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Konami’s Gaming Business Records 8.3% Sales Growth & 1.4% Profits Drop due to Development & R&D Costs

Today Konami revealed its financial results for the fiscal year 2020, related to the period between April 1, 2019, and March 31, 2020.
This article is over 4 years old and may contain outdated information

Today Konami revealed its financial results for the the fiscal year 2020, related to the period between April 1, 2019, and March 31, 2020.

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While revenue for the whole company was essentially flat year-on-year, profit dropped considerably.

That being said, revenue for the Digital Entertainment business (which includes games) was up 8.3% year-on-year, but profit dropped slightly by 1.4%

We learn that the drop in profits for the Digital Entertainment business was due to the increase in production costs for new games and research and development costs.

While the company did not provide specific guidance for the current fiscal year due to the uncertainty created by the COVID-18 epidemic. That being said, the slate of games announced so far is as follows:

If you found it a bit barren, I certainly wouldn’t say you’re wrong. That being said, considering that they mentioned increasing development costs for new games and R&D, they might have something unannounced up their sleeve. We’ll have to wait and see.

If you want to compare, you can check out Konami’s results for the previous quarter, released in January.


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Author
Image of Giuseppe Nelva
Giuseppe Nelva
Proud weeb hailing from sunny (not as much as people think) Italy and long-standing gamer since the age of Mattel Intellivision and Sinclair ZX Spectrum. Definitely a multi-platform gamer, he still holds the old dear PC nearest to his heart, while not disregarding any console on the market. RPGs (of any nationality), MMORPGs, and visual novels are his daily bread, but he enjoys almost every other genre, prominently racing simulators, action and sandbox games. He is also one of the few surviving fans on Earth of the flight simulator genre.