Koei Tecmo Holdings reported a 23% drop in operating profit for the second quarter as the gaming company weathered a lean release schedule ahead of major planned launches.
Operating profit fell to 10.7 billion yen ($71 million) in the quarter ended September, while revenue declined 11% to 35.2 billion yen. The Tokyo-based company attributed the decline to a lack of new releases compared with the previous year’s busy schedule.
The game maker is betting on several high-profile titles to drive growth in coming months, including Dynasty Warriors Origins in January and Fairy Tail 2 in December. These releases are part of a concentrated push to boost sales in the fiscal second half.
Despite weaker quarterly results, the company maintained its full-year forecast of 90 billion yen in sales and 30 billion yen in operating profit. Mobile gaming revenues showed resilience, with titles like Romance of the Three Kingdoms: Path of Domination delivering stable earnings.
The company’s existing game portfolio, including Rise of the Ronin released earlier this year, continued to generate repeat sales, though at lower levels than new releases. Koei Tecmo also benefited from investment gains, helping offset the gaming segment’s decline.
