TOKYO THEATRES COMPANY,INCORPORATED
9633・Standard Market・Real Estate
Visual/Media-Related Business
A segment engaged in movie theater operations, distribution/production, and Solutions Business, continuing to post losses
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment sales (full year) | ¥3,457 million | ¥3,371 million | ↑ |
| Segment operating income/loss (full year) | -¥555 million | -¥420 million | ↓ |
| Segment assets (fiscal year-end) | ¥1,370 million | ¥2,430 million | ↓ |
| Depreciation expense (full year) | ¥26 million | ¥35 million | ↓ |
| Number of movie theaters/screens (fiscal year-end) | 6 theaters, 16 screens | 7 theaters, 18 screens | ↓ |
| Impairment loss (full year) | ¥107 million | ¥270 million | ↓ |
Business Details
Comprises three businesses: movie theater operations (mini-theater operation), film and drama production and distribution, and comprehensive advertising services such as cinema advertising and event planning (Solutions Business). Operated by the Company and its subsidiary Axy Corporation. Although it accounts for approximately 17% of consolidated Group sales, the segment continues to record operating losses due to the heavy burden of amortization expenses for invested films. As of the end of FY2026 (ending March 2026), the number of movie theaters stood at 6 theaters with 16 screens (down 1 theater and 2 screens from the previous fiscal year-end).
Recent Overview
Despite higher theater revenue, operating loss expanded by ¥135 million year on year due to increased amortization expenses
In the Visual/Media-Related Business for FY2026 (ending March 2026), the Movie Theater Business achieved higher revenue supported by high-occupancy titles, while the Film Production & Distribution Business saw both a decline in subtitle/dubbing production revenue and an increase in amortization expenses for invested films, causing the segment's overall operating loss to expand to ¥555 million (from ¥420 million in the prior fiscal year). The number of movie theaters decreased to 6 theaters with 16 screens, down 1 theater and 2 screens from the prior fiscal year-end. Impairment loss narrowed to ¥107 million (from ¥286 million in the prior fiscal year).
Key Products
Growth Drivers
- Expansion of high-quality in-house planned productions in the Film Production & Distribution Business and stabilization of investment recovery rates
- Expansion of orders in peripheral businesses (Solutions Business) such as cinema advertising and digital signage
- Strengthening of the rights business for streaming services (SVOD) to expand secondary usage revenue
- Acquiring new customers by clarifying movie theater concepts and securing strong content
- Strengthening the theatrical lineup to capture demand from younger audiences for Japanese films and anime titles
- Diversification of revenue sources through redefining the business domain from "film" to "visual entertainment" (targeting profitability over the medium term)
Risks
- Risk of recording amortization expenses in excess of distribution revenue due to poor box-office performance of invested films (an operating loss of ¥555 million was recorded in FY2026, ending March 2026)
- Structural pressure on box-office revenue due to the shrinking domestic film market and the decline of foreign films
- Structural decline in movie theater attendance due to a shift in viewing toward streaming services
- Continued fixed cost burden and reduced theatrical scale due to theater closures (Cine Libre Ikebukuro)
- Impact on consumer sentiment from deteriorating external conditions such as Middle East tensions and U.S. trade policy
Last updated: June 25, 2026