled

background or people’s movements and expressions.

Rubik’s Cube Universal Design

which means that it can be played just by touch. (This productplastics and lower CO2 emissions. Bandai Spirits now uses alter-received the grand prize in the accessible design toys category atnatives to plastics such as new materials made primarily fromthe 2021 Japan Toy Awards). Moreover, with Ittai Othello,

limestone as well as eggshell plastics that partially include egg-an all-in-one product, the black stones are convex and the whiteshells discharged as industrial waste for some of its plastic model

Ittai Othellostones are concave, making it possible to distinguish between the

products. In this manner, we are developing products in a way

70

audio to explain information about visual works, such as the

Design, the tactile design for each of the six colors is different,

model products in order to reduce its use of petroleum-based

environment.

Charapaki series

Looking at MegaHouse Corporation’s Rubik’s Cube Universal

materials or alternatives to plastics for part or all of certain plastic

that fans can enjoy their favorite pastime while still benefiting the

ESG SECTION: SUSTAINABILITY

Moreover, the Toys and Hobby Business has produced thefriendly design in an easy-to-understand manner, creative initia-

customer satisfaction by working together with partners to provide safe, high-quality products and services.

stones by touch. The stones are stored inside the game, so they do
Gundam plastic model that uses
eggshell plastic

not become lost. In these ways, we are advancing universal design
and the development of products that many people can enjoy.

71

MATERIAL ISSUE ACTIVITIESE S G S E CTI ONSUSTAINABILITY

Enhancing initiatives in cooperation with suppliers Provision of appropriate products and services

The Bandai Namco Group strictly observes the laws and regulations of each country. We also establish our own standards. In thisIncreasing customer satisfaction 

way, the Group is working to strengthen supply chain management.

For online games, an increasing number of users are minors, suchas elementary school and junior high school students. In propor-

Bandai (Shenzhen) Co., Ltd., in Shenzhen, China, is an impor-tion to that trend, it has become easier for trouble to arise in thetant production management base for the Toys and Hobby

home. In particular, there are an increasing number of inquiries

Business. Bandai (Shenzhen) is working in such areas as local

regarding payment. Therefore, in December 2022, Bandai Namco

supplier quality control and quality testing as well as various

Entertainment Inc. and Bandai Namco Online Inc. published thetypes of safety confirmations. Steps are being taken to gather“Guide to Playing Online Games Safely” (in Japanese) for minors

information for the enhancement of quality assurance activities

and parents on their official websites to help users feel safe when

and to share that information with the front lines. We are working

playing. Creative initiatives were utilized, such as the inclusion of

to share production quality issues as well as to strengthen sup-manga to make it easy to read for minors. Other measuresplier testing systems and advance employee education.

included introducing it within games. It has been viewed by awide range of users. Bandai

Furthermore, at Bandai Namco Filmworks Inc. we conduct

Namco Online was awarded
three stars, the highest rating,assemble Blu-ray disc and DVD packaging. In addition, for factories that manufacture goods that are sold at live event venues, weBenchmarks Customer

conduct interviews and factory visits based on factory audit

Service category.

checklists that include in-house standards.
Also, with the objectives of maintaining product quality andpreventing the occurrence of defective products in the production

Fostering ethical language 
To avoid hindering the sound growth of young people, and withcompany. In these ways, we are working to share informationconsideration for the feelings of all stakeholders, the Bandaiamong Group companies. In addition, we are taking such steps as

Namco Group has formulated the Bandai Namco Group Ethicalholding various study sessions for employees at Group compa-

Expression Guidelines, which cover the Group’s common under-

nies and distributing mail magazines to employees. The entire

standing of appropriate expression. The Group is aiming forGroup is working together to address this issue.

accurate, easy-to-understand language with no concerns about

Factory environment in the Toys and Hobby Business

ESG SECTION: SUSTAINABILITY

in HDI-Japan’s 2022 HDI

on-site inspections of the manufacturing process at plants that
“Guide to Playing Online Games Safely”

processes of contract companies, Artpresto Co., Ltd., sharesquality control systems; shares information by using flow charts
to create diagrams, especially in food packing operations; andperiodically confirms the circumstances at plants. We are working
to rigorously implement and enhance product quality control at
production sites.

mistakes or misunderstandings. In addition, as a corporate groupthat handles diverse products and services, we are working tofoster responsible, appropriate expression.
As one part of those initiatives, in FY2019.3 the Group Ethics
Subcommittee was established under the Group Sustainability
Subcommittee. This subcommittee is composed of people incharge of ethics at business management companies. In addition
to gathering the latest information about ethical expression, thesubcommittee’s role includes considering and making proposals
about matters related to the language used by the Group.

Group Ethics Subcommittee meeting (online)

Moreover, with the objective of sharing the latest information
related to the ethics of expression, we periodically hold roundtable discussions for the people in charge of ethics at each7273

MATERIAL ISSUE ACTIVITIESE S G S E CTI ONSUSTAINABILITY

Appropriate utilization and protection of intellectual property

Advancing IP infringement countermeasures in Japan and overseas 
The Bandai Namco Group is working closely with partners inside

In addition, as one facet of measures to address counterfeit

and outside the Group and with governments to protect the

products, Bandai Spirits Co., Ltd., utilizes special specification

The Group is working to contribute to the sustainable development of entertainment through the appropriate use andimage of its IP and to ensure that its customers can enjoy worry-stickers with forgery prevention processing. These stickers, which

protection of IP (characters and other intellectual property), which are important management resources.

free use of safe products and services. We are implementing

are applied to all TAMASHII NATIONS integrated brand toys for themeasures targeting counterfeit goods. We monitor Japanese andmature fan base, are used to verify that a product is genuine.

overseas markets, including the online market, and ask customs(Certain products are excluded.)*authorities to prohibit the import of counterfeit products. In these* Changing to a new specification sticker designin stages from May 2023

Advancing the IP axis strategy Centered on the IP axis strategy, which is a strength of the Bandai

strategic investment for IP creation. We will strive to create IP from

Namco Group, we will aim for sustainable growth by implement-a variety of perspectives, including creation from products anding new initiatives to foster broad, deep, and multifaceted con-services, creation through Groupwide initiatives, creation throughnections with fans around the world; by accelerating evolution in

the Bandai Namco Content Fund, and creation through initiatives

the IP axis strategy; and by working to build businesses as wewith external business partners. Over the three years of the cur-work together under the ALL BANDAI NAMCO concept in regions

rent Mid-term Plan, we will implement ¥40.0 billion in strategicaround the world. We will develop a metaverse for each IP as ainvestment, and we will work to advance the IP axis strategy.

ways, we are working to promptly detect counterfeit products,
prevent their appearance on the market, and secure their prompt
removal, if found. In addition, as a member of the International
Intellectual Property Protection Forum, we are working in collaboration with government institutions and related organizations
in each country to implement effective countermeasures.

Special specification stickers applied to
TAMASHII NATIONS products

new framework for connecting with fans, and we will implement

Resolving social issues through the use of games 

ESG SECTION: SUSTAINABILITY

Supporting educational activities to eradicate piracy Over a three-year period from 2020, Bandai Namco Entertainment

Bandai Namco Filmworks Inc. is working in cooperation with theInc. and Bandai Namco Studios Inc. implemented a joint initiative

Manga-Anime Anti-Piracy Committee, whose secretariat office iswith the Aoyama Gakuin University Project Research Institutethe Content Overseas Distribution Association (CODA). We are(Solving Social Problems through Intellectual Properties (SSP-IP)).

participating in the Manga-Anime Guardians Project (MAGP). This

This initiative engaged in research into the possibility of addressing

project aims to protect anime and manga, which are the pride ofsocial issues through the use of games. Practical research was

Japan, in regions around the world and to support the creation of

implemented in such areas as enhancing accessibility, considering

further high-quality works. As one part of those initiatives, sincepolitical correctness, and recommending diversity and inclusion.

2021 we have been producing a collaborative video that features

Information was widely communicated to society, such as throughBandai Namco Pictures’ Sergeant Frog animation as well as NO

symposiums and publications.

MORE Movie Thieves.
Sergeant Frog × NO MORE Movie Thieves—collaborating in the production of educational films

ボトムズ 周年展

Protecting/utilizing existing IP 
The protection of IP rights, which are management resources of
the Bandai Namco Group, is an important initiative in terms ofbusiness strategy. For existing IP under the SUNRISE brand,
Bandai Namco Filmworks Inc., is working to reconfirm rights, etc.,
related to older works and is striving to build a system for thepreservation of rights accompanying stepped-up licensing for the
Gundam series.

Implementing in-house educational activities 
The Bandai Namco Group is implementing seminars related tothe appropriate use of IP, such as patent and trademark seminars
and copyright seminars. By company, these are offered in new
employee training, training for managers, and training by business division, etc. In addition, we also offer compliance training
for all employees using e-learning. In these ways, we are working
to implement internal educational activities.

©SUNRISE

74

75

MATERIAL ISSUE ACTIVITIESE S G S E CTI ONSUSTAINABILITY

Establishment of work environments that facilitate mutual respect
We aim to support sustained development for society and companies by establishing workplace environments that facilitate
mutual respect and enable everyone to work energetically, including not only employees but also everyone else associatedwith the Bandai Namco Group.
In accordance with our Purpose, we seek to be a group in which

we will further focus resources on the establishment of varied systems

employees can act with motivation and energy to leverage their varied

and environments that enable diverse human resources to actively

talents, individual characteristics, and values. In this way, we strive toparticipate and to work in a manner that is healthy in body and mind.

be a group that utilizes the concept of “same spirit, diverse talents.”

Specifically, we will advance a variety of initiatives, such as supporting

The personnel strategy is a main strategy in the Mid-term Plan, and we

employees as they take on challenges and developing humanare working to develop diverse human resources in a variety of fields.

resources to advance the IP axis strategy on a global basis. In addition,

We will secure and promote human resources irrespective of whether

we will strive to realize workplace environments that are easy to work

they are new graduates or mid-career hires, and regardless of gender,in and enable diverse human resources to demonstrate their true

age, nationality, race, religion, and sexual orientation, etc. In addition,

strengths.

Supporting employees who take on challenges Principal companies in the Bandai Namco Group have introduced

between companies and departments and enable employees to makeperformance-linked remuneration frameworks that correlate a com-their own proposals.

pany’s operating profit with employee profit sharing. In this way, we

Furthermore, by introducing systems that give recognition toare encouraging employees to take on challenges. In addition, we

teams and employees for taking on challenges, we are working tohave established systems for the proposal of ideas regarding IP, prod-

establish foundations and a corporate culture that make it easier toucts and services for Units and companies and other systems. In theseaddress challenges with a positive attitude.

ways, we have established frameworks that transcend boundaries

Bandai Namco Awards 
Each year, the Bandai Namco Group hosts the Bandai Namco Awards
to recognize the best-performing teams of the year. In screening
content, etc., important points include hits, creativity, and buzz, as wellas sustainability initiatives.

Facilitating active careers for diverse human resources 
The Bandai Namco Group emphasizes the individual talents andRealizing employee-friendly workplace environments diverse human resources can work while remaining healthy in body

Support Raising Next-Generation Children, Bandai Namcoand mind. Group companies have established various systems aligned

Entertainment Inc., Bandai Co., Ltd., and Bandai Namco Amusementwith their business formats. These include rules for establishing

Inc. have received certification from the Minister of Health, Labour andemployee-friendly environments for employees with differing house-

Welfare (Kurumin certification) in recognition of their support of child-

hold circumstances, flextime systems that enable flexible working

rearing. In addition, in accordance with the Act on Promotion ofstyles, discretionary work systems, shorter working hours, and stag-

Women’s Participation and Advancement in the Workplace, Bandai

gered shifts. In addition to regular physical checkups and stress checks,

Namco Entertainment, Bandai, and Bandai Namco Business Arc Inc.,

within the holding company’s Group Administrative Headquarters we

received the Eruboshi certification as companies with excellent initia-

have assigned a person in charge of measures to address long working

tives in promoting the participation and advancement of female

hours. By establishing environments in which employees can work with

employees in the workplace.

peace of mind, we are striving to enhance employee satisfaction.
Examples of Systems to Promote Achievement of Work–Life Balance (Programs That Surpass Legal Requirements)
SystemOverview

Childcare leave

Can be taken until the day the child turns two years old.

Childcare support

Available until March 31 of the year in which the child completes sixth grade. In addition to shorter working hours, includes exemption from overtime and late-night work.

Childbirth leave for spouses

Employees can take up to five days of paid leave when their spouse gives birth.

Flextime system

Normal working hours are determined not on a daily basis but on a monthly basis.

Child-rearing flextime system

Up to March 31 of the year in which the child completes sixth grade, core time can be adjusted in line with childrearing circumstances.

Provision of support funds for Provision of ¥200,000 at the birth of each of the first and second children. Provision of ¥3,000,000 at the birth of each of the thirdand subsequent children.*childbirth and childcare*A cquisition of childcare leave for one continuous week or more and submission of a child-rearing report are requirements for the receipt of this support.

the employment of people with disabilities. Bandai Namco Will Co.,line with business characteristics. In promoting active careers forLtd., a special subsidiary, supports the Group’s businesses in a variety

women, we are implementing fair evaluations based on true capabili-

of ways, such as office management and toy and game developmentties and experience, and the number of female managers continues tosupport. In addition, we are aiming to increase understanding ofincrease in line with growth in the number of female employees. Also,

disabilities. For Group companies in Japan, we have establishedaccompanying business globalization, the number of locally hired

Yuni-nabi, a site for fostering a correct understanding about disabilities.

employees is increasing each year.

Other initiatives include internships for employees with disabilities atmajor Group companies.

