Marvelous Inc. reported revenue jumped 57.5% to ¥20.28 billion (US$131.7 million) in the fiscal second quarter ended September, driven by new game releases and its amusement machine business. Yet operating profit collapsed 61.8% to ¥226 million (US$1.5 million) as heavy development spending erased gains from higher sales.
The digital content division, which posted revenue growth of 98.7% to ¥12.41 billion (US$80.6 million), recorded a segment loss of ¥1.07 billion (US$6.9 million), reversing a ¥104 million profit from the prior year. While “Rune Factory: Guardians of Azuma” and a new “Story of Seasons” title each topped 500,000 units sold, the company absorbed substantial upfront costs for console game development. Another new release, “DAEMON X MACHINA TITANIC SCION,” underperformed expectations.
The amusement business delivered more consistent results, with revenue climbing 36.3% to ¥5.98 billion (US$38.8 million) and profit advancing 41.2% to ¥1.70 billion (US$11 million). Pokemon-branded arcade machines continued their momentum in both domestic and international markets.
Marvelous maintained its full-year forecast of ¥35 billion (US$227 million) in revenue and ¥2 billion (US$13 million) in operating profit.
