Bank of Innovation (BOI) has announced a steep decline in its financial outlook for the fiscal year ending September 2024. The company forecasts sales of 13.65 billion yen, a 36.0% decrease from the previous year, and a net profit of 800 million yen, down 75.7% year-on-year. Operating and ordinary profits are also expected to drop by over 72%.
The sharp revenue decline is attributed to slowing sales from the company’s hit game “Memento Mori,” which had experienced a surge upon its initial release. While the game continues to contribute to revenue, it has not been enough to match the previous year’s performance. Despite efforts to manage costs, the reduced revenue had a significant impact on the company’s overall profitability.
For the fourth quarter, BOI expects sales to fall by 16%, with operating and ordinary profits nearly wiped out and a net loss of 51 million yen.
The company had previously refrained from providing a full-year forecast due to the volatility in the smartphone gaming market but has now been able to establish more concrete expectations for its financial performance.
