Investors

From 11:30 on Wednesday, May 14, 2025, the Company held a financial results briefing (online) for the fiscal year ended March 31, 2025.
This page provides an overview of the main questions and answers (summaries) at the briefing.

Financial results briefing for the FY2024 (Summary of major questions by analysts and investors, and answers)

[Content and digital business]

Q1: What kind of business should we specifically envision about the business alliance with Alibaba Japan?

A1: First, at the end of June this year, the Company plans to open a flagship store in Tmall Global, and it will strengthen and expand the distribution of Ultraman merchandise. In addition, we will develop a number of plans to capture domestic inbound demand from both companies. Starting with these measures, we hope to discuss various possibilities with the Alibaba Group in the future.

Q2: You have left the medium-term management plan for the content and digital business announced last year unchanged, but tell us what kind of investments will be made in FY2025 and beyond to achieve the operating profit target of ¥10 billion for FY2027.

A2: In FY2024, we invested a certain amount in strengthening and upgrading our overseas bases in order to build a business foundation for the global market. Temporary expenses are not expected to be incurred in the future. However, we will continue to strengthen in-house merchandise planning and development, promote business, and build a global marketing structure, which will translate into profits.

Q3: Regarding the overseas expansion of the content and digital business, what are the priorities of the regions that will develop in the future? I would also like to know about the respective issues in China, other Asia, North America, etc.

A3: China remains the largest market and an important region. Asia other than China is also experiencing very strong growth, and we intend to strengthen it firmly. In North America, it takes time for large-scale content to be released, so for the time being, we will focus on expanding its recognition through the distribution of past video works. Other considered regions for expansion are India and the Middle East.

Q4: Please tell us what you imagine domestic and overseas profit allocation to be when operating profit target for the FY2027 of ¥10 billion is achieved.

A4: We envision a 50% contribution from overseas, 30% from domestic, and about 20% from the global trading card game business.

Q5: In China, domestically produced anime films are very successful. Are there possibilities for developing Ultraman titles in collaboration with local film production companies in China?

A5: There is a good possibility, and we are already considering it.

Q6: Please tell us the timetable for the future development of visual products globally, following the distribution of Netflix film Ultraman: Rising and the release of the film SHIN ULTRAMAN.

A6: Regarding the development of video products, we will talk firmly about it when the information is released due to the confidentiality agreement with our collaboration partners.

Q7: What are the reasons why you have not been able to expand sales of Ultraman card games in China. What is the future outlook?

A7: In China, card merchandise, which is still highly collectible, is still popular, and the development of trading card games with an emphasis on game function is struggling not only for us, but for all companies. While the Chinese market is characterized by its tendency to be hot and cool, Ultraman series has consistently kept the top of IP popularity, and we intend to continue to develop its business in this area.

Q8: Year 2026 will be the 60th anniversary of the Ultraman series. Are you planning an anniversary for this?

A8: In preparation for 60th anniversary, we plan to launch a major campaign starting July 10, 2025 (Ultraman Day) and continue to roll out a variety of original content, live events, merchandise, and collaborations.

Q9: Regarding IP strategies other than Ultraman, please tell us about future policies such as personnel acquisition, M&A, equity alliances, and business alliances.

A9: Since the past, we have been focusing on strengthening our systems and acquiring human resources, and a succession of outstanding human resources has been gathered within the group. While closely linking the various groups and human resources, we will leverage synergies between our expertise in acquiring IP in the amusement equipment business and operations in the content and digital business to grow the entire business through strengthening merchandise and distribution.

Q10: I would like to learn about the trends in demand and viewing for past Ultraman titles on other global online video distributors, after the hit of Netflix title Ultraman: Rising.

A10: In response to the success of Ultraman: Rising, the past titles have been distributed on various distribution platforms including Amazon Prime Video in the U.S. In other regions, we plan to expand the dubbed versions of the past titles.

Q11: What are your thoughts on the trends of major Chinese licensees by category in FY2024 and the planning for the next fiscal year?

A11: Toys and hobbies, including block toys, continue to grow steadily. As for card games, this was answered in Q7. In the next fiscal year, it is assumed that each category will continue to grow.

[Amusement equipment business]

Q1: Please tell us about the outlook for pachinko/pachislot (hereinafter, “PS”) unit sales in FY2025 and the outlook for smart PS machine penetration.

A1: We forecast that the number of units sold in the market will be about 1.5 million units in FY2025, compared with 1.56 million units in FY2024. Regarding the installation ratio of smart PS machine, smart pachinko is currently around 12% and smart pachislot is around 50%. We forecast that the installation ratio of both smart pachinko and smart pachislot will increase by around 10-15% by the end of the fiscal year.

Q2: What points will change in the function “Lucky Trigger 3.0 Plus,” which starts on July 7, 2025, compared to the past?

A2: Pachinko with a feature “Lucky Trigger” has already won the support of many users. However, titles with a feature “Lucky Trigger 3.0 Plus” will further expand the range of ball designs and game functions. In particular, we believe this will enable the development of titles that will further enhance the chance to experience “Lucky Triggers,” the best conditions expected by customers.