Developing human resources 
In accordance with the Purpose, we are working under the ALL BANDAI

within the Group and to become aware of new things. This is in paral-

NAMCO concept to transcend the barriers between regions and Unitslel with initiatives in specialized fields aligned with business character-and work together as a unified group. In this way, we place importanceistics, where efforts are made to develop human resources at the levelon cultivating a sense of unity and developing human resources whoof Units and individual companies. In addition, we are actively imple-

will be active in global settings.

menting personnel transfers among Units, businesses, and regions.

At junctures depending on position and number of years with the

We are working to develop human resources, who are the core of theCompany, we implement Groupwide training that transcends UnitsGroup, including taking steps to foster understanding of the Group’s

and regions. We are providing opportunities to forge connections

businesses.

Groupwide training resultsGroup combined training

Training overview

First-year training

Through involvement with others with the same number of years at the Group, teams demonstrate their results and participants think about the significance of the Group.

Introducing a lifestyle-support system with the objective of establishing supportive environments for employees in a variety ofhousehold circumstances; offering 30 days of leave as well as shorter working hours/flextime, in accordance with the reason.
Examples of reasons: (1) truant children, (2) infertility treatment, (3) family nursing or caregiving for spouses and first- and seconddegree relatives of employees, and (4) receiving of outpatient care at medical facilities due to disease.

Fifth-year training

In accordance with the Purpose, participants think about the significance of their own work and about their careers.

Lifestyle-support system

Training for newly appointed
managers

Skills for leading the organization as managers are strengthened and visions are established for participants’ teams.

Partnership system

In regard to partnerships, leave time determined by company rules and matters recognized by employee benefits companies, etc.,
are handled in the same manner as for couples who are married under the legal system.

Global next-generation managers
training

Participants, who are expected to lead the Group in the future, enhance their awareness and build personal connections.

Officer training

Participants acquire management knowledge necessary for managing the Group.

Note: Some Group companies use different systems.

ESG SECTION: SUSTAINABILITY

In accordance with the Act on Advancement of Measures to

The Bandai Namco Group is working to establish environments so that

Moreover, we are implementing a variety of initiatives to promotecharacteristics of each employee, and is working to foster diversity in

Note: I n addition to those above, human resource development programs are implemented at individual companies.
In FY2023.3, due to the influence of COVID-19, first-year training was not held.

Operating Yu-Port Group satellite offices 
The Bandai Namco Group opens up a portion of the office space ateach of its business locations as satellite offices that can be freely usedby Group employees. In this way, we are aiming to activate exchange
and strengthen collaboration among Group companies.

76

Yu-Port Group satellite office77

MATERIAL ISSUE ACTIVITIESE S G S E CTI ONSUSTAINABILITY

Establishment of work environments that facilitate mutual respect

Implementing human rights due diligence

Increasing engagement 
Implementing engagement surveys
Group companies in Japan and around the world have imple-

employees on a Groupwide basis, and advance the establishment ofmented engagement surveys since FY2023.3. We will make observa-

environments that enable diverse, highly individual humantions each year, implement initiatives to increase the engagement of

resources to work energetically and have active careers.

Holding family events
The Bandai Namco Group holds family events in order to foster

animation production. It was an event that deepened communi-

exchange among employees themselves and among families,

cation with family members and colleagues. Going forward, thewho support employees each day. One of these is the Autumn

Bandai Namco Group will continue to implement communication

Culture Festival, a Unit-wide event that was held in FY2023.3 byinitiatives that can be enjoyed together with stakeholders, includ-

the IP Production Unit, which aims to strengthen IP creation ining employees and their families.

the Bandai Namco Group, with the mission of “continuing tocreate good things.” In addition to holding the event online due toconsideration for COVID-19, at the same time we offered work-

which it will take steps to prevent the occurrence of risk events on

the Bandai Namco Group conducts human rights due diligence ina high-priority basis. In FY2024.3 and thereafter, we will imple-

its principal business operations. From regional risks and busi-

ment initiatives with a priority on those businesses that haveness risks, the Group has identified regions and businesses forbeen identified.

Supply chain initiatives
In addition, Bandai Co., Ltd., implements Bandai Factory Audits

English, and Chinese. They are also available on websites for(BFAs), which combine quality audits and Code of Conduct (COC)

production partner companies. In these ways, we are working toaudits, at overseas final packaging plants that make Bandai

promote understanding and awareness of the latest information.

products (177 plants in FY2023.3). The basic policy for BFAs is the

Furthermore, when it starts to do business with a supplier,Bandai COC Declaration, which calls for strict observance of eight

Bandai Namco Amusement Inc. implements a CSR Procurement

COC standards (forced labor, child labor, working hours, wages

Questionnaire that includes human rights (prevention of forced

and allowances, punitive action, discrimination, environmentallabor, discrimination, harassment, etc.). Bandai Namcoprotection, and origin of products). Audits are conducted in accor-

Amusement only conducts business with suppliers that are notdance with our original BFA manual. The Bandai COC Declaration

engaged in illegal activity.

employee’s families were invited. On the day of the event, throughESG SECTION: SUSTAINABILITY

and management manual, etc., are prepared in Japanese,place educational tours at the head office building, to which

In-house educational activities

activities such as tracing and character bingo, there were opportunities to have fun while learning about the company’s IP and

In order to evaluate and identify human rights risks in businesses,

The understanding of leaders is important in order to strengthen

Workplace educational tour

human rights measures within the Group, and we are implementing human rights study sessions for directors of Bandai Namco

Promoting human rights initiatives throughout the supply chain 
The Bandai Namco Group recognizes that it has a potential influ-

the supply chain, to reduce negative influences on human rights,

ence on human rights in its business activities. In accordance withand to resolve human rights issues that have been identified. At

the view that it has a responsibility to respect the human rights ofthe same time, we will work to enhance awareness of humanall of its stakeholders, including not only employees and theirrights on a Groupwide basis and to advance initiatives supporting

families but also suppliers and others, the Bandai Namco Group

respect for human rights.

Holdings Inc. In addition, for employees we are offering seminars
and e-learning initiatives in such areas as sustainability, work–lifebalance, LGBTQ issues, and disabilities. We are working to foster asustainability culture within the Group and to enhance the awareness of employees.

Human rights seminar for directors

works to promote understanding of human rights throughout

CO LU M N

Data about the Bandai Namco Group’s workplace environment (FY2023.3)

Note: The following results are the totals for enrolled employees for principal Group companies in Japan. The coverage ratio for employees in FY2023.3 was 32.9%.
Principal Group companies: Bandai Namco Entertainment Inc., Bandai Co., Ltd., Bandai Spirits Co., Ltd., Bandai Namco Filmworks Inc., and Bandai Namco Amusement Inc.

Realizing employee-friendly workplace environments
Childcare leave utilization rate for men
and women*
Men:

28.4%

Women:

100.0%

Rate of returning to work after childcare leave99.0%* There were cases in which childcare leave was utilized in
FY2023.3

Medical checkup utilization rate

99.9%

201 people

97.9%

Gender ratio for managers

Number of people transferred among­business management companies*

39 people

Gender ratio for new hires*1

Men:

M
 en:

Men:

Women:W omen:Women:647 people

2,324 people

1,147 people

174 people

Total: 3,471 people

Gender ratio for mid-career hiresMen:* Excluding people transferred among departments within
a company

78

70.1%

Gender ratio for full-time,permanent employees

Ratio of women: 21.2%

Stress check utilization rate

Developing human resources
Number of participants in Group combined
training

Paid leave utilization rate

Facilitating active careers for diverse human resources

69 people

Employment rate for people with disabilities*2

2.27%

70 people
54 people

Ratio of women: 43.5%*1 Entered the Company in April 2022
*2 For consolidated subsidiaries that entrust work to
special subsidiary Bandai Namco Will Inc.

(Number of hires in FY2022.3: 182 people
Number of hires in FY2023.3: 191 people)

Women:39 people

Ratio of women: 36.1%

79

MATERIAL ISSUE ACTIVITIESE S G S E CTI ONSUSTAINABILITY

Harmonious coexistence with communities
The Bandai Namco Group aims to exist and grow together with local communities in order to continue to be a group that isappreciated by communities and fans and is necessary for society.

Implementing initiatives for the next generation and community support 
Bandai Co., Ltd., operates the Omochanomachi Bandai Museum,learning, and recreation for children, who will support the next

which is a toy museum in Mibu-machi, Tochigi Prefecture. The

generation. In this way, our aim is to contribute to the soundmuseum, which can be enjoyed by children and adults, featuresphysical and mental development of children and to the promo-

four wings covering Japan, the world, Thomas Edison, and hob-tion of abundant conceptual expression.

bies (Gundam).

Contributing to initiatives for regional bases 
As a member of local communities, the Bandai Namco Group
engages in social activities closely linked to communities and isutilizing IP to work toward the activation of local economies.
In collaboration with Suginami Ward, Tokyo, where we havean office, Bandai Namco Filmworks Inc. is contributing to regional
activation and to anime culture development under the slogan“Suginami—City of Anime.” In cooperation with local governments throughout the country, in August 2021 we started the
Gundam Manhole Project. This project is an initiative to install

Bandai Namco Entertainment Inc. participates in the manageIn addition, to provide education and experiences to children,

ment of Shimane Susanoo Magic, a professional basketball team.

who will support the future, in March 2023 we established thePlayers visit kindergartens, nursery schools, and elementaryThomas Edison Special Exhibition at the Bandai Co., Ltd., headschools in Shimane Prefecture. In addition to basketball class,office. The Bandai Collection Foundation operates the Edison

there are “dream class”* activities in which players talk with theMuseum in Mibu-machi, Tochigi Prefecture. From the museum’schildren about their dreams for the future.

collection, items that can actually be moved, such as gramophones, incandescent light bulbs, and toasters, are displayed in a

In addition, Charaken Co., Ltd., is implementing Jackie’s

booth based on the house where Edison was born in the state of

Caravan, an activity to deliver happiness to children. Jackie, a

Ohio in the U.S. These are introduced along with Edison’s life

character from the Bears’ School picture books, visits kindergar-

story and sayings, etc. These initiatives support exchange,tens and nursery schools around Japan.

Suits, etc., from the series in various locations around Japan. In
cooperation with local governments, we will strive to see that thisproject activates domestic regions and expresses the bond that
Gundam fans across generations have with the series.

ESG SECTION: SUSTAINABILITY* In 2020 and 2021, this was implemented through online video due to the COVID-19 crisis.

Gundam-themed manhole covers featuring characters and Mobile

In North America, we concluded a sponsorship agreementwith the Los Angeles Angels, a baseball team in California, where

Thomas Edison Special Exhibition

Jackie’s Caravan

Shimane Susanoo Magic “dream class”

we have our U.S. headquarters. In the stadium, there is signage
with the Bandai Namco logo and a PAC-MAN design. In addition,
games are played between innings, and information about
Bandai Namco is provided on the Angels radio station and social
media. In these ways, together with fans, we are working to createa buzz at the baseball field through a variety of means.
In China, Bandai Namco Holdings China Co., Ltd., implemented an experience-based event involving the restoration ofold books, which are part of China’s intangible cultural heritage.
In addition, with the objective of connecting with children who
have disabilities and children facing poverty through dreams, fun
and inspiration, in March 2023 Bandai Namco Holdings China
started the Create Dreams for the Future Project.

Supporting areas affected by disaster 
Since 2011, Bandai Namco Holdings Inc. has implemented activi-

Selection Awards 2022 hosted by the Disaster Prevention

ties for children in Japan and seminars for employees in partner-

Research Institute.

ship with Save the Children Japan (SCJ), a public interest
incorporated association. In addition, each year Bandai Namco

Bandai Namco Music Live Inc. donates part of the proceeds

and shareholders give a total of ¥10 million to SCJ through thefrom the sale of charity merchandise at artists’ live and streamed

use of complimentary shareholder gifts. The donated funds are

performances. These donations are made to areas impacted byused for activities implemented by SCJ that support children

earthquakes or torrential rainfall through the Japanese Red

in Japan.

Cross Society.

Bandai Co., Ltd., worked with SCJ to plan and manufacture a
Bandai support toy for use in times of disaster. The toy supports
children’s mental well-being by easing stress and worry in those
impacted by a disaster. This toy was designed so that it provides
children with someone to talk to or a friend that gives them comfort during their time in temporary housing. Accordingly, planscall for these toys to be provided to areas impacted by a disaster
together with the Emergency Children’s Kit distributed as part ofdisaster relief supplies by SCJ. In September 2022, these toys
received a special recognition award at the Bousai Goods

80

Support activities through Save the Children

81

CORPORATE GOVERNANCEE S G S E CTI ON
CO R P O R AT E G O V E R N A N C E

In order to realize Bandai Namco’s Purpose “Fun for All into the Future,” the Company and the Group sufficiently understandthe importance of various stakeholders related to the Company and have a basic management policy of maximizing thecorporate value of the Company and its shareholders’ common interests over the medium to long term. In addition, theCompany believes that construction of a solid management foundation (corporate governance) is absolutely essential inorder to emerge victoriously in the global competition of the fast-changing world of entertainment. In accordance with thisphilosophy, the Company has established the Basic Philosophy on Corporate Governance.
Furthermore, we truly embrace the intent and spirit of Japan’s Corporate Governance Code, and our initiatives on eachprinciple of the Code are disclosed in Initiatives Related to Japan’s Corporate Governance Code.*

M E S S AG E

* For more information, please visit the Company’s website.
https://www.bandainamco.co.jp/en/sustainability/governance/index.html

Corporate Governance System Strengthen the Management Oversight Function

Term of Office of Directors
Directors who are not Audit &Supervisory Committee members

Number of Audit & Supervisory
Committee members

5/14

Organization

2 Years or Less

Company with an audit andsupervisory committee

Reason for adoption: Directors who are Audit & Supervisory
Committee members will have the right to vote at meetings ofthe Board of Directors. Accordingly, the Company concluded that
it would be possible to strengthen the Board auditing andsupervisory functions.

