GLOE Inc., the Japanese esports event management company, swung to a profit in fiscal 2025 after expanding its influencer marketing and overseas client base, though rising costs tempered bottom-line gains.
The Tokyo-based firm reported net income of ¥3 million ($19,000) for the year ended October, compared with a loss of ¥19 million in the prior period. Revenue climbed 25.8% to ¥2.84 billion ($18.3 million), while operating profit edged up 11.6% to ¥18 million ($116,000).
GLOE, a subsidiary of KAYAC Inc. that rebranded from Wellplayed Rizest in February 2024, attributed the growth to stronger demand for influencer-hosted gaming events and expanded overseas contracts. Its agency division also branched into community management, social media marketing, and out-of-home advertising.
The gains came despite higher expenses from absorbing a subsidiary, relocating headquarters, and booking precautionary bad debt provisions. Management characterized these outlays as necessary investments for future expansion.
For fiscal 2026, the company projects revenue of ¥3.35 billion ($21.6 million), up 17.8%, with operating profit expected to nearly triple to ¥50 million ($323,000). That optimistic outlook implies a price-to-earnings ratio exceeding 380 times at current share prices, suggesting investors are pricing in aggressive growth assumptions that may prove difficult to achieve in Japan’s still-developing competitive gaming sector.
