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Akatsuki Profit Drops 42% as New Game Fails to Fill Dokkan Battle Revenue Gap

The Tokyo-based mobile game developer reported first-half net income rose on tax benefits
Japan
a 3932.TSE Games 75 Entertainment 100
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Akatsuki reported operating profit of ¥1.72 billion ($11.1 million) for the six months ended September, marking a 42% decline as its gaming division struggled to match prior-year results. Revenue fell 21% to ¥9.92 billion ($64.2 million) for the first half of fiscal 2026.

The company’s games division, which accounts for more than 90% of total revenue, posted sales of ¥9.26 billion ($59.9 million), down 23% from a year earlier. Operating profit in the segment dropped 41% to ¥1.85 billion ($11.9 million).

Akatsuki launched Kaiju No. 8 THE GAME in late August, which attracted 5 million downloads and reached ninth place on domestic app store rankings. Yet the new title couldn’t offset weakness in existing properties, particularly following anniversary celebrations for Dragon Ball Z Dokkan Battle earlier in the period.

The company noted that first-quarter weakness from anniversary event declines proved larger than expected for its flagship titles. Dokkan Battle, which celebrated its 10th anniversary in January 2025, typically sees post-celebration revenue drops, though this year’s pullback was more pronounced.

Net income rose 31% to ¥1.85 billion ($12.0 million) despite the operational decline, aided by tax adjustments and lower losses in other business segments.

Akatsuki’s entertainment and lifestyle division showed strong growth, with revenue jumping 76% to ¥649 million ($4.2 million). The segment benefited from its Slash Gift online lottery service and added subsidiary CRAYON to its consolidated results.

The company declined to provide full-year guidance, citing uncertainty in the mobile gaming market and its strategy of pursuing aggressive investments in new business areas beyond its core gaming operations.

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