All outside directors meet the Standards for the Independence ofOutside Directors established by the Company.

General Meeting of Shareholders
Appointment /Dismissal

Appointment /Dismissal

Auditing /Supervision

Appointment /Dismissal

Board of Directors
4 Audit & Supervisory
Committee members

10 directors who are not Audit &Supervisory Committee members(of whom, 2 are outside directors)

Delegation

Account auditing /Reports on results

Independent auditors(of whom, 3 are outside directors)

Cooperation

Full-Time Officers Committee
Reports

Independent Directors Committee

Reports
Auditing

Personnel Committee

Representative director
Directions

Directions

Reports

Reports

Cooperation /Directions

Group Sustainability Committee

Reports

Group Business Report MeetingGroup Management Meeting

Support

Auditing

characteristics, we are pursuing organic collaboration between

ment of the Mid-term Plan and establishment of governance sys-

operations and management. For example, we have a systemtems (the Corporate Planning Department), (2) communication with

under which representative directors of business management

stakeholders (the Corporate Communication Department), and (3)companies serve as directors of the Company. In addition,

sustainability (the Sustainability Management Department).

manager-level employees in the corporate planning departments
at the business management companies also work in theGroup has emphasized objectivity in governance. Currently, Bandai

Company’s Corporate Planning Department. Moreover, in global

Namco Holdings Inc. has a basic policy that one-third or more of

initiatives, we are taking steps such as leveraging opportunities todirectors should be outside directors, and that all of the outside

implement flexible reorganization measures in Japan and consoli-

directors should be independent outside directors. We have imple-

dating bases into single offices at regional management

mented a large number of improvements and reforms. These havecompanies.

been based on a variety of top management meetings at which

For example, representatives of regional management companies
This increases the effectiveness of initiatives and facilitates flexible

Meeting. They have also been based on evaluations of the Board of

responses to changes in the environment. In these ways, we areGroup Risk Compliance Committee

Directors by the Independent Directors Committee. In June 2022,

focusing on building business operations under the ALL BANDAI

accompanying the transition to a company with an audit and super-

NAMCO concept.

Group Information Security Committee

visory committee, we deepened cooperation between the Audit &Going forward, we will provide shareholders and investors with

Supervisory Committee and the Internal Audit Office. This further

highly reliable information in a timely and appropriate manner. We

strengthened the auditing and supervisory functions. In addition,

will also enhance opportunities to hear directly from the president.

Board authority for certain matters has been delegated to the Full-

Furthermore, we will strive to enhance the disclosure of sustain-

Time Officers Committee. In this way, we are working to enhanceability information and other non-financial information, to secure

discussions at meetings of the Board of Directors and to increase thesustained increases in corporate value, and to engage in sincere

speed of business execution.

dialog with capital markets.

Reports

Bandai Namco Group Companies
As of June 19, 2023

82

In addition, with consideration for rapidly changing businessactivities in three key fields. These are (1) formulation and advance-

issues, including off-site meetings for directors and the Vision

Committees

Policy directions

Policy directions

In the Corporate Planning Division, we are advancing a wide range ofare given the same functions as executive officers of the Company.

Internal Control Committee

Vision Meeting

Executive Officer
Division General Manager
Corporate Planning Division
Bandai Namco Holdings Inc.

inside and outside directors freely discuss medium- to long-term

Internal Auditing Division
Reports

TA K A SHI TSUJ I

Since the management integration in 2005, the Bandai Namco

Reports
Appointment /Dismissal /Supervision

Working to secure objective, transparent
governance and sustained increases in corporate value

ESG SECTION: CORPORATE GOVERNANCE

4/14

1 Year or Less

Number of independent
outside directors

Directors who are Audit &Supervisory Committee members

83

CORPORATE GOVERNANCEE S G S E CTI ON
CO R P O R AT E G O V E R N A N C E

Policies and Processes for Appointing Directors Transition to a Company with an Audit and Supervisory Committee 
Following a resolution at the 17th Ordinary General Meeting of
Shareholders, which was held on June 20, 2022, the Company transitioned from a company with an audit and supervisory board to acompany with an audit and supervisory committee. As a result, whileworking to strengthen the corporate governance system, theCompany is working to further enhance its corporate value by carrying out swifter decision-making and business execution through thedelegation of partial authority related to business execution to the
Full-Time Officers Committee. In addition, to complement theBoard of Directors knowledge. In these and other ways, they play an important role inthe decision-making process.
Of the four directors who are Audit & Supervisory Committee members (including two who are full time), three meet the conditions forindependent outside directors. They work together and monitor theCompany’s internal control situation on a daily basis. Specifically,
through such means as attendance at meetings of the Audit &Supervisory Committee and the Board of Directors, they provide
opinions from viewpoints that are independent of business execution,and from specialist viewpoints. In these ways, they play an importantrole in the decision-making process. Their activities as outside directors
play an important role in the Company’s management decision-making, and the Company believes that their appointment is appropriate.

Basic Policies for Appointing Directors

Appointing Independent Outside Directors

The appointment of directors is based on candidates possessing
broad knowledge and experience required for decision-making
on company management, as well as possessing the trackrecord and insight in the fields and businesses they have experience in that are required in order to provide management
oversight. In addition, one-third or more of directors will beoutside directors, and all of the outside directors will be independent outside directors.

Decisions are made with consideration for a composition thathas an appropriate balance of, for example, individuals who
possess a wealth of experience as corporate managers, attorneys-at-law who have thorough knowledge regarding compliance and other aspects of internal control, and certified public
accountants and certified public tax accountants who areexperts in accounting and tax affairs.

Process for Appointing Directors(Excluding Audit & Supervisory Committee Members)

Policies and Processes for Appointing Candidates for
Directors Who Are Audit & Supervisory Committee Members

The Personnel Committee, of which the chair and a majority ofthe members are independent outside directors, is convened ona discretionary basis to act as a forum for debate and receive
recommendations based on the respective candidates’ achievements and knowledge, and the independent outside directors
conduct interviews with new candidates for director (excluding
Audit & Supervisory Committee members) before a decision ismade at a Board of Directors’ meeting.

The necessary abilities, experience, and personality, etc., areconsidered, and decisions are made by the Board of Directors
after receiving consent from the Audit & Supervisory Committee.

Independent Directors Committee Main Top Management Meetings As shown in the table below, the Company holds a variety of top management meetings and has established a system that facilitates rapidly
tracking and responding to Group management information.
Meeting Name

Chair

Schedule

Agenda/Purpose

Participants

Board of Directors

President andRepresentative Director

Monthly andotherwise asneededDecisions/reports on matters stipulated by law, matters to be resolved inaccordance with authority standards, reports on the status of businessexecution, reports regarding sustainability, crisis management, and complianceDirectors, other designated individuals

Annually

From a position independent of the Board of Directors, provision of evaluations,
opinions, proposals, etc., regarding the effectiveness of the supervisory function
over the Board of Directors, reflecting the perspectives of enhancing corporate
governance and corporate value

Outside directors, secretariat (external, third-party
specialist organization)

As appropriate

Personnel matters for Group officers, officer compensation, reporting ofevaluations and opinions regarding human resource synergies

Outside directors (excluding Audit & Supervisory
Committee members), representatives fromthe Audit & Supervisory Committee,
representative director

Semiannually

Discussions and sharing of information related to the Group’s importantsustainability strategies; consideration of matters to be resolved and matters to bereported at meetings of the Board of Directors as well as other deliberations;overall supervision of the Group Sustainability Subcommittee; overall supervisionof progress with material issues for each Unit and affiliated business company

Full-time directors; presidents and representative
directors of business management companies,
etc.; other designated individuals

Independent Directors
Committee

Personnel Committee

Group Sustainability
Committee

Full-Time Officers
Committee

Waigaya MeetingGroup Business Report
Meeting
Group Management
Meeting

Vision Meeting

Masaru Kawaguchi
Director (Outside)

Toshio Shimada

Director (Outside)

Toshio Shimada

President andRepresentative Director

Masaru Kawaguchi
President andRepresentative Director

Masaru Kawaguchi
President andRepresentative Director

Masaru Kawaguchi
Director

Yuji Asako
President andRepresentative Director

Masaru Kawaguchi
President andRepresentative Director

Masaru Kawaguchi

Decisions/reports on matters for which authority has been delegated from theTwice per month Board of Directors; decisions/reports in accordance with authority standards;

reports on the status of business execution

Full-time directors; presidents and representative
directors of business management companies,
etc.; other designated individuals

WeeklyWeekly reports regarding the departments for which directors are responsible, etc.

Directors (excluding Audit & Supervisory
Committee members and outside directors),
other designated individuals

4 times per year

Group numerical reports, Unit reports and regional management companies
reports, risk information, other matters to be reported

Directors, representatives of regional management companies other designated individuals

9 times per year

Discussions about Group management issues and medium-term plans;deliberations regarding issues extending across Units; deliberations regarding
other Group management issues and strategies; deliberations regarding
Groupwide policies, medium- to long-term prospects, etc.

Full-time directors (excluding Audit & Supervisory
Committee members), presidents and representative directors of business managementcompanies, etc.; other designated individuals

Twice per year

Deliberations about what the Group aims to be and medium- to long-termtargets; deliberations about addressing ongoing issues

Directors, other designated individuals

To evaluate from an objective standpoint whether the Board of
Directors is functioning appropriately, the Company has formed theIndependent Directors Committee. This committee comprises justfive independent outside directors, and its secretariat function has

been established within a third-party specialist organization. This
arrangement facilitates the maintenance of a more effective oversight function in the Board of Directors.

ESG SECTION: CORPORATE GOVERNANCE

The president and representative director of each business management company, etc., holds concurrent positions within theGroup, such as serving as a director of the Company. This contributes to strengthening the collaborative efforts between the holding
company and the operating companies and between the operatingcompanies and to facilitating speedier decision-making as a group.
Of the 14 directors on the Board of Directors, five meet the conditions for independent, outside directors. They are working tostrengthen the management supervisory function. Specifically,
through such means as attendance at meetings of the Board of
Directors, they provide opinions from viewpoints that are independent of business execution, and from specialist viewpoints. These
opinions are based on their extensive experience and wide-ranging

management oversight function, the Company has a basic policy that
one-third or more of directors shall be outside directors, and that allof the outside directors shall be independent outside directors.
Directors who are Audit & Supervisory Committee members audit
and supervise the Board of Directors. In addition, independent outside
directors, based on their high levels of independence and specialized
knowledge, fulfill their own role from an objective, neutral position. In
this way, the Company has established a system that enables them tocontribute to the bolstering of its corporate governance systems.

Outside Directors 

Of the Company’s 14 directors, five are outside directors, and all of
the outside directors are independent outside directors. In this way,
the Company is working to strengthen the management oversightfunction.
The Company has established Standards for the Independenceof Outside Directors, and outside directors are appointed in accordance with those standards. In the Company’s judgment, the outside directors meet those standards, there is no concern that they
will have a conflict of interest with general shareholders, and they
possess high levels of independence. Accordingly, the Company has
notified the Tokyo Stock Exchange (TSE) that they are all independent directors in accordance with TSE regulations.
The status of audits by internal auditors, audits by the Audit &Supervisory Committee, and account audits are reported to theBoard of Directors. By attending meetings of the Board of Directors,
the outside directors (excluding Audit & Supervisory Committee
members) track the status of these audits and work to maintainclose ties.
In addition to tracking the status of internal audits reported atmeetings of the Board of Directors, outside directors (Audit &Supervisory Committee members) track the status of audits by
the Audit & Supervisory Committee at meetings of the Audit &Supervisory Committee and work to maintain cooperative relationships with the internal audits and the Audit & Supervisory
Committee audits. In addition, all directors who are Audit &Supervisory Committee members receive explanations from theindependent auditors of the status of account audits on a quarterly
basis. In this way, they track the status of these audits and maintaincooperative relationships with the account audits.
Furthermore, through matters brought to the Board of Directors,
outside directors track the status of internal control departments
and provide advice. In addition, they attend the Group Business
Report Meeting, where reports on the status of the Group’s operations are made; work to strengthen the supervisory function; andprovide advice as needed.
Moreover, as an outside director support system, the Corporate
Planning Division provides support. In regard to the communicationof information from the Corporate Planning Division, principally,materials are sent prior to meetings of the Board of Directors andexplanations are provided as needed.

Note: Planned to be held in FY2024.3

8485

CORPORATE GOVERNANCEE S G S E CTI ON
CO R P O R AT E G O V E R N A N C E

Evaluations of Effectiveness of the Board of Directors With the objectives of heightening the effectiveness of the Board of Directors and increasing corporate value, evaluations of the effectivenessof the Board of Directors are conducted periodically. Specifically, questionnaires regarding evaluation items that have been determined inadvance are implemented, and responses are obtained from all directors. Then, the Independent Directors Committee conducts analysis andverification based on the results and provides their opinions to the Board of Directors. Based on these opinions, the Board shares the resultsof the evaluation of present circumstances as well as issues, and holds constructive discussions regarding future action plans.

