GREE Holdings, Inc.
3632・Prime Market・Information & Communication
Business
GREE Holdings, Inc. is a Tokyo Stock Exchange Prime Market-listed internet company, founded in 2004, which transitioned to a holding company structure in January 2025. Operating as a group of 25 companies including 24 consolidated subsidiaries, it centers on the Games Business (approximately 65% of net sales composition), which focuses on the development and operation of smartphone games, while diversifying into the Metaverse Business, which encompasses the smartphone metaverse "REALITY" and VTuber production offices, the IP Business centered on anime and manga IP, the DX Business providing marketing support and SaaS, and the Investment Business targeting domestic and overseas VCs and startups. Its main customers span a wide range, including smartphone game users (via Apple and Google), corporate clients, and VTuber fan bases.
Business Model
Main revenue comes from in-app purchases in smartphone games (accounting for approximately 45% of net sales via Apple and Google). The Metaverse Business is composed of platform revenue from REALITY and VTuber talent management revenue; the DX Business consists of recurring SaaS and marketing support fees; and the Investment Business comprises VC distribution revenue and returns from startup investments. The structure reinvests stable cash flow from the Games Business into growth areas.
Company Strengths
As of the end of FY2025 (ending June 2025), cash and cash equivalents stood at ¥83,901 million, with an equity ratio of 70.0% and a current ratio of 543.5%, indicating extremely high financial soundness. The company has sufficient financial capacity to fund new business investments, M&A, and shareholder returns with its own funds, giving it strong resilience against changes in the external environment.
Operating profit for the Metaverse Business in FY2025 (ending June 2025) was ¥660 million (up 220.1% year on year). Improvements in the earnings structure through cost efficiency gains succeeded, achieving both a 14.2% increase in net sales and rapid profit expansion simultaneously. The business has maintained profitability while continuing to invest actively in the VTuber business, and stabilization of its earnings base is progressing.
The Games Business secured net sales of ¥36,936 million, operating profit of ¥4,596 million, and an operating margin of 12.4%. The company has built a stable, long-term operating structure for existing smartphone games and is promoting multi-platform expansion, including the release of new titles in FY2025 (ending June 2025). The business functions as a core earnings pillar responsible for the majority of the group's overall profit.
ENVALITH's Perspective
Performance Trend
Annual performance peaked in FY2023 (ended June 2023) with net sales of ¥75,440 million and operating income of ¥12,498 million, then declined for three consecutive fiscal years, shrinking to net sales of ¥57,111 million, operating income of ¥4,860 million, and net income of ¥1,194 million in FY2025 (ended June 2025). In the nine-month cumulative period through Q3 of FY2026 (ending June 2026), net sales came to ¥38,444 million (down 10.9% year on year) and operating income was ¥2,420 million (down 34.7% year on year), indicating that the contraction in core business earnings has continued. On the other hand, as an external factor, a foreign exchange loss of ¥929 million recorded in the same period of the previous year turned into a foreign exchange gain of ¥815 million in the current period, causing ordinary income to improve to ¥3,210 million (up 11.1% year on year), and net income attributable to owners of the parent surged to ¥1,912 million (up 112.4% year on year). Reductions in selling, general and administrative expenses (from ¥18,814 million to ¥15,589 million) also contributed to the improvement in profit. Consolidated earnings forecasts have not been disclosed.
Growth Strategy
Rebuilding the revenue portfolio around three growth businesses—VTuber, DX, and IP—while maintaining stable earnings from the Games Business
The company is pursuing cost efficiency and revenue stabilization through long-term operation of existing titles, while continuing development of new titles. Cumulative operating margin for the third quarter was maintained at approximately 11.9%, and the business is functioning as a stable source of cash flow for the group.
The company continues to expand REALITY's content and features, pursue global expansion, and invest actively in the VTuber Production Business. Cumulative results for the third quarter showed year-on-year net sales growth of +7.9% and operating profit growth of +60.6%, progressing as planned and establishing the business as a growth segment.
Centered on the IP Business Division established in April 2025, the company is advancing licensing and merchandising development of anime and manga IP. Currently, investment for launching the new business is preceding revenue generation, resulting in a cumulative third-quarter operating loss of ¥56 million; monetization remains a future challenge.
The company is building up recurring revenue through the two pillars of DX Solutions and DX Consulting. Cumulative third-quarter results showed year-on-year net sales growth of +6.5% and an operating margin of 12.5%, progressing steadily as planned and functioning as a stable profit base for the group.
The company has strengthened its investment structure by adding six new fund-related subsidiaries, including GREE Capital US Holdings. However, cumulative third-quarter results were weak, with an operating loss of ¥858 million due to reduced distributions from invested funds and revaluation of held shares. Achieving returns is premised on a recovery in market conditions.
Last updated: July 17, 2026