Universal Entertainment Corporation
6425・Standard Market・Machinery
Gaming Machines Business
Core business engaged in the research, development, manufacturing, and sales of pachislot and pachinko machines
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (Q1 FY2026, ending December 2026) | ¥12,841 million | ¥8,750 million (Q1 FY2025, ended December 2025) | ↑ |
| Operating profit (Q1 FY2026, ending December 2026) | ¥4,483 million | △¥1,199 million (Q1 FY2025, ended December 2025) | ↑ |
| Adjusted EBITDA (Q1 FY2026, ending December 2026) | ¥4,952 million | △¥840 million (Q1 FY2025, ended December 2025) | ↑ |
| Units sold (Q1 FY2026 results, ending December 2026) | 26,378 units | – | ↑ |
| Units sold (orders received for Q2 FY2026, ending December 2026) | 60,000 units | – | ↑ |
| Net sales (full year FY2025, ended December 2025) | ¥56,708 million | – | ↑ |
| Operating profit (full year FY2025, ended December 2025) | ¥10,662 million | – | ↑ |
Business Details
This is the Group's core business, handling the research, development, manufacturing, and sales of pachislot machines, pachinko machines, and Peripheral Equipment on an integrated basis. The parent company handles planning, development, and sales, while several manufacturing subsidiaries handle production. Riding the tailwind of the spread of smart gaming machines, the Gaming Machines Business achieved net sales of ¥12,841 million and operating profit of ¥4,483 million in the first quarter of FY2026 (ending December 2026), marking a substantial turnaround to profitability, and it serves as the pillar supporting the Group's overall earnings.
Recent Overview
New Smart Slot models well received; Q1 net sales up 46.8% year on year with a turnaround to operating profit
In the first quarter of FY2026 (ending December 2026), the Gaming Machines Business achieved net sales of ¥12,841 million (up 46.8% year on year) and operating profit of ¥4,483 million (compared to an operating loss of ¥1,199 million in the same period of the prior year), marking a substantial turnaround to profitability. The successive releases of Smart Slot Hanabi and Smart Slot Thunder V were well received in terms of both sales and utilization. Conformance testing for machine models proceeded as planned, and unit sales exceeded the same period of the prior year. For the second quarter, a significant buildup is expected with 60,000 units already on order, along with the upcoming launch of major titles such as Smart Slot Million God -Trajectory of the Gods-.
Key Products
Growth Drivers
- Expanding new machine sales share of Smart Pachislot Machines and continued steady utilization
- Diversification and expansion of the pachislot market driven by the emergence of Bonus Trigger (BT)-equipped machines
- Revitalization of the pachinko market through accelerated market launches of Smart Pachinko machines equipped with LT3.0 Plus
- Attractive product lineup leveraging popular IP content (Million God series, Madoka Magica, Hanabi, Thunder V, etc.)
- Technological differentiation and utilization of intellectual property through strengthened patent strategy
- Revenue visibility from a large order backlog of 60,000 units already received for the second quarter
Risks
- Long-term decline in the gaming population and shrinkage in the number of pachinko hall establishments due to the declining birthrate and diversification of leisure activities
- Changes in the development and sales environment due to tightened regulations (such as revisions to gaming machine regulations)
- Risk of rising manufacturing costs due to fluctuations in raw material costs and resource prices
- Increasing burden of development investment associated with the transition to smart gaming machines
- Intensifying competition for sales share with competitors
- Overall pachinko machine utilization remaining sluggish, with total unit sales on a declining trend
Last updated: March 30, 2026