Roles and Duties of the Personnel Committee Related to Officer Remuneration, Etc. 
Independent outside directors make up a majority of the Personnel
Committee, which is an optional committee that is chaired by anindependent outside director. The Personnel Committee holds
appropriate deliberations about the validity of systems for officer
remuneration, including the basic policy for the Group’s officer
remuneration system, the remuneration framework, and the variable remuneration framework, etc. These deliberations are basedon objective information related to officer remuneration (mostrecent system status, trends at other companies, etc.). The committee then submits a report to the Board of Directors. The Company’s
Board of Directors accepts the report and makes the final decisionon the details of the officer remuneration system. In addition, in thesame way, the board of directors for each of the business management companies, etc., accepts the decision of the Company’s Boardof Directors and makes the final decision on the details of the officer
remuneration system for the business management company, etc.
In some cases, as necessary in the conduct of deliberations, external remuneration consultants, etc., attend meetings of the
Personnel Committee or provide information to the committee.
This is intended to provide support for effective deliberations andconsensus formation. Opinions, etc., as to appropriateness regarding the details of the report to the Board of Directors are notreceived.

Composition of the Personnel Committee/Committee Chair
The Company’s Personnel Committee has a maximum of seven members, with independent outside directors making up a majorityof the members. The chair of the committee is an outside director elected by the outside directors.
Status of Activities of the Personnel Committee
Since the Ordinary General Meeting of Shareholders held in June 2023, the composition of the Personnel Committee is as follows.
People4 people (1 executive director and 3 outside directors)

Committee chair

Director (outside) Toshio Shimada

Members

Director (outside) Koichi Kawana, Director (Audit & Supervisory Committee member, outside) Satoko Kuwabara,
President and Representative Director Masaru Kawaguchi

In the decision-making process for the amounts of compensation for FY2023.3, deliberations by the Personnel Committee were helda total of five times. The chair and the members all attended on each of these occasions, and the attendance rate was 100%. The
major agenda items were as follows.

86

Meeting dates

Major agenda items

April 26, 2022

Remuneration limit for directors
Policy for determining remuneration, etc., for directors

May 31, 2022

Payment amounts for FY2022.3 performance-based bonuses and performance-based stock compensation for theCompany, business management companies, etc.

June 10, 2022

Calculation method for FY2023.3 performance-based stock compensation

November 28, 2022

Sustainability evaluations in the Company's FY2023.3 performance-based bonuses

January 31, 2023

FY2024.3 officer remuneration for the Company, business management companies, etc.

Basic policy
The basic policy of the remuneration system for the Company’s direc-

tors (excluding Audit & Supervisory Committee members and outside
directors), is to create a remuneration framework that promotes theCompany’s continuous growth and improves the Company’s corporate value over the medium to long term by promoting the sharing ofvalues with shareholders, ensuring objectivity and transparency sothat the Company can adequately fulfill its accountability obligations,and fostering a healthy sense of entrepreneurship in the directors
while taking into account the level of remuneration that will enable
the Company to secure and retain top-grade personnel.
Specifically, the remuneration framework comprises the baseremuneration as fixed remuneration and performance-based
bonuses and performance-based stock compensation as variable
remuneration. In addition, for the directors of the Group’s fourbusiness management companies (Bandai Namco Entertainment
Inc., Bandai Co., Ltd., Bandai Namco Filmworks Inc., and Bandai
Namco Amusement Inc.) and the directors of Bandai Spirits Co.,
Ltd., Bandai Namco Music Live Inc., and Bandai Namco Business
Arc Inc., the basic policy is the same as that of the Company.
Remuneration for the Company’s directors who are Audit &Supervisory Committee members and the Company’s outside
directors comprises base remuneration only in light of their duties.
The amount of remuneration for each director who is an Audit &Supervisory Committee member is determined through discussions
among directors who are Audit & Supervisory Committee members,
and the amount of remuneration for each outside director who is
not an Audit & Supervisory Committee member is determined by
the Board of Directors.
Fixed remuneration (base remuneration)
The base remuneration for directors of the Company (excluding

Audit & Supervisory Committee members) is monthly fixed remuneration paid in cash and paid within a specific time period every
month. The limit is ¥450 million per year (including a maximum of¥100 million for outside directors). In addition, Company directors,(excluding Audit & Supervisory Committee members and outside
directors), contribute a fixed proportion of the base remuneration to
the shareholding association for directors and officers to purchase
the Company’s shares. During his or her term of office, each director
continues to hold such shares, as well as shares acquired throughperformance-based stock compensation. The base remuneration
for directors who are Audit & Supervisory Committee members ismonthly fixed remuneration paid in cash, and paid within a specifictime period every month with the limit of ¥200 million per year.
Variable remuneration (performance-based bonuses andperformance-based stock compensation)

As for variable remuneration for directors of the Company (excluding Audit & Supervisory Committee members and outside directors), both performance-based bonuses and performance-based
stock compensation use consolidated operating profit of the Groupas an indicator with the aim of directly reflecting the evaluation on

management efforts by the management team of the Group in theamount of remuneration to be paid.
Performance-based bonuses
Performance-based bonuses are calculated within a range of 0% to200% of the predetermined base amount based on the rates ofachievement of the Mid-term Plan targets, fiscal year targets, andyear-on-year results for the Group’s actual consolidated operating
profit, for each fiscal year, with the payment ratio changing withinthat range depending on the results of sustainability evaluations.
If any of the rates of achievement is 50% or lower, performancebased bonuses will not be paid. Performance-based bonuses will be
determined within a limit of the smaller of (i) ¥550 million per year as
the limit for cash bonuses or (ii) 1.5% of the “profit attributable toowners of parent for the period.” The remuneration is paid within a
specific time period every year after the end of the relevant fiscal year.
Sustainability evaluations are conducted for the purpose of
motivating the eligible directors to address sustainability, and theevaluations are determined by the Board of Directors by examining
factors such as the results of activities for the Group’s initiatives inline with its material issues (including initiatives for decarbonization) and indicators relating to employee engagement after deliberation by the Personnel Committee, which is an optional
committee chaired by an independent outside director and ofwhich a majority of the members are independent outside directors.

Performance-based stock compensation
Performance-based stock compensation is provided only when theGroup’s consolidated operating profit is ¥75 billion or higher, andthe payment ratio will be 100% if the consolidated operating profit
reaches ¥125 billion (the target for the last fiscal year under the
Mid-term Plan). In accordance with a resolution of the 17th Ordinary
General Meeting of Shareholders held on June 20, 2022, the upper
limit is the amount obtained by multiplying 135,000 shares*1 by thedelivery share price*2 per year. Whether or not performance-based
stock compensation will be paid and the level of payment are
decided each fiscal year. Under the framework, the number ofreference share units is predetermined for each officer rank, andshares of common stock of the Company and cash corresponding
to the number of payment share units, which are finalized based on
the degree of attainment of the consolidated operating profit target,
will be delivered or paid. Furthermore, the performance-based
stock compensation will be paid within two months from the day
following the day on which the figure of the performance-based
indicator (consolidated operating profit of the Group) is finalized.

ESG SECTION: CORPORATE GOVERNANCE

Activities of the Personnel Committee

Matters Related to the Policy regarding Decisions about the Amount andCalculation Method for Remuneration, Etc., for Directors *1 The Company conducted a share split with a ratio of three shares for every one share ofcommon stock on April 1, 2023. Accordingly, applying this share split, the upper limit forthe performance-based stock compensation has been changed to the amount obtainedby multiplying 135,000 shares by the Delivery Share Price per fiscal year.
*2 Delivery share price is the closing price of common stock of the Company on the Tokyo
Stock Exchange Prime Market on the business day immediately preceding the date of theresolution at the Board of Directors’ meeting to deliver the Company’s common stock
related to the performance-based stock compensation system held within two months
from the date of the Ordinary General Meeting of Shareholders pertaining to each fiscal
year under evaluation (if the Company’s shares were not traded on that day, the closing
price on the last day the shares were traded prior to that).

87

CORPORATE GOVERNANCEE S G S E CTI ON
CO R P O R AT E G O V E R N A N C E

Remuneration structure
The Company determines the remuneration structure for directorsof the Company (excluding Audit & Supervisory Committee members and outside directors) by verifying the level of remuneration
based on its performance results and objective benchmarks for the
management’s remuneration obtained from external specialist
organizations and comprehensively taking into consideration theratio of fixed remuneration to variable remuneration in the annual
total remuneration and the ratio of medium- to long-term remuneration in variable remuneration. If the target for the last fiscal year
under the Mid-term Plan has been achieved, the ratio of fixed remuneration to variable remuneration in annual total remuneration will
be about 40:60. Also, the proportion in annual total remuneration ofstock-based remuneration, that is, the sum of the contribution of a
fixed proportion of the base remuneration to the shareholding
association for directors and officers and performance-based stockcompensation will be approximately 40%.

Reference

Shareholdings Standards for and approach to the classification of investment shares
The Company holds as investment shares only cross-shareholdingsthat can be recognized to contribute to increasing corporate value.
The Company does not hold investment shares for pure investment
purposes (investment shares held exclusively with the objective ofobtaining profits through stock price fluctuations or stock-related
dividends).
Investment shares held for purposes other than pureinvestment
The Company has a basic policy of implementing cross-shareholdings on a strategic, limited basis, provided that holding such sharescan be recognized to contribute to increasing the Company’s corporate value by further bolstering business partnerships and by maintaining and/or strengthening a stable business relationship withsuch companies. Such a determination is based on factors including the companies’ business developments, the status of businesswith the companies, and the market price of the shares.
Also, each year, the Company shall implement a sufficient review,
including whether or not to continue to hold cross-shareholdings,
by the Board of Directors, of all cross-shareholdings from a
medium- to long-term perspective, taking into consideration theimportance of the cross-shareholdings and economic rationale. The
Company shall also reflect the results of these reviews in

explanations regarding the objectives of the cross-shareholdings, etc.
Specifically, reviews are conducted in light of the following
perspectives.
I.	The necessity for the enhancement of the Company’s corporate value going forward, such as the further strengthening of
the IP axis strategy through the creation of IP or the expansionof businesses fields.
II.	The level of contribution to the enhancement of theCompany’s corporate value, such as the current status oftransactions or business alliances with the company inquestion.
III.	The relationship between the benefit of ownership and theCompany’s cost of capital with respect to the acquisition priceof each cross-shareholding.
As a result of the review in FY2023.3, the Company confirmed theappropriateness of holding all of the shares held.
In exercising the voting rights of cross-shareholdings, theCompany does not unconditionally agree with the proposals of thecompanies whose shares it owns. Rather, voting rights are exercised
based on whether or not the proposals will contribute to increasing
the Company’s corporate value through the maintenance and/or
bolstering of the business partnership and business relationshipwith such companies.

Performance-based remuneration results
Number of issues and carrying amount on balance sheet

Performance-based bonus KPIs
Mid-term Plan targets Fiscal year targets
Year-on-year results

Consolidated operating profit achievement rate for each

Performance-based stock compensation KPIConsolidated operating profit: ¥125,000 million

Consolidated operating profit in FY2023.3

Rate of achievement of KPIs

¥116,472 million

116.5%

Payment ratio for performance-based bonuses

Total carrying amount on balance sheet(¥ million)

Unlisted shares

7

1,452

Shares other than unlisted shares

34

116,375

Number of issues

Total acquisition cost related tothe increase in the number of shares(¥ million)

Issues for which the number of shares increased in FY2023.3

Rate of achievement of KPIs

141.8%

Number of issues

93.2%

Payment ratio for performance-based stock compensation

88.7%

Unlisted shares——

Shares other than unlisted shares——

Issues for which the number of shares decreased in FY2023.3
FY2023.3

Officer category

Directors

Total amount ofcompensation, etc.,
by type (¥ million)

Number of issues

Total amount of compensation, etc., by type(¥ million)

Total amount of
Number of eligible
compensation, etc.
officers(¥ million)(people)Fixed remuneration

Performance-based
remuneration

Of the amount on the Number of eligible
officers
left, performance-based(people)stock compensation, etc.

541

190

4

350

151

3

21

21

1

—

—

—

(excluding outside Audit & Supervisory
Board members)

6

6

1

—

—

—

Outside officers

92

92

10

—

—

—

(excluding Audit & Supervisory Committee
members and outside directors)

Directors who are Audit & Supervisory
Committee members(excluding outside directors)

Audit & Supervisory Board members

ESG SECTION: CORPORATE GOVERNANCE

Procedure for determining compensation
The policy, framework, and performance-based mechanism fordirectors (excluding Audit & Supervisory Committee members andoutside directors), will be determined by the Board of Directors after
deliberation by the Personnel Committee, in order to seek theappropriate involvement and advice of the outside directors. In thecourse of deliberations by the Personnel Committee, sufficient
information is provided to the outside directors so that they areable to perform their analysis, including, for instance, by asking foradvice from external specialist organizations where necessary.
In regard to the method of calculating performance-based stockcompensation, the matter is submitted to the Personnel
Committee. A precondition is that among committee members,
executive directors do not participate in deliberations regarding
decisions on performance-based stock compensation. When all
outside directors have agreed and made a decision on
performance-based stock compensation, the decision is finalized
through a resolution of the Board of Directors. In addition, at thebusiness management companies, etc., in accordance with decisions based on the resolution of the Company’s Board of Directors,
decisions are made through resolution of the board of directors ofeach of the business management companies, etc.

Total selling price related tothe decrease in the number of shares(¥ million)

Unlisted shares——

Shares other than unlisted shares——

Percentage of consolidated net assets

End of March 2022

15.8%

End of March 2023

18.1%

Note: The amount of performance-based stock compensation is calculated based on the closing price of the common stock of the Company on the Tokyo Stock Exchange, Prime
Market, on March 31, 2023, and when making actual payment, the delivery share price is applied.

