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Akatsuki’s Q1 Results Show Revenue Growth Despite Continued Losses

Investment in new titles and strategic projects pressures earnings but boosts sales
Japan
a 3932.TSE Games 75 Entertainment 100
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Akatsuki announced its financial results for the first quarter of the fiscal year ending March 2025, reporting sales of 4.131 billion yen (approximately US$28.5 million), an increase of 14.4% year-on-year. Despite this growth, the company recorded an operating loss of 775 million yen, an ordinary loss of 325 million yen, and a net loss of 271 million yen. While losses continue for the second consecutive year, they have narrowed compared to the same period last year. The company attributes the pressure on earnings to significant development investments in new titles within its core game business.

Akatsuki has been focusing on large-scale projects that incorporate 3D, multi-device, and multi-language content, while actively managing existing game titles. The company’s strategy involves prioritizing high-quality user experiences and investing heavily in research and development to accelerate new title creation.

In the game business, sales reached 3.739 billion yen, up 11.6% year-on-year. Despite the increase in sales, the segment posted a loss of 627 million yen due to higher R&D expenses. The flagship title, “Dragon Ball Z Dokkan Battle,” in collaboration with Bandai Namco Entertainment, experienced a successful domestic campaign, boosting its store sales rankings. Similarly, the collaboration with Square Enix on “Romancing SaGa Re;Universe” and Koei Tecmo Games’ “Atelier Lesliana” have maintained stable operations.

The comics business saw substantial growth, with sales rising 56.4% to 276 million yen. The segment reported a minimal loss of 2 million yen, a significant improvement from the previous year. Akatsuki continues to develop original works in collaboration with well-known creators and expand their distribution on other platforms. The company has also signed a partnership with NTT Docomo to launch a digital comic distribution service in the United States in the fall of 2024.

Other segments recorded sales of 115 million yen, a 40.6% increase from the previous year, with a segment loss of 70 million yen. Akatsuki’s continued focus on innovation and strategic partnerships is expected to support its long-term growth objectives.

 

 

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