Earnings Presentation for the Q1 FY3/2019: Question & Answer Session (Summary)

FIELDS CORPORATION held a financial presentation for the Q1 of the FY3/2019 at the E-Space Tower (Shibuya-ku, Tokyo) on August 10, 2018 (Friday) at 11:30 am.
This page provides an overview of the main question & answer session (summary) at the financial presentation.

Question & Answer Session (Summary)

Q1. What was the reason for orders of "CR ULTIMATE JUDGEMENT" far exceeding projections?

A1. Our understanding is that it was due to the machine spec in old regulation machines being especially rated highly by pachinko halls.

Q2. The Company issued a news release about the termination of a shareholders agreement with Universal Entertainment Corporation, but what is the situation with other allied manufacturers?

A2. The Company is continuing both in development and sales with other allied manufacturers.

Q3. Director Kurihara is present at today’s presentation. What role does he play at FIELDS?

A3. As head of the Group Management Strategy Office, he focuses on the planning and operation of the medium-to-long-term strategies of our four companies, to enhance the synergies of our group companies. In addition, he is working to support the acquisition of important copyrights and to examine new businesses.

Q4. With Chairman Yamamoto concurrently serving as president, what changes have there been to the business situation of group companies?

A4. I feel that the speed of management decisions and the impact of resolute decision-making have been significant as a consequence of Yamamoto’s return to the position of president. Previously, we concentrated on developing each of our separate businesses, but going forward, we will have to work together as a Group to change to a structure of supporting each other. As it stands now, we are building mechanisms for close cooperation.

Q5. Am I right in understanding that sales in the pachinko/pachislot (PS) businesses will be weighted in the H2 of the year? Also, are there any risk factors, such as delays due to certification by the Security Communications Association?

A5. We have had to rebuild some models that had been prepared under old regulations, and so sales of most new PS machines are concentrated in the H2 of the year. Furthermore, a low passing test ratio for new regulation machines is a conceivable risk factor. Measures we have taken for this include increasing the number of applications per product more than before, and dealing with general sales of other products if a product does not pass.