88

89

CORPORATE GOVERNANCEE S G S E CTI ON
CO R P O R AT E G O V E R N A N C E

Compliance and Risk Management 

Should violations of compliance occur or risk arise, a meeting of theGroup Risk Compliance Committee, chaired by the president andrepresentative director, is convened immediately to ensure a quick
and appropriate response. Each month, the Group Risk Compliance

Committee secretariat reports to the Board of Directors any information on compliance and risk and how they have been managed in
the Company and its subsidiaries.

Flow of the Group’s Risk Compliance System

Response evaluation/judgment/
decision-making

Group Risk Compliance Committee

President and representative
director (chair)

Full-time
directors

Designatedindividuals

Secretariat

Sustainability Management Department

Conveningof meeting

President and representative director
Full-time
directors

Information
sharing

Director of the
Corporate Planning Division

Directions

Bandai Namco Holdings Inc.

Reports
Directions

Part-time
directors

PR function

Person incharge of PR

Reports

Information
sharing

Division general manager, Corporate Planning Division

Directions

General manager, Sustainability Management Department

Group companies

Office for reception of risk compliance information

Reports

Person incharge of PR

At present, the Company has taken no specific measures as takeover
defenses. The Group regards implementing its management andbusiness strategies in accordance with the measures to increase thecorporate value of the Group and aiming to increase the corporate
value of the Group as a whole as a substantial defense against
inappropriate takeovers.
That said, since the Group is entrusted by shareholders as the
management of the Group, we will work on studying and developing a system of takeover defenses, with a close eye on legal andsocial trends, in anticipation of situations in which an inappropriate
entity or person might emerge to have decision-making power over
the Company’s financial and business policies.

Bandai Namco Group Compliance Charter
The Charter brings together matters that need to be strictly
observed in business execution by all Group officers andemployees. It clarifies principles related to the following:• Appropriate products and services/fair dealings• Protection of information andresources• Respect for all employees• Rejection of anti-society groups• Information disclosure• Harmony with the environment• Respect for and usage of intellectual
property• Harmony with society

In concrete terms, in the event an inappropriate bidder emerges,
the management team will not take steps to guard its own interests
against the takeover offer by the bidder, but will sufficiently deliberate the matter at the Board of Directors’ meetings after referring thematter to the Independent Directors Committee for their review
from objective viewpoints, to enable the Company to make a judgment from the perspective of improving corporate value first. The
Company will also work to collect sufficient information and securenecessary time, so as to be conducive to appropriate judgment by
the shareholders.

Reports

Reports

Information
sharing

Takeover Defenses 

subsidiaries have also included provisions in their internal regulations to ensure the protection of whistleblowers.
For risk management, the Company and its subsidiaries haveestablished guidelines on risk management and have formulated andoperate a business continuity plan (BCP) and a business continuity
management (BCM) system for the Group. The Company is working toensure that directors, etc., and employees of the Company and its
subsidiaries are well aware of these guidelines and systems.

ESG SECTION: CORPORATE GOVERNANCE

Directions

In order to ensure abidance of laws, respect of ethical behavior,and compliance with internal regulations, the Company has set inplace the Bandai Namco Group Compliance Charter to define
behavioral guidelines for directors, etc., and employees of theCompany and its subsidiaries, and is working to ensure that they arefamiliar with the Charter by putting up posters and distributing theCompliance Book. In addition, the director in charge of complianceof the Company strives to enhance compliance awareness by carrying out management of the overall compliance of the Group andperiodical training using e-learning tools and other programs. The
Company also investigates the degree of actual awareness by distributing surveys on compliance awareness to all employees andstrives to strengthen the compliance systems by sharing the resultsof the survey with each subsidiary director in charge of compliance.
Furthermore, as a whistleblowing system, the Company has alsoestablished an internal consultation service, an external consultation service provided by external legal advisors, and a hotline (email,etc.) for employees to use to report directly to directors who are
Audit & Supervisory Committee members or to Audit & Supervisory
Board members of subsidiaries. The Company and its major

Information
sharing

Management­Strategy Division

Directions
Reports

Reports

Person in charge of reporting information regarding crises or compliance violations forbusiness management companies, regional management companies, and affiliated business companies
Directions

IR Activities 

Aiming to enhance corporate value, Bandai Namco Holdings is
implementing a variety of investor relations (IR) activities in accordance with information disclosure standards and the IR policy
related to IR opportunity enhancement, etc. In addition, the statusof IR activities and the reactions of investors and analysts are sharedwith directors and continually communicated as feedback to thebusiness management companies and throughout the Group.
Also, Bandai Namco aims to be a highly transparent company
that clearly communicates management strategies and business
policies to shareholders and investors. Accordingly, the Company
works to enhance opportunities for executives to speak directly toinvestors and securities analysts, such as results presentations.

Results of Major IR Activities in FY2023.3
Results presentations for investors and analysts(held online)

4 times (573 online)

Attendees at separate meetings for investors
and analysts

569 people

IR events for investors and analysts

1 timeReports

Person in charge of reporting information regarding crises or compliance violations for
Unit-affiliated companies other than business management companies
Results presentations held online

9091

CORPORATE GOVERNANCEE S G S E CTI ON
CO R P O R AT E G O V E R N A N C EInternal Control System 
The Bandai Namco Group’s basic policy regarding its internal
control system is as below:(2) S ystems for preserving and managing information related
to directors’ execution of their duties
The Company shall establish regulations concerning document
management and ensure (i) the centralized management of
documents circulated for approval, minutes of various meetings,
contracts, and other documents, and (ii) appropriate safekeeping and management of important documents in eachdepartment. The Company shall also have a system to ensurethat directors may peruse those documents at any time.
The Company shall establish regulations concerning information
security as a part of Group management. These regulations will
provide for a system to ensure appropriate safekeeping andpreservation of information.

92(4) Systems to ensure that directors, etc., of the Company
and its subsidiaries execute their duties efficiently
The Company shall classify its subsidiaries into Units based on
business segments, and appoint a director and a business management company in charge of each Unit to promote efficientbusiness based on the division of duties, chain of command,
authorities and decision-making, and other organizational
regulations within the Group.
The Company shall formulate a Mid-term Plan with a period of
three business years for the entire Group and each Unit, anddetermine the budget for each business year based on those
Mid-term Plans.
The Company shall establish the Full-Time Officers Committee
consisting of full-time directors and delegate authority from theBoard of Directors to such committee to make certain decisions
on the execution of duties in order to expedite decision-making.
(5) Systems concerning reporting matters regarding execution of duties of directors, etc., of subsidiaries to theCompany
The Company shall establish meetings such as the Group
Business Report Meeting and the Group Management Meeting,and put in place a system for reporting inside the Group anddecision-making.
(6) Other systems to ensure proper business behavior by theCompany and its subsidiaries
The Company shall revise the Bandai Namco Group Compliance
Charter as appropriate in response to revisions to laws andregulations and changes in the social context surrounding theGroup, and shall ensure that the contents of the Charter are
made thoroughly known to directors, etc., and employees of theCompany and its subsidiaries by distributing the Bandai Namco
Group Compliance Handbook and through training. It shall also

regularly conduct compliance awareness surveys of directors,
etc., and employees of the Company and its subsidiaries toascertain their level of familiarity, etc., with the said Charter andutilize the results for subsequent compliance promotion activities of the Group.
The Company and its subsidiaries shall endeavor to improveand standardize business processes considering the importanceof effectiveness and efficiency in business operations, and shallevaluate and operate internal controls on financial reporting
based on related laws and regulations, etc.
(7) Matters regarding employees required by the Audit &Supervisory Committee to assist in its duties, and mattersregarding the independence of such employees fromdirectors (excluding directors who are Audit & Supervisory
Committee members)
The Company shall provide a speedy response when the Audit &Supervisory Committee asks the president and representative
director to provide employees to assist in their duties. Wherethat employee simultaneously works for any other section, his or
her business duties pertaining to the Audit & Supervisory
Committee shall take priority.
The Company shall carry out personnel matters relating to such
employees based on the consent of the Audit & Supervisory
Committee, so as to ensure independence from the Board of
Directors.
(8) Matters concerning ensuring the effectiveness of instructions to employees who are to assist the Audit &Supervisory Committee
The Company shall keep directors and employees thoroughly
informed that employees who are to assist in the duties of the
Audit & Supervisory Committee will be under the command of
the Audit & Supervisory Committee.
(9) System for directors (excluding directors who are Audit &Supervisory Committee members), etc., and employees of
the Company and its subsidiaries to report to theCompany’s Audit & Supervisory CommitteeDirectors (excluding Audit & Supervisory Committee members),
etc., and employees of the Company and its subsidiaries shallreport promptly to the Audit & Supervisory Committee withregard to matters prescribed by laws and regulations, othermatters that have a major impact on the Company and theGroup, implementation status of internal audits, and mattersrelated to compliance.
Directors (excluding Audit & Supervisory Committee members),
etc., and employees of the Company and its subsidiaries shallreport promptly and appropriately when requested to do so by
the Audit & Supervisory Committee regarding the performanceof their duties.
The Company shall put in place a hotline (email, etc.) as aninternal reporting system to allow reports to be made directly to
the Company’s directors who are Audit & Supervisory
Committee members.

(10) System for ensuring that persons making reports to the
Audit & Supervisory Committee shall not be treateddisadvantageously as a result of making such report
The Company shall prohibit the disadvantageous treatment of
persons who have reported to or consulted with the Audit &Supervisory Committee, and shall state that clearly in the Group
Risk Compliance Regulations and make it thoroughly known to
directors, etc., and employees of the Company and its
subsidiaries.
(11) Matters regarding policies pertaining to procedures foradvance payments or reimbursement of expenses arisingin the performance of duties of Audit & Supervisory
Committee members and other payment of expenses or
liabilities arising in the performance of said duties
The Company shall immediately pay expenses or liabilities
where a director who is an Audit & Supervisory Committee
member has requested advance payments or reimbursement ofexpenses arising in the performance of his or her duties, excluding cases where they were not considered necessary for the
performance of the said duties of the director who is an Audit &Supervisory Committee member.
(12) Other systems to ensure the effectiveness of audits
conducted by the Audit & Supervisory CommitteeDirectors (excluding Audit & Supervisory Committee members)of the Company shall formulate a system whereby directors who
are Audit & Supervisory Committee members can attend important meetings, and ensure that a system exists whereby they canmeet periodically or on an ad hoc basis with directors andemployees, and cooperate with the Internal Auditing Division
and accounting auditors.
Subsidiaries of the Company shall install an appropriate numberof Audit & Supervisory Board members according to their scale,business category, etc., and ensure that there are systems inplace wherein Audit & Supervisory Board members of subsidiaries report periodically to the Audit & Supervisory Committee of
the Company.

ESG SECTION: CORPORATE GOVERNANCE(1) S ystems to ensure that the execution of the duties bydirectors, etc., and employees of the Company and its
subsidiaries is in compliance with the laws and regulations and the articles of incorporation
The Company shall set in place Bandai Namco’s Purpose andthe Bandai Namco Group Compliance Charter to ensure that
directors and employees of the Company and its subsidiaries arefamiliar with them, and always pay due attention to ensure they
carry out their duties lawfully and fairly.
Directors of the Company shall report periodically to the Boardof Directors on the structure and operating status of internal
control systems.
The Company shall install a director in charge of compliance
who is responsible for supervision of compliance overall basedon its compliance regulations, and establish a structure ensuringthat the Company and the entire Group abides by the law,
behaves ethically, and complies with internal regulations.
Should violations of compliance or suspicions thereof occur
within the Group, the Company shall immediately convene theGroup Risk Compliance Committee with the Company’s president and representative director as its chair to discuss anddecide how the issue should be handled.
Overseas, an overseas regional management companies shallbe determined for each region to manage risk and supportcompliance.
Internal reporting systems including an internal consultation
point, an external consultation point comprising external legal
advisors, and a hotline (email, etc.), which enables reporting
directly delivered to directors who are Audit & Supervisory
Committee members or Audit & Supervisory Board members ofsubsidiaries, shall be put in place in the Company and its major
subsidiaries.
The Internal Auditing Division shall be established independently of the executive sections in the Company and its major
subsidiaries to work toward maintaining the properness of
execution of operations through internal audits.

(3) R egulations concerning management for risk of loss of theCompany and its subsidiaries and other systems
The Company shall establish regulations concerning risk management and compliance as a part of Group management.
Throughout the Group, we will work to prevent risk and to discover risk factors as rapidly as possible.
When risk arises, the Company shall convene the Group Risk
Compliance Committee without delay to minimize the impact ofrisk on our business by responding to risk quickly and in an
appropriate manner.
Anticipating the occurrence of situations that could cause drastic damage to the management of the Group through a majordisaster or the like, the Group shall define the basic policy for abusiness continuity plan (BCP) for the Group, and formulate a
BCP for the Group and organize a business continuity management (BCM) system to achieve rapid recovery and restart ofoperations. Directors and employees of the Company and its
subsidiaries shall be made aware of this.

93DIRECTOR SYSTEME S G S E CTI ON

As of June 19, 2023

DIRECTOR SYSTEMThe Company works to see that the Board of Directors has a good overall balance between executive directors, who execute agile business operations and havethorough knowledge of the Company’s businesses or company operations, etc., and outside directors, who possess advanced expertise and are capable of providing
management advice and oversight with a wide range of viewpoints. In addition, the Company strives to see that the directors have the knowledge, experience, andcapabilities to fulfill their duties and that the composition of the Board achieves both diversity and an appropriate scale.

Executive Directors
Position, name,and areas of responsibility

President and Representative Director
Group CEO

Reasons for appointment

186,000

Mr. Masaru Kawaguchi has been supervising the management of the Company
appropriately since being appointed as executive vice president and director of
the Company in 2020 and as president and representative director of theCompany in 2021—by, for example, achieving the previous Mid-term Plan andrecord-high performance—and possesses extensive experience, achievements,
and knowledge. He has been appointed as the Company considers him
capable of ensuring that the Group continues to grow.

