DeNA Co., Ltd.

The game business segment profit margin for FY2026 (ending March 2026) is extremely high at 46.1% (revenue of ¥64,356 million, segment profit of ¥29,656 million). The company holds multiple long-term partnership agreements with major IP holders such as Nintendo and The Pokémon Company, and a revenue-share-based development and operation framework with external partners forms a stable earnings base.

Attendance at home games in the 2025 season set a new franchise record. Through a multi-layered revenue structure comprising ticket sales, merchandise, and sponsorships, revenue in the Sports & Smart City business grew 4.5% year on year to ¥32,751 million. The management and operating rights for Yokohama Stadium (contracted in 1978, with a 40-year term from the start of use of the expanded facilities) also underpin stable earnings.

As of the end of FY2026 (ending March 2026), cash and cash equivalents stood at ¥103,046 million, the current ratio was 224.8%, and the ratio of equity attributable to owners of the parent was 69.8%. Operating cash flow secured ¥33,431 million, and the company built up cash on hand even after repaying ¥28,780 million in long-term borrowings, acquiring ¥10,694 million of treasury stock, and paying ¥7,245 million in dividends.

In light of the revenue decline resulting from the fading of the initial surge from Pokémon Trading Card Game Pocket, the company will continue to strengthen the development and operation of titles developed in partnership with external IP partners. The plan for FY2027 (ending March 2027) has been formulated taking into account the drop-off from the prior period's initial surge in the Games Business, and stabilizing revenue through the launch of new titles and the long-term operation of existing titles is a challenge.

In 2025, the company established DeNA AI Link Inc. and launched an AI consulting and solutions business. It also set up an organization for developing AI applications for general users. The loss in the New Businesses & Other segment has expanded to ¥1,550 million, and the business is currently in an investment-ahead phase. While bearing risks associated with dependence on external LLMs and other technologies, the company positions AI utilization as the core of its mid- to long-term business portfolio strengthening.

BASEGATE Yokohama Kannai had its grand opening in March 2026, bringing two directly operated facilities into service. The transition from the pre-opening cost phase to the full-scale operation phase is expected to generate synergies with sports business revenue. Against the backdrop of the Yokohama DeNA BayStars achieving the highest attendance in the team's history, the company will continue to pursue multi-layered revenue expansion through admission fees, sponsorships, merchandise sales, and other sources.

The policy is to concentrate on three initiatives—domestic and overseas expansion of the medical professional communication app "Join" and Join Mobile Clinic—while reducing fixed costs. The segment loss improved from ¥3,619 million in the prior period to ¥2,329 million, but a goodwill impairment of ¥9,614 million (Allm Inc.) was recorded, making the erosion of business value evident. Further scrutiny of the outlook for future profitability remains a challenge.

Positioning FY2027 (ending March 2027) as a "period of management transformation," the company will prioritize updating its strategy regarding the group's business portfolio and business creation. It is promoting improved capital efficiency through share buybacks (expenditure of ¥10,694 million in FY2026 (ending March 2026)) and the sale of securities (proceeds of ¥50,909 million). While maintaining a dividend policy targeting a DOE of 3% (¥66 per share in FY2026 (ending March 2026)), the company will continue its policy of allocating retained earnings to growth investments.