CyberStep announced its consolidated financial results for the fiscal year ending May 2024, revealing a significant decline in sales and increased losses across all metrics. The company reported sales of 2.986 billion yen, a 26.4% decrease from the previous fiscal year. The operating loss widened to 1.455 billion yen from 1.158 billion yen, while the ordinary loss grew to 1.52 billion yen from 1.255 billion yen. The net loss also increased to 1.458 billion yen, up from 1.38 billion yen in the prior year.
CyberStep attributed the disappointing performance to lower-than-expected sales from both new and existing titles, including “Toreba,” and rising development costs for new projects. Despite efforts to stabilize operations and expand services through regular campaigns and prize offerings based on popular intellectual properties, the impact on business performance was minimal.
In the Online Game Business segment, sales to external customers fell by 29.0% year-on-year to 2.804 billion yen, resulting in a segment loss of 538 million yen compared to a loss of 512 million yen the previous year. The company cited intense competition for user acquisition and the reevaluation of some operational structures as key factors in the decline.
The Entertainment Business segment saw a brighter outlook, with sales to external customers increasing by 68.7% year-on-year to 181 million yen. However, the segment loss grew to 19 million yen from 8 million yen the previous year. The company focused on sound production for video content and creating material for video distribution platforms, with overall results meeting expectations.
Moving forward, CyberStep plans to continue identifying areas for cost reduction, particularly in the development and management of existing titles, as it navigates a challenging market environment.
