Gamecard-Joyco Holdings,Inc.
6249・Standard Market・Machinery
Business
Game Card Holdings Corporation (name changed in October 2025) operates the prepaid card system-related business for pachinko halls as a single segment through its consolidated subsidiary, Nihon Game Card Co., Ltd. The main product categories are: sales of equipment such as card units, sales of IC Cards / IC Coins, collection of System Usage Fees, and Construction & Maintenance—four categories in total. Its main customers are pachinko halls (member stores), and it maintains a nationwide sales network through agents. The company was established in 2011 through a joint stock transfer between Nihon Game Card Co., Ltd. and Joyco Systems, and is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
Revenue is broadly divided into a "flow-type" and a "stock-type" category. Flow-type revenue comes from sales of equipment such as card units (sales of ¥18,694 million in FY2026 (ending March 2026)), which fluctuates in line with the adoption cycle of smart pachinko/pachislot machines. Stock-type revenue consists of Information Management Fees for IC Cards / IC Coins (collected from member stores based on players' spending amounts) and System Usage Fees (¥3,903 million for the same), which generate continuous revenue as long as member stores remain operational. By combining these two revenue streams, the company maintains a stable revenue base even as it is affected by waves of demand for equipment replacement.
Company Strengths
The prepaid card system serves as core infrastructure for the pachinko/pachislot industry, and the cost for member stores to switch systems is high. Information Management Fees and System Usage Fees for IC Cards / IC Coins (totaling ¥6,291 million in FY2026 (ending March 2026)) constitute stock-type revenue linked to member store operations, and the contract structure allows a certain level of revenue to be secured even when equipment sales decline.
As of the end of FY2026 (ending March 2026), total assets stood at ¥66,314 million, against net assets of ¥60,376 million and total liabilities of ¥5,938 million, maintaining virtually debt-free management. The company holds investment securities of ¥12,928 million, and non-operating income such as interest and dividends received boosts ordinary income above operating income (ordinary income of ¥5,083 million vs. operating income of ¥4,534 million), establishing this financial structure.
Centered on the planning and development of units compatible with smart pachinko/pachislot machines, R&D expenses in FY2026 (ending March 2026) totaled ¥1,663 million, and capital expenditures totaled ¥1,644 million (of which ¥1,304 million was for software development, etc.). The company also concurrently develops replacements for components that have been discontinued or are difficult to procure, ensuring product lifecycle management and technological continuity in-house.
ENVALITH's Perspective
Performance Trend
Revenue surged from ¥11,447 million in FY2022 to ¥21,691 million in FY2023 and ¥36,289 million in FY2024, driven by special demand for smart pachinko machines, but growth stalled at ¥37,946 million in FY2025 (roughly flat), before plunging to ¥25,385 million in FY2026 (down 33.1% year on year). The operating margin has also continued to decline, from 29.0% in FY2024 to 23.8% in FY2025 and 17.9% in FY2026. External factors included slower-than-expected adoption of smart pachinko machines, compounded by a direct hit from halls curbing capital expenditure amid rising utility and labor costs. Selling, general and administrative expenses increased from ¥5,839 million in the prior period to ¥6,295 million, with the fixed cost burden weighing on profit. The company's forecast for FY2027 (ending March 2027) (revenue of ¥21,000 million, operating profit of ¥3,000 million) suggests a reversion to FY2022 levels, and the timing of a bottoming-out remains uncertain.
Growth Strategy
Aiming for a recovery after bottoming out through three pillars: development for smart gaming machines, strengthening of the procurement system, and new business development
The penetration of smart pachislot machines has remained solid, and the company continues to develop and supply compatible equipment and systems. For smart pachinko, penetration has fallen short of expectations, but product development continues with a view to medium- to long-term expansion. Software in progress surged from zero in the previous period to ¥1,304 million, reflecting advance investment in next-generation products.
To reduce the risk of dependence on specific suppliers, the company is promoting the establishment of a multiple-sourcing system and improvements to procurement processes. Cost of sales for FY2026 (ending March 2026) declined significantly to ¥14,555 million (from ¥23,089 million in the previous period) in line with the decrease in sales, and the gross profit margin improved to 42.7% (from 39.1% in the previous period). The effects of procurement cost management are becoming apparent to a certain extent.
To address the risk of structural contraction in the pachinko market, the company is exploring entry into new business areas through M&A and capital and business alliances. In FY2026 (ending March 2026), investment securities increased by ¥5,493 million, from ¥7,434 million to ¥12,928 million, reflecting more active strategic investment. However, the contribution of specific new businesses to earnings remains limited at this stage.
Last updated: July 19, 2026