Q3: I would like to ask about regulatory amendment/revised regulations’ thinking from a medium-term perspective.

A3: We are constantly conducting surveys and researching to ensure that we can respond to any and all regulatory amendment/revised regulations we may experience.

Q4: I would like to confirm the results of ACE DENKEN which became your group in FY2024 and the plan for the current fiscal year.

A4: ACE DENKEN’s net sales in the previous fiscal year was about ¥24 billion, and its operating profit was about ¥4 billion. This fiscal year is also planned at the same level. We will create a system that will enable us to propose merchandise and services together with pachinko halls which are our shared customers of the FIELDS Group.

Q5: L Tokyo Ghoul is trading at a high price in PS machine used market. I would like to know what made it a big hit.

A5: The IP, which is popular among a wide range of customers, mainly younger people, is considered to be a major factor behind this success. We have also budgeted and developed videos and performances that take advantage of the strength of this IP. We also believe that by focusing on game function that leverages IP, we have been able to deliver comprehensive high-quality merchandise to customers.

Q6: L Tokyo Ghoul is a private brand title (hereafter, “PB”), but I would like you to tell us about your future PB strategy.

A6: FIELDS’ PS sales target is to sell 12 titles of each pachinko and pachislot per year. In this context, we will allocate allied manufacturer titles and PB in a balanced manner. We will carefully develop IP that are highly regarded by customers, such as L Tokyo Ghoul, with a focus on video and direction, and game function.

Q7: I would like to ask about the progress of the business alliance with Daikoku Denki.

A7: Currently, close discussions are being held between the two companies so that specific announcements can be made within the fiscal year.

Q8: What are the current topics in the amusement equipment business?

A8: In anticipation of a series-based system, we are firmly preparing a merchandise that utilizes a leading IP. We are also preparing big titles to meet users’ expectations, so please stay tuned.

Q9: Given that some titles have moved the timing of sales from the previous fiscal year, do you think a good start has been made in FY 2025 from Q1?

A9: Sales in Q1 have already ended. Almost all of titles sales in Q2 have been completed, and results are better than planned.

Q10: We believe that the high utilization of multiple pachislot machines introduced to the market during the previous fiscal year has improved the brand power of your company's pachislot. Please tell us about future strategies for pachislot, including PB.

A10: Smart pachislot MONSTER HUNTER RISE, L Tokyo Ghoul and others have been hits, and we feel that our brand-name power has been extremely improved. We are committed to developing and marketing high-quality merchandise together with our own group and the manufacturers with which we have business ties. In particular, with regard to IP and video and direction, we want to be prepared by focusing on the highest quality that suits the current trend.

Q11: Despite the stabilization of introduction of new banknotes demand in FY2024, you are planning to achieve FY2025 earnings on par with FY2024. As a background to this, can we expect the spread of smart PS machine to increase in the marketplace?

A11: The penetration of smart PS machine is expected to proceed in line with Q1 conditions. In addition, the background to ACE DENKEN’s earnings forecasts for FY2025, we believe that it will be able to adequately respond to the areas where it has been unable to fulfil orders in the past, as it has an ordering structure and management efficiency that can be handled through sales collaboration with FIELDS.

[Management-related]

Q1: Please tell us why you raised the dividend by ¥10.

A1: We recognized that the increased likelihood of achieving steady business growth and profit growth in the future through annual business activities, and expressed this as an increase in dividends.

Q2: When considering the medium-term cash allocation in the future, what are your thoughts on growth investments, shareholder returns, and measures to improve corporate value?

A2: We believe that strengthening “Merchandise × Distribution” in both the content and digital business segment and the amusement equipment business segment will lead to steady business growth and higher profits. We will actively invest cash generated in the form of “Merchandise × Distribution,” and will also allocate it to shareholder returns. We will implement growth investment and shareholder returns in a balanced manner to increase corporate value.

Q3: Please tell us about the promotion of sustainability management and the strengthening of IR activities in the future.

A3: We believe it is essential to have a robust governance system that will serve as the foundation for proactive investment in business growth. We will realize sustainable growth based on a robust governance system that enables us to invest aggressively in businesses and proactively take risks.
With regard to strengthening IR activities, we will actively disseminate non-financial information, including not only financial information but also the results and achievements of our activities aimed at realizing our business vision. Through dialogue with investors, we will work to ensure that they correctly understand the visibility of the group’s attainment of the ideal image.

Q4: Please tell us about plans for investment in human resources at medium-to-long-term.

A4: We will actively invest in talented personnel who will contribute to the strengthening of Group-wide initiatives, “Merchandise × Distribution,” aimed at steadily growing business and increasing profits.

Q5: Please tell us about the impact of the U.S. tariff policy.

A5: Currently, the supply chain is composed of only a small number of businesses through commerce with the United States, so we do not expect any material impact on us.