19/19

148,800

Mr. Yuji Asako possesses extensive experience, achievements, and knowledge
relating to management and administration, including business planning andaccounting, and also has experience in roles where he was responsible forinternal and external communications, such as IR, PR, and SR, as well as
information security and sustainability activities. He has been appointed as theCompany considers him capable of implementing the Group’s management
strategies and seeking a sustained increase in corporate value.

19/19

20,400

Mr. Nobuhiko Momoi possesses extensive experience, achievements, andknowledge in the Toys and Hobby Business in Japan and overseas and has also
been engaged in building ties among the various businesses of the Group as
executive officer and general manager of the Group Business Strategy
Department of the Company since 2022. He has been appointed as theCompany considers him capable of enhancing collaboration in Groupmanagement.

15/15

52,800

Ms. Nao Udagawa possesses extensive experience, achievements, and knowledge from her wide-ranging involvement in multiple businesses in the Group.
Since 2023, she has driven the business forward as the president and CEO of
Bandai Namco Entertainment Inc., which is the business management company of the Digital Business of the Entertainment Unit in the Group. She has
been appointed as the Company considers her capable of building closer ties
between the Digital Business and Group management.

—

65,400

Mr. Kazuhiro Takenaka possesses extensive experience, achievements, andknowledge in the Toys and Hobby Business and, since 2021, has driven thebusiness forward as president and CEO of Bandai Co., Ltd., which is the business management company of the Toys and Hobby Business of theEntertainment Unit in the Group. In addition to these factors, he has been
appointed as the Company considers him capable of building closer ties
between the Toys and Hobby Business and Group management.

15/15

65,700Mr. Makoto Asanuma possesses extensive experience, achievements, andknowledge from his wide-ranging involvement in multiple businesses in theGroup. Since 2019, he has driven the business forward as the president and CEOof Sunrise Inc. (currently Bandai Namco Filmworks Inc.), which is the current
business management company of the IP Production Unit in the Group. He has
been appointed as the Company considers him capable of building closer ties
between the IP Production Business and Group management.

19/19

78,150Mr. Hiroshi Kawasaki possesses extensive experience, achievements, andknowledge from his wide-ranging involvement in multiple businesses in theGroup. Since 2021, he has driven the business forward as the president andCEO of Bandai Namco Amusement Inc., which is the business managementcompany of the Amusement Unit in the Group. He has been appointed as theCompany considers him capable of building closer ties between the
Amusement Business and Group management.

18/19

139,500

Mr. Shuji Ohtsu possesses specialist expertise as a certified public accountant,as well as extensive experience and achievements. He has been appointed as
the Company considers him capable of strengthening Group management
structures and ensuring highly transparent management.

19/19

Masaru Kawaguchi

Director
Yuji Asako
Corporate Planning Division andGroup Administrative Headquarters

Director
Nobuhiko Momoi
General manager of the Group Business
Strategy Department

Director in charge of the Digital Businessof the Entertainment Unit

Director (Part-time)
Kazuhiro Takenaka
Director in charge of the Toys and Hobby
Business of the Entertainment Unit

Director (Part-time)
Makoto Asanuma
Director in charge of the IP Production Unit

Director (Part-time)
Hiroshi Kawasaki
Director in charge of the Amusement Unit

Director (Part-time)
Shuji Ohtsu
Director in charge of Bandai Namco
Business Arc Inc.

Corporate
management

Operational experience
DigitalToys and hobby

Visual/music

IP creation/
development

Facilities/
machines

Finance, tax
affairs, andaccounting

Sustainability Internationality

Legal affairs

Digitaltechnology and Number of meetings attended/
information
Number of meetings held
security

ESG SECTION: DIRECTOR SYSTEM

Director (Part-time)
Nao Udagawa

Attendance at meetings ofthe Board of Directors(FY2023.3)

Major experience and expertise

Number ofCompany shares
owned(as of the end of
March 2023)

Note: O n April 1, 2023, the Company implemented a share split at a ratio of three shares for every one share of common stock. The number of shares after this share split is stated.
Mr. Nobuhiko Momoi and Mr. Kazuhiro Takenaka were elected at the 17th Ordinary General Meeting of Shareholders held on June 20, 2022, and accordingly the number of Board of Directors’
meetings on which the attendance rate is based differs from that of other directors.
Ms. Nao Udagawa was elected at the 18th Ordinary General Meeting of Shareholders held on June 19, 2023, and accordingly did not attend meetings of the Board of Directors in FY2023.3.
Member of the Personnel Committee

94

95

DIRECTOR SYSTEME S G S E CTI ON

As of June 19, 2023

DIRECTOR SYSTEM

Outside Directors Who Are Not Audit & Supervisory Committee Members
Position and name

Director(Part-time, Outside)
Toshio Shimada

Director(Part-time, Outside)
Koichi Kawana

Major concurrent positions

Major experience and expertise

Attendance at meetings of theBoard of Directors(FY2023.3)

Number ofCompany shares
owned(as of the end of
March 2023)

Reasons for appointment—

Given Mr. Toshio Shimada’s extensive knowledge
and experience in corporate management, theCompany anticipates that he will be able to further
strengthen management oversight and checking
functions, and introduce his extensive knowledge
concerning fusion of corporate management anddigital technology into the Company’s managerial
perspective, and thus he has been appointed.

19/19

—

Given Mr. Koichi Kawana’s extensive knowledge andexperience in corporate management, the Company
anticipates that he will be able to further strengthen
management oversight and checking functions, andintroduce a global managerial perspective based on
his extensive experience working overseas, and thus
he has been appointed.

19/19

Special advisor of CAC Holdings Corporation
Outside director of AEON DELIGHT CO., LTD.

Outside director of TOKYO ELECTRON DEVICE
LIMITED
External director of RENOVA, Inc.
External director of ispace, inc.
Outside director of Kubota Corporation

Corporate
management

Operational experience
DigitalToys and hobby

Visual/music

IP creation/
development

Facilities/
machines

Finance, tax
affairs, andaccounting

Sustainability

Internationality

Legal affairs

Digitaltechnology andinformation
security

Independence

Number of meetings attended/
Number of meetings held

Directors Who Are Audit & Supervisory Committee Members
Position and name

Major concurrent positions

Director (Outside)
Toru Shinoda

Director(Part-time, Outside)
Satoko Kuwabara

Director(Part-time, Outside)
Takayuki Komiya

Certified public accountant

Attorney-at-law partner of GAIEN PARTNERS
Outside auditor of Unicafe Inc.
Outside director (Audit & Supervisory
Committee member) of Nippon Yusen
Kabushiki Kaisha
Outside director of Mitsubishi UFJ Financial
Group, Inc.

Certified public accountant
Certified public tax accountant

Attendance at meetings of theBoard of Directors(FY2023.3)

Reasons for appointment

9,900

Given his many years of experience in engaging
in work in the administration divisions, andmastering corporate legal affairs, the Company
expects Mr. Masataka Nagaike to utilize hisknowledge and experience for the audit andsupervisory system of the Company, and thus hehas been appointed.

19/19

1,200

Given his many years engaged in audit practices,and given he is a certified public accountant, theCompany expects Mr. Toru Shinoda to utilize hisadvanced knowledge and experience in accounting and auditing for the audit and supervisorysystem of the Company, and thus he has been
appointed.

19/19

—

Given her many years of experience as an
attorney-at-law, the Company expects Ms.
Satoko Kuwabara to utilize her advanced
knowledge and experience from a legal risk
perspective, and thus she has been appointed.

19/19

300

Given his many years mastering accounting andtax practices, and given he is a certified public
accountant and a certified public tax accountant,
the Company expects Mr. Takayuki Komiya toutilize his advanced knowledge and experiencein accounting, tax affairs, and auditing in order tostrengthen the audit and supervisory system of
the Company, and thus he has been appointed.

15/15

Corporate
management

Operational experience
DigitalToys and hobby

Visual/music

IP creation/
development

Facilities/
machines

Finance, tax
affairs, andaccounting

Sustainability

Internationality

Legal affairs

Digitaltechnology andinformation
security

Independence

Number of meetings attended/
Number of meetings held

ESG SECTION: DIRECTOR SYSTEM

Director
Masataka Nagaike

Major experience and expertise

Number ofCompany shares
owned(as of the end of
March 2023)

Note: On April 1, 2023, the Company implemented a share split at a ratio of three shares for every one share of common stock. The number of shares after this share split is stated.
Mr. Takayuki Komiya was elected at the 17th Ordinary General Meeting of Shareholders held on June 20, 2022, and accordingly the number of Board of Directors’ meetings on which theattendance rate is based differs from that of other directors.
Member of the Personnel Committee
Member of the Independent Directors Committee

96

97

CONSOLIDATED SIX-YEAR FINANCIAL SUMMARY
Bandai Namco Holdings Inc. and Consolidated Subsidiaries
For the Fiscal Years Ended March 31

Millions of yen, except per share data and main financial indicators

2018

2019

2020

2021

2022

2023

Net sales¥678,312¥732,347¥723,989¥740,903¥889,270¥990,089

Gross profit

241,581262,555

260,948

282,006

356,265

368,656

Selling, general and administrative expenses

166,557

178,510

182,172

197,352

230,769

252,183

Operating profit

75,024

84,04578,77584,654125,496

116,472

Recurring profit*1

75,38086,86379,797

87,612

133,608

128,006

Profit attributable to owners of parent

54,10963,383

57,66548,89492,752

90,345Comprehensive income

56,02469,95253,312

90,527

96,299116,064

Capital expenditures

60,50129,01633,40631,50736,55445,737

Depreciation and amortization

23,545

21,37023,23924,68425,726

28,671

Cash flows from operating activities

55,13879,811

43,13160,483

121,212

95,625

Total assets¥540,490¥612,955¥619,819¥732,782¥862,650¥926,358

Total current assets

350,618

397,951

383,662455,210577,206

592,637

Total current liabilities

136,202

163,893

142,506

175,920

243,362

247,323

Total net assets

387,354429,644454,684

511,433

584,233

652,133¥ 82.10¥ 96.13¥ 87.46¥ 74.19¥ 140.70¥ 136.88

123.00145.00132.00112.00212.00206.00Return on equity (ROE)*2 (%)

14.7

15.5

13.1

10.2

16.9

14.6

Return on assets (ROA)*3 (%)

14.7

15.1

12.9

13.0

16.7

14.3

Selling, general and administrative expenses to
net sales (%)

24.6

24.4

25.2

26.6

26.0

25.5

Operating profit margin (%)

11.1

11.5

10.9

11.4

14.1

11.8

Profit attributable to owners of parent margin (%)

8.0

8.7

8.0

6.6

10.4

9.1

Shareholders’ equity ratio (%)

71.5

70.0

72.5

69.7

67.7

70.4

Debt/equity ratio (Times)

0.00

0.00

0.01

0.05

0.05

0.03

For the Year:

FINANCIAL			 SECTIONCONSOLIDATED SIX-YEAR FINANCIAL SUMMARY100

CONSOLIDATED BALANCE SHEETS

102C ONSOLIDATED STATEMENTS OF INCOME ANDCONSOLIDATED STATEMENTS OFCOMPREHENSIVE INCOME

103

 ONSOLIDATED STATEMENTS OF CHANGESCIN NET ASSETS

104

CONSOLIDATED STATEMENTS OF CASH FLOWSFINANCIAL SECTION99

At Year-End:Per Share Data (Yen):
Basic earnings per share*4
Note: The consolidated financial statements are expressed in yen.
However, solely for the convenience of the reader, the consolidated financial statements as of and for the fiscal year ended
March 31, 2023, have been translated into U.S. dollars at the rateof ¥133.53=U.S.$1, the approximate exchange rate on the Tokyo
Foreign Exchange Market on March 31, 2023. This translation
should not be construed as an indication that the amounts
shown could be converted into U.S. dollars at such rate.

Cash dividends*5

Main Financial Indicators:*1 Recurring profit is a Japanese accounting term denoting income before extraordinary items.
*2 ROE = Profit attributable to owners of parent / Average total shareholders’ equity (= Total net assets – Stock acquisition rights – Non-controlling interests)*3 ROA = Recurring profit / Average total assets*4 The Company conducted a share split with a ratio of three shares for every one share of common stock on April 1, 2023.
Basic earnings per share was calculated assuming that the share split was conducted at the beginning of the fiscal year ended March 31, 2018.
*5 The actual amount of dividends per share before the aforementioned share split is stated.

