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Marvelous Reports Mixed Results as Gaming Sales Slump, Amusement Gains

The company's digital content revenue drops 22% while Pokemon machines drive overseas growth
Japan
m 7844.TSE Games 75 Tech 350 Entertainment 100
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Japanese game developer Marvelous posted contrasting results across its business segments, with digital content sales declining sharply while its amusement division showed resilience in overseas markets.

Digital content revenue fell 22.1% to ¥6.25 billion ($41.7 million) in the fiscal first half, with segment profit tumbling 33.3% to ¥104 million ($693,000). The company attributed the decline to a lack of major consumer game releases during the period.

The amusement division painted a different picture, with sales rising 2.7% to ¥4.39 billion ($29.3 million) despite a 24.3% profit decline to ¥1.21 billion ($8.1 million). The profit drop stemmed from costs associated with upgrading Pokemon gaming cabinets.

The new “Pokemon Frenda” amusement machine, launched in July, showed early promise by distributing 10 million game picks in its first month. To capitalize on international opportunities, Marvelous established a Singapore subsidiary in August as its Asian headquarters and plans a Chinese representative office.

Looking ahead, Marvelous aims to revitalize its gaming segment with the November release of action game “FARMAGIA” and the upcoming “Rune Factory: Dragon Country” scheduled for spring 2025.

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