Konami Holdings Corporation Revision of the Consolidated Earnings Forecast (4233B)

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RNS Number : 4233B

Konami Holdings Corporation

30 January 2020

 
                                      January 30, 2020 
 
 FOR IMMEDIATE RELEASE 
                    KONAMI HOLDINGS CORPORATION 
                    Takuya Kozuki, Representative 
                     Director, President 
   Shares listed:   Tokyo and London Stock Exchanges 
 
         Contact:   Junichi Motobayashi, Corporate 
                     Officer, General Manager, Finance 
                     and Accounting 
             Tel:   [phone] 
 
 
News Release: Notice Regarding Revision of the Consolidated Forecast 
              for the Fiscal Year Ending March 31, 2020 
 

KONAMI HOLDINGS CORPORATION (the "Company") hereby announces the revision of its consolidated earnings forecast for the fiscal year ending March 31, 2020, which was released on May 9, 2019 in its Consolidated Financial Results for the Year Ended March 31, 2019, in light of its recent business performance.

   1.    Revision of the Consolidated Forecast for the Fiscal Year Ending March 31, 2020 
 
    For the fiscal year ending March 31, 2020 (from April 1, 2019 
     to March 31, 2020) 
--------------------------------------------------------------------------------------------- 
                                                        (Millions of yen, except percentages) 
                      Revenue  Operating  Profit before  Profit attributable  Basic earnings 
                                 profit    income taxes       to owners          per share 
                                                            of the parent      (attributable 
                                                                                 to owners 
                                                                               of the parent) 
                                                                                   (yen) 
                      -------  ---------  -------------  -------------------  --------------- 
  Previous forecast 
   (A) Released 
   on May 9, 2019     270,000     47,000         46,000               30,000           221.84 
                      -------  ---------  -------------  -------------------  --------------- 
  Revised forecast 
   (B)                263,500     33,000         32,000               21,000           155.29 
                      -------  ---------  -------------  -------------------  --------------- 
  Change (B - 
   A)                 (6,500)   (14,000)       (14,000)              (9,000) 
                      -------  ---------  -------------  -------------------  --------------- 
  Percentage 
   Change (%)          (2.4)%    (29.8)%        (30.4)%              (30.0)% 
                      -------  ---------  -------------  -------------------  --------------- 
 <For reference> 
--------------------------------------------------------------------------------------------- 
  Results for 
   the year ended 
   March 31, 2019     262,549     50,522         50,310               34,217           252.86 
                      -------  ---------  -------------  -------------------  --------------- 
 
   2.    Reasons for the Revision 

The Company revised its consolidated earnings forecast for the fiscal year ending March 31, 2020 as stated above since it predicted the earnings results would finish below its previous forecast, mainly due to recognition of impairment loss for property, plant and equipment and goodwill amidst the increasingly competitive environment surrounding the sports business, looking to improve and strengthen our profit structure, and timing revision of product launches.

   3.    Dividend forecast 

The Company will maintain its annual dividend to be 76.00 yen per share, which includes an interim dividend of 38.00 yen per share and a year-end dividend of 38.00 yen per share. The payment of dividends for the fiscal year ending March 31, 2020 will maintain the same level of regular dividends for the year ended March 31,2019 which was based on the record profits achieved.

End

Cautionary statement with respect to forward-looking statements and other matters:

Statements made in this document with respect to our current plans, estimates, strategies and beliefs, including the above forecasts, are forward-looking statements about our future performance. These statements are based on management's assumptions and beliefs in light of information currently available to it and, therefore, you should not place undue reliance on them. A number of important factors could cause actual results to be materially different from and worse than those discussed in forward-looking statements. Such factors include, but are not limited to: (i) changes in economic conditions affecting our operations; (ii) fluctuations in currency exchange rates, particularly with respect to the value of the Japanese yen, the U.S. dollar and the Euro; (iii) our ability to continue to win acceptance of our products, which are offered in highly competitive markets characterized by the continuous introduction of new products, rapid developments in technology and subjective and changing consumer preferences; (iv) the timing of the release of new game titles and products, especially game titles and products that are part of historically popular series; (v) our ability to successfully expand internationally with a focus on our Digital Entertainment, Amusement, and Gaming & Systems businesses; (vi) our ability to successfully expand the scope of our business and broaden our customer base through our Sports business; (vii) regulatory developments and changes and our ability to respond and adapt to those changes; (viii) our expectations with regard to further acquisitions and the integration of any companies we may acquire; and (ix) the outcome of existing contingencies.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

END

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January 30, 2020 03:54 ET (08:54 GMT)