98

99

CONSOLIDATED BALANCE SHEETS
Bandai Namco Holdings Inc. and Consolidated Subsidiaries
As of March 31, 2022 and 2023

2022

Millions of yen

Thousands of
U.S. dollars (Note)

2023

2023

AssetsLiabilities and net assets

Current assets:

Current liabilities:

Cash and time deposits¥ 279,401¥ 280,226$ 2,098,603

Trade payables

Millions of yen

Thousands of
U.S. dollars (Note)

2022

2023

2023

¥ 99,810¥ 99,244$ 743,239

Short-term borrowings

10,81010,77080,662

Accrued income taxes

22,891

26,022

194,881Contract liabilities

22,912

22,567

169,007

Trade receivables and contract assets

122,742

99,007

741,460

Allowance for doubtful receivables(2,001)(1,086)(8,134)Inventories

124,250

152,223

1,139,996

Provisions

3,745

4,078

30,544

Other current assets

52,81462,266466,311

Other current liabilities

83,191

84,638633,857

		 Total current assets

577,206

592,637

4,438,238

		 Total current liabilities

243,362

247,323

1,852,192

Provisions

249

118

891

5,261

3,710

27,787Long-term liabilities:
Property, plant and equipment:
40,41644,724

334,940

Net defined benefit liability

Amusement facilities and machines

59,29859,443445,167

Deferred tax liabilities

4,148

5,457

40,868Other long-term liabilities

25,393

17,614

131,914

		 Total long-term liabilities

35,053

26,901

201,461		Total liabilities

278,416

274,224

2,053,653

10,000¥10,000

74,889Land

42,86946,476

348,061

Other property, plant and equipment

151,528

172,240

1,289,902

294,112322,885

2,418,072(201,662)(215,426)(1,613,322)

92,450107,458

804,749

		TotalLess accumulated depreciation
		 Net property, plant and equipment

Net assets:
Shareholders’ equity:
Common stock

FINANCIAL SECTION

Buildings and structures

		 Authorized: 2,500,000,000 shares*

1

Intangible assets:		 Issued: 666,000,000 shares*1

Goodwill

14,887

14,561109,048

Capital surplus

52,57452,897396,149

Other intangible assets

19,54021,622

161,926

Retained earnings

482,147

523,923

3,923,635

270,975

Treasury stock, at cost; 6,069,618 shares in 2022, and 5,949,648 shares in 2023*1(2,140)(2,102)(15,742)

542,581584,718

4,378,932

45,03762,671

469,346

901

(656)

(4,913)

Revaluation reserve for land, net of tax(4,016)(4,016)(30,081)

Foreign currency translation adjustments

1,886

11,04982,750Remeasurements of defined benefit plans, net of tax(2,394)(1,915)(14,347)

41,413

67,132502,752

237

282

2,114

		 Total intangible assets

34,42836,183

		Subtotal
Accumulated other comprehensive income:
Valuation difference on available-for-sale securities, net of tax

Investments and other assets:
Investment securities

113,261

140,706

1,053,741

Deferred tax assets

25,732

27,572

206,492

525

596

4,463

19,831

21,860163,708

(784)

(656)

(4,916)

		 Total investments and other assets

158,565

190,078

1,423,490

		Total assets¥ 862,650¥ 926,358$ 6,937,453

Net defined benefit asset
Other investments and assets
Allowance for doubtful receivables

Deferred gains or losses on hedges, net of tax

		Subtotal
Non-controlling interests
		 Total net assets

584,233

652,133

4,883,799

		 Total liabilities and net assets¥862,650¥926,358$6,937,453*1 The Company made partial amendments to the Articles of Incorporation in conjunction with a share split on April 1, 2023. As a result, the total number of authorized shares increased by 1,500,000,000 shares to
2,500,000,000 shares. Total number of issued shares at the end of the period and number of shares of treasury stock at the end of the period have been presented assuming that the share split was conducted at
the beginning of the previous fiscal year.

100

101

CONSOLIDATED STATEMENTS OF INCOME ANDCONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Bandai Namco Holdings Inc. and Consolidated Subsidiaries
Years Ended March 31, 2022 and 2023

Consolidated Statements of Income

Other income (loss):
Interest and dividend income
Interest expense
Foreign exchange gains (losses)
Loss on valuation of derivatives
Share of profit (loss) of entities accounted for using equity method
Loss on investments in deferred compensation plan
Loss on valuation of investment securities
Gain on sale of shares of subsidiaries and associates
Gain (loss) on sales and disposal of fixed assets, net
Loss on impairment of fixed assets
Extra retirement payments
Subsidies for employment adjustment and other related to COVID-19
Other

Profit before income taxes
Income taxes

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

Per share data:*1
Net assets at March 31
Earnings per share:
Basic
DilutedCash dividends applicable to period

2022

2023

2023

¥889,270
533,004
356,265
230,769
125,496¥990,089
621,433
368,656
252,183
116,472$7,414,733
4,653,883
2,760,850
1,888,591
872,258

1,454
(377)
5,519
(244)
618
—
—
2
2,310
(2,994)(1,257)
909
(554)
5,385
130,882
38,29592,587

2,639
(332)
5,010
—
2,323
(144)
(553)
510
(491)
(1,251)
—
132
1,900
9,742
126,215
35,87090,345

19,764(2,490)37,523—
17,403(1,082)(4,144)
3,820(3,682)(9,370)—991
14,231
72,963
945,222
268,632
676,590

(165)

0

0

¥ 92,752¥ 90,345$ 676,589

Yen

U.S. dollars (Note)

2022

2023

2023

¥884.94¥987.58$7.40

140.70—212.00136.88—206.00

1.03
—
1.54

*1 The Company conducted a share split with a ratio of three shares for every one share of common stock on April 1, 2023. Net assets per share and basic earnings per share were calculated assuming that the share
split was conducted at the beginning of the previous fiscal year. Cash dividends applicable to period is based on the amount before the aforementioned share split.

102

Shareholders’ equity

Balance at beginning of year

Commonstock

CapitalsurplusRetainedearnings¥10,000¥52,232¥414,487Cumulative effects of changes
in accounting policies
Restated balance

Accumulated other comprehensive income

Total
shareholders’equityTreasurystock¥(3,905)179
10,00052,232

414,666(3,905)

Thousands of
U.S. dollars (Note)

2022

2023

2023

¥92,587¥ 90,345$676,590(6,505)
(87)
9,323
1,025

17,688(1,554)9,164
478

132,468(11,638)
68,629
3,583

(44)

(57)

(433)

3,711
¥96,299

25,719¥116,064

192,608$869,199¥96,464(165)¥116,063
0$869,195
4

472,993

Cash dividends(25,271)(25,271)Profit attributable to owners of parent

92,752

92,752Change in scope of consolidation foreign currency translation adjustment
Change in ownership interest ofparent due to transactions with
non-controlling interests(108)¥(4,016)¥(7,438)¥(3,419)¥37,701¥ 917¥511,433

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

917

511,612179(25,271)
92,752¥482,147

160

(482)

(591)
(8)

1,772

2,224

2,224

0

0

0

¥(2,140)¥542,581

Net changes of items other thanshareholders’ equity¥52,574

160

(8)

451

¥10,000

160(8)Change in treasury stock accompanying
changes to holdings in companies towhich the equity method is applied

Balance at end of year

Total net
assets atend of year

¥988

(108)

Purchase of treasury stock
Disposal of treasury stock

Total
accumulated
otherRemeasurementsof defined benefit comprehensive Non-controlincome
ling interests
plans, net of tax¥51,587—(6,549)

(87)

—

9,164

1,025

3,552

(197)

3,355

¥45,037¥901¥(4,016)¥ 1,886¥(2,394)¥41,413¥ 237¥584,233

Year ended March 31, 2023
Millions of yen
Shareholders’ equity

Balance at beginning of year

Commonstock

CapitalsurplusRetainedearnings¥10,000¥52,574¥482,147

Accumulated other comprehensive income

Treasury stock

Total
shareholders'equity¥(2,140)¥542,581

Cash dividends(47,310)(47,310)

Profit attributable to owners of parent

90,34590,345

Change in scope of consolidation(1,258)(1,258)Change in scope of consolidation foreign currency translation adjustment
Disposal of treasury stock¥45,037¥ 901¥(4,016)¥523,923¥(2,394)¥41,413¥237¥584,233(47,310)
90,345

44
223

223

(1,214)
223
(4)

42

365

365

0

0

0

¥(2,102)¥584,718Net changes of items other thanshareholders’ equity¥52,897¥ 1,886

Total net
assets atend of year

(4)

323

¥10,000

Total
accumulated
otherRemeasurementsof defined benefit comprehensive Non-controlincome
ling interests
plans, net of tax(4)Change in treasury stock accompanying
changes to holdings in companies
to which the equity method is applied

Balance at end of year

Valuation
Foreigndifference on Deferred gains
currency
Revaluation
available-for- or losses onhedges,reserve for land, translation
sale securities,
adjustments
net of tax
net of tax
net of tax—

Purchase of treasury stock

17,634(1,557)

—

8,940

478

25,495025,495¥62,671¥ (656)¥(4,016)¥11,049¥(1,915)¥67,132¥282¥652,133

Year ended March 31, 2023
Thousands of U.S. dollars (Note)
Shareholders’ equity

Commonstock

Balance at beginning of year

CapitalsurplusRetainedearnings$74,889 $393,730 $3,610,780

Accumulated other comprehensive income

Treasury stock

Total
shareholders'equity$(16,028)$4,063,371

Cash dividends(354,306)(354,306)

Profit attributable to owners of parent

676,589

676,589

Change in scope of consolidation(9,427)(9,427)

Disposal of treasury stock

2,419

Change in treasury stock accompanying
changes to holdings in companies
to which the equity method is applied$337,283$ 6,752$(30,081)$74,889 $396,149 $3,923,635$14,124

Total
accumulated
otherRemeasurementsof defined benefit comprehensive Non-controlincome
ling interests
plans, net of tax$(17,931)$310,147$1,780Total net
assets atend of year

$4,375,298(354,306)
676,589

329
1,672

1,672

(9,097)
1,672

(37)

(37)

(37)

320

2,739

2,739

2

2

Net changes of items other thanshareholders’ equity
Balance at end of year

Valuation
Foreigndifference on Deferred gains
currency
Revaluation
available-for- or losses onhedges,reserve for land, translation
sale securities,
adjustments
net of tax
net of tax
net of tax—

Purchase of treasury stock

Millions of yen¥472,814

Valuation
Foreigndifference on Deferred gains
currency
Revaluation
available-for- or losses onhedges,reserve for land, translation
sale securities,
adjustments
net of tax
net of tax
net of tax

179

Change in scope of consolidation foreign currency translation adjustment

Consolidated Statements of Comprehensive Income

ProfitOther comprehensive income:
Valuation difference on available-for-sale securities, net of tax
Deferred gains or losses on hedges, net of tax
Foreign currency translation adjustments
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of associates accounted forusing equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:
Owners of parent
Non-controlling interests

Millions of yen

Thousands of
U.S. dollars (Note)

FINANCIAL SECTION

ProfitBandai Namco Holdings Inc. and Consolidated Subsidiaries
Years Ended March 31, 2022 and 2023

Year ended March 31, 2022
Millions of yen

Net sales
Cost of sales
		Gross profit
Selling, general and administrative expenses
		Operating profit

CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS$(15,742)$4,378,932

2
132,062(11,666)—

66,953

3,583

190,932

4

190,937$469,346$ (4,913)$(30,081)$82,750$(14,347)$502,752$2,114$4,883,799

103

CONSOLIDATED STATEMENTS OF CASH FLOWSCORPORATE DATA

Bandai Namco Holdings Inc. and Consolidated Subsidiaries
Years Ended March 31, 2022 and 2023

As of March 31, 2023

Cash flows from operating activities:
Profit before income taxes
Depreciation and amortization
Loss on impairment of fixed assets
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in other provision
Increase (decrease) in retirement benefit liability
Interest and dividend income
Interest expenses
Foreign exchange losses (gains)Share of loss (profit) of entities accounted for using equity method
Loss (gain) on valuation of derivatives
Loss (gain) on sales and disposal of fixed assets, net
Loss on disposal of amusement facilities and machines
Loss (gain) on sales of shares of subsidiaries and associates
Loss on valuation of investment securities
Decrease (increase) in trade receivables and contract assets
Decrease (increase) in inventories
Acquisition of amusement facilities and machines
Increase (decrease) in trade payables
Increase (decrease) in contract liabilities
Decrease (increase) in other current assets
Increase (decrease) in other current liabilities
Other
		Subtotal
Interest and dividends received
Interest paid
Income taxes paid
		 Net cash provided by operating activities
Cash flows from investing activities:
Decrease (increase) in time deposits, net
Purchases of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchases of intangible assets
Purchases of investment securities
Proceeds from sales of investment securities
Proceeds from sales of shares of subsidiaries
Purchase of shares of subsidiaries and associatesPurchase of shares of subsidiaries resulting in change in scope of consolidationDecrease from sales of shares of subsidiaries resulting in change in scopeof consolidation
Other
		 Net cash used in investing activities
Cash flows from financing activities:
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Purchase of treasury stock
Proceeds from disposal of treasury stock
Proceeds from share issuance to non-controlling shareholders
Cash dividends paidPurchase of shares of subsidiaries not resulting in change in scopeof consolidation
Other
		 Net cash used in financing activities
Effect of exchange rate changes on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of year
Increase in cash and cash equivalents resulting from merger with
non-consolidated subsidiaries
Cash and cash equivalents at end of year

104

Millions of yen

Thousands of
U.S. dollars (Note)

2022

2023

2023

¥130,882
25,726
2,994
2,218
610
134
187
(1,454)
377
(359)
(618)
244
(2,310)105(2)—(26,577)(15,534)(4,360)16,184
22,270(10,690)(1,380)(2,322)
136,3251,447(377)(16,182)
121,212¥126,215
28,671
1,251
2,431(1,169)191
138(2,639)332(21)(2,323)
(309)
491
228
(510)
553
28,484(26,107)(5,180)(1,595)(894)(1,769)(2,013)(1,604)
142,852
2,579(341)(49,464)
95,625$ 945,222
214,722
9,370
18,212(8,761)
1,435
1,035(19,764)
2,490
(164)
(17,403)(2,318)3,682
1,710(3,820)4,144
213,322(195,515)(38,798)(11,947)(6,698)(13,250)(15,079)(12,014)
1,069,812
19,318(2,558)(370,437)
716,134(848)(19,228)
3,874(7,569)(1,604)
624
49
(984)
—

(2,386)(25,376)99(8,431)
(513)
2
—
(551)
(2,019)(17,873)(190,042)
744(63,146)(3,842)
19—(4,126)(15,124)

—

(114)

(858)

(1,449)(27,136)(1,587)(40,878)(11,886)(306,137)

400
250
(223)
(8)
1,946
—
(25,271)(179)
180(10,382)(4)
0
9(47,310)(1,340)1,348(77,751)(37)2
73(354,306)

(591)

—

—

(1,952)(25,450)
5,328
73,954
203,698(1,837)(59,524)
3,174(1,602)
277,891(13,763)(445,775)
23,775(12,002)2,081,116

238

—

—

¥277,891¥276,288$2,069,113

Corporate Name:

Bandai Namco Holdings Inc.

