Pole To Win Holdings cut its full-year profit outlook by more than 75% after struggling to secure new contracts in both domestic and international markets, the video game quality assurance provider said December 9.
The Tokyo-listed company now expects operating profit of just ¥279 million ($1.8 million) for the year ending January 2026, down from a previous forecast of ¥1.12 billion. Revenue projections were trimmed to ¥48.5 billion ($320 million), a 2.4% reduction from earlier guidance.
The firm also warned it would swing to a net loss of ¥316 million, reversing its prior expectation for a modest profit.
Results for the nine months through October painted a similarly bleak picture, with operating profit tumbling 72% year-over-year to ¥178 million on flat revenue of ¥37 billion.
Bright spots were limited. The domestic solutions unit posted a 4.8% sales gain, helped by work tied to Nintendo Switch 2 and higher hourly rates in Japan’s game development sector. Overseas operations grew 11% thanks to recovering demand for voice recording services, the acquisition of Ghostpunch Games, and favorable currency effects.
However, the media and content division collapsed 57% after the company divested several businesses as part of a restructuring effort.
Despite the deteriorating outlook, Pole To Win maintained its annual dividend at ¥16 per share, citing its progressive payout policy.
