DeNA Co. announced its financial results for the first quarter of fiscal year 2025, ending June 30. The company reported a 6.0% decline in sales revenue to 33.982 billion yen (USD 245.2 million), primarily due to a slowdown in its game business as it shifted focus to existing titles. Despite the revenue decline, DeNA’s operating profit increased by 10.5% to 1.917 billion yen (USD 13.8 million), benefiting from cost reductions, particularly from downsizing its Chinese operations.
The game business experienced a 10.0% drop in sales revenue to 11.215 billion yen (USD 81.0 million). However, segment profit surged by 307.4% to 866 million yen (USD 6.3 million) as the company cut expenses by streamlining its overseas base. User spending decreased as focus shifted away from new title launches.
In the live streaming business, sales fell 5.7% to 10.197 billion yen (USD 73.6 million), and segment losses widened to 576 million yen (USD 4.2 million). Despite increased marketing efforts for “Pococha” and growth in “IRIAM,” costs outpaced revenues.
The sports segment saw a slight decline in sales to 10.026 billion yen (USD 72.4 million), with a 2.6% drop in segment profit to 3.335 billion yen (USD 24.1 million). Fewer professional baseball games were held, yet attendance and related metrics remained strong.
The healthcare and medical business recorded a 6.1% decrease in revenue to 1.841 billion yen (USD 13.3 million) and a loss of 1.376 billion yen (USD 9.9 million), impacted by cyclical factors in the data health plan market. However, the introduction of the “Join” app and ongoing discussions about “Join Mobile Care” reflect potential for future growth.
DeNA did not disclose its full-year earnings forecast, citing challenges in estimating reasonable figures. The company remains optimistic about revenue growth as it continues to evolve its business portfolio.