Head Office:Bandai Namco Mirai Kenkyusho, 5-37-8, Shiba, Minato-ku, Tokyo 108-0014, Japan
URL: www.bandainamco.co.jp/

Capital:¥10 billion

Stock Exchange Listing:Tokyo Stock Exchange, Prime Market (Code number: 7832)

Main Business:

Planning and execution of medium- to long-term management strategies for the Bandai Namco Group;
provision of support for business strategy implementation by Group companies; and management ofbusiness activities

Stock Information:

Number of shares authorized:

2,500,000,000 shares

Number of shares issued:

666,000,000 shares
38,823

Number of shareholders of share units:
Number of shares per trading unit:

100 shares

Note: The Company implemented a share split with an effective date of April 1, 2023, under which each share of stock was split into threeshares. The record date of the share split was March 31, 2023. The above share information reflects the number of shares after the share
split on April 1, 2023 (conducted at a ratio of three shares for every one share of common stock).

Shareholders:Number of shares(Thousands)% of total

The Master Trust Bank of Japan, Ltd. (Trust account)

46,03920.92

Custody Bank of Japan, Ltd. (Trust account)

21,2609.66

JP MORGAN CHASE BANK 380815(Standing proxy: Mizuho Bank, Ltd., Settlement & Clearing Services Division)

10,945

4.97

XIL, LTD.

6,000

2.73

Kyoko Nakamura

5,604

2.55

The Nomura Trust and Banking Co., Ltd.
(Retirement and severance benefits trust; MUFJ Bank, Ltd., account)

4,586

2.08

MAL Ltd.

4,400

2.00

Nintendo Co., Ltd.

3,845

1.75

STATE STREET BANK WEST CLIENT - TREATY 505234(Standing proxy: Mizuho Bank, Ltd., Settlement & Clearing Services Division)

3,564

1.62

KOREA SECURITIES DEPOSITORY-SAMSUNG(Standing Proxy: Citibank, N.A., Tokyo Branch)

3,347

1.52

Number of shares(Trading units)% of total——

Financial institutions

863,450

38.93

Brokerages

65,361

2.95

Other corporate entities

258,517

11.66

Foreign corporate entities and others

773,690

34.87

Individuals, etc.

256,976

11.58

Name

Note: The shareholding ratio is calculated after reduction of the number of treasury stocks.

Ownership Breakdown:

Status of Inclusion in Indexes:

Public entities• Nikkei Stock Average (Nikkei 225)
• TOPIX 100• JPX-Nikkei Index 400• MSCI Japan Empowering Women Index (WIN)• FTSE Blossom Japan Sector Relative Index• iSTOXX MUTB Japan Platinum Career 150 Index©アイドリッシュセブン ©窪岡俊之 THE IDOLM@STER™& ©Bandai Namco Entertainment Inc. ©円谷プロ ©ウルトラマンブレーザー製作委員会・テレビ東京 ©2023 石森プロ・テレビ朝日・ADK EM・東映 ©創通・サンライズ・MBS ©テレビ朝日･東映AG･東映 ©やなせたかし／フレーベル館・TMS・NTV ©BANDAI©バードスタジオ／集英社・東映アニメーション PAC-MAN™＆ ©Bandai Namco Entertainment Inc. ©ABC-A・東映アニメーション ©2002 MASASHI KISHIMOTO ©2002 MASASHI KISHIMOTO / 2007 SHIPPUDEN All Rights Reserved. ©2002 MASASHI KISHIMOTO / 2017 BORUTO All Rights Reserved. ©PROJECT YOHANE©尾田栄一郎／集英社・フジテレビ・東映アニメーション ©尾田栄一郎／2022「ワンピース」製作委員会 ©創通・サンライズ ©尾田栄一郎／集英社 ©尾田栄一郎／集英社・フジテレビ・東映アニメーション ©Bandai Namco Amusement Inc. TM&©Othello,Co. and MegaHouse THE IDOLM@STER™& ©Bandai Namco Entertainment Inc. ©SUNRISE

105

OVERVIEW OF MAIN GROUP COMPANIESAs of August 31, 2023

Bandai Namco Holdings Inc.	Planning and execution of the Bandai Namco Group’s medium- to long-term management strategies; provision of support for businessstrategy implementation by Group companies; management of business activities (Tokyo Stock Exchange, Prime Market)
Bandai Namco Holdings USA Inc.

Regional management company in the Americas, providing support for the implementation of strategies by operating companies, etc.

IP Production Unit
Bandai Namco Filmworks Inc.	Planning, production, and sales of animations and other visual content and of services related to visual products;
management and administration of copyrights and other rights

Bandai Namco Europe S.A.S.	Regional management company in Continental Europe, providing support for the implementation of strategies by operating companies,
etc.; planning, development, and sales of home video games, and planning, development, and distribution of network content as an
operating holding company

Bandai Namco Music Live Inc.	Planning, production, management, and administration of visual and music content; artist discovery and development;
production of live events
Bandai Namco Pictures Inc.

Planning and production of animations and other visual content; management and administration of copyrights and other rights

Bandai Namco Holdings Asia Co., Ltd.	Regional management company in Asia, providing support for the implementation of strategies by operating companies in Asia (excluding China)

SUNRISE BEYOND INC.

Planning and production of animation products

Bandai Namco Holdings China Co., Ltd.

Regional management company in China, providing support for the implementation of strategies by operating companies, etc.

Actas Inc.

Planning and production of animation products

Bandai Namco Holdings UK Ltd.

Regional holding company in the U.K., providing support for the implementation of strategies by operating companies in U.K.

SOTSU CO., LTD.

Planning and production of TV animation programs; rights business; production and agency operations in sports entertainment

Evolving GUNDAM Inc.

Operation of entertainment areas; management of restaurants; sales of toys, models, daily use sundries, and other products; etc.

SUNRISE (SHANGHAI) CO., LTD.

Planning and production of visual content; management and administration of copyrights and other rights, etc.

Entertainment Unit
Digital Business
Bandai Namco Entertainment Inc.	Planning, distribution, and sales of entertainment content, such as network content and home video games
Bandai Namco Studios Inc.

Planning, development, and operation of home video games, network content, PC content, etc.

Bandai Namco Online Inc.

Planning, development, and operation of Internet-based online games, other software, and services

D3PUBLISHER INC.

Planning, development, and sales of home video games; planning, development, and distribution of network content

B.B.STUDIO CO., LTD.

Planning and development of home video games, network content, and amusement machines

Bandai Namco Network Services Inc.

Operation, distribution, digital marketing, and localization of content in network services, as well as technical support and other services

Bandai Namco Sevens Inc.	Development and sales of pachinko and pachislot machines; development, manufacturing, and sales of visual substrates; planning andoperation of other new businesses
Bandai Namco Research Inc.	Development of technologies, demonstration and verification in new business fields for use in Groupwide services for the Bandai Namco
Group
Bandai Namco Nexus Inc.

Development, operation, and analysis of online games, online distribution platforms, and services for IP fans, etc.

Bandai Namco Aces Inc.

Planning, development, and operation of home video games, network content, PC content, etc.

Bandai Namco Shimane Susanoo Magic Inc.

Planning and operation of professional basketball team Shimane Susanoo Magic

Bandai Namco Europe S.A.S.	Regional management company in Continental Europe, providing support for the implementation of strategies by operating companies,
etc.; planning, development, and sales of home video games, and planning, development, and distribution of network content as an
operating holding company

Amusement Unit
Bandai Namco Amusement Inc.

Planning, development, operation, and sales of facilities, machines, and services related to real entertainment

PLEASURECAST CO., LTD.

Planning and operation of entertainment facilities

HANAYASHIKI CO., LTD.

Planning, operation, etc., of ASAKUSA HANAYASHIKI amusement park and ASAKUSA KAGEKIJO multipurpose hall

Bandai Namco Technica Inc.	After-sales service operations related to amusement machines; stocking and sales of pre-owned amusement machines and products fromother companies; development of original products
Bandai Namco Amusement Lab Inc.	Operations related to the research, planning, and development of content for real entertainment facilities and areas related to amusement
machines
Bandai Namco Amusement America Inc.	Planning and production of amusement machines; planning, production, and sales of indoor-use recreation products; exports to Europe
and Japan of amusement machines manufactured by other companies; repair of amusement machines
Bandai Namco Amusement Europe Ltd.

Planning and operation of entertainment facilities, sales of amusement machines

NAMCO ENTERPRISES ASIA LTD.

Planning and operation of entertainment facilities

Bandai Namco Amusement (Shanghai) Co., Ltd.

Planning and operation of entertainment facilities

Affiliated Business Companies

Bandai Namco Entertainment America Inc.

Planning, development, and sales of home video games; planning, development, and distribution of network content

BANDAI LOGIPAL INC.	International distribution, customs brokerage, amusement-related business, product inspection, product manufacturing support, etc.

Reflector Entertainment Ltd.

Planning and production of entertainment content, such as network content, home video games, etc.

LOGIPAL EXPRESS INC.	Truck freight, industrial waste collection and transportation, logistics management, warehouse operations, vehicle maintenance, etc.

Bandai Namco Mobile S.L.

Development and marketing of network content

Bandai Namco Business Arc Inc.

Bandai Namco Studios Singapore Pte. Ltd.

Planning and development of home video games, amusement machines, etc.

J·Broad Co., LTD.	Consulting related to new graduate and mid-career hiring plans; planning, production, and publication of employment public relations
media; acquisition, analysis, and provision of employment-related information; sales of employment aptitude tests for companies;
planning related to public relations and education for colleges, junior colleges, etc.; implementation of practice employment tests forstudents; employment personnel referral business (permit No.: 13- -010991)

Bandai Namco Entertainment (Shanghai) Co., Ltd.	Planning, operation, and production of network content; planning, development, production, and sales of toys, capsule toys, cards, candy
toys, plastic models, prizes, etc.; production and sales of toys, etc., for China
Limbic Entertainment GmbH

Planning and production of entertainment content, such as network content, home video games, etc.

Bandai Namco Will Inc.

Work related to the Bandai Namco Group’s general affairs, personnel, finance and accounting, and information systems

Special subsidiary for the promotion of employment of people with disabilities

Toys and Hobby Business
BANDAI CO., LTD.	Planning, development, manufacturing, and marketing of toys, capsule toys, cards, candy toys, confectionery and foods, apparel, sundries,
and other products
BANDAI SPIRITS CO., LTD.	Planning, development, manufacturing, and sales of plastic models, toys for the mature fan base, character lottery products, special
amusement prizes, etc.
MegaHouse Corporation

Planning, development, production, and sales of toys, candy toys, figures, general games, and other products

CCP Co., Ltd.

Planning, development, production, and sales of consumer electronics, and sundries

SUN-STAR STATIONERY CO., LTD.	Planning, development, production, and sales of character stationery, fancy stationery, schoolchildren’s stationery, creative stationery,
premium stationery, and other sundries
HEART CORPORATION

Planning, production, processing, and wholesale of seasonal special event candy and candy toys

PLEX CO., LTD.

Character design, planning, and design of BANDAI products, planning and sales of in-house products

Bandai Namco Craft Inc.	Planning, development, and manufacturing of toys, plastic models, medical equipment, pachinko and pachislot machines, electronicrelated equipment, etc.; contract operations for various types of inspecting and testing (ISO 17025-accredited testing organization)
Bandai Namco Prize Marketing Inc.

Sales of special amusement prizes, etc.

Bandai Namco Nui Inc.

Planning, development, production, and sales of stuffed toys, textile products, fabric toys, sundries, and other products

ARTPRESTO CO., LTD.

Planning, design, and printing (packages, catalogs, posters, cards); website production, event planning, and administration

Bandai Namco Toys & Collectibles America Inc.

Sales, promotions, event sales, e-commerce, etc., in the Americas for toys, collectible figures, and other products for the mature fan base

BANDAI S.A.S.

Sales of toy-related products in France

BANDAI UK LTD.

Sales of toy-related products in the U.K.

BANDAI ESPAÑA S.A.

Sales of toy-related products in Spain

Bandai Namco Entertainment (Shanghai) Co., Ltd.	Planning, operation, and production of network content; planning, development, production, and sales of toys, capsule toys, cards, candy
toys, plastic models, prizes, etc.; production and sales of toys, etc., for China
Bandai Namco Asia Co., Ltd.

Procurement, sales, importing, and exporting of toys, etc., in Asia (excluding Japan)

BANDAI (SHENZHEN) CO., LTD.	Production guidance and development support for cooperating plants; provision of services related to quality control, etc.;
provision of quality testing, plant auditing, and other services
Bandai Namco Korea Co., Ltd.

Planning and sales of toy-related products in South Korea

Bandai Namco (Thailand) Co., Ltd.

Production of Super Sentai series robot toys as well as molds

Bandai Namco Philippines Inc.

Manufacturing of toys (principally capsule toys, figures, and lower-priced toys), manufacturing of capsule toy vending machines

Bandai Namco Trading (HK) Ltd.	Procurement management for special amusement prizes, character lottery products for convenience stores, etc., and products sold overseas
BANDAI CORPORACION MEXICO, S.A. de C.V.

106

Sales of toy-related products in Mexico107