Konami Reports Poor First Quarter

Representatives from Konami have released details of the company’s first quarter financial results, for the period ended June 30. During this time the company saw a 17% decline in net revenues and a fall in net income of over 90%. Revenues of ¥47.3 billion ($422.7m) were reported, down from ¥57.4 billion ($512.9m) at the same time last year. Operating income fell by 69% to ¥2.95 billion ($26.4m) and net income fell to ¥264 million ($2.4m). The largest decline was a 60% drop in the company’s toy and hobby division, but the video game sector also fell by around 40%, with revenues dropping from ¥13.1 billion ($117.1m) to ¥9.1 billion ($81.3m). In contrast the company’s arcade division recorded growth of 36% and the gambling division an increase of 28%. The company’s predictions for its full year results remain unchanged with revenues expected to reamain almost the same as last year at ¥275 billion ($2.5bn), with operating income falling slightly to ¥28 billion ($250.1m) and net income to ¥15 billion ($134.0m). Source: iWon