Kadokawa (9468) Q4 2025 earnings summary

Executive summary

• Revenue/net sales grew 7.7% YoY to ¥277,915M, but operating profit fell 9.8% and net profit dropped 35.1% due to a major cyberattack; excluding this, revenue would have risen 11% and operating profit 16%.

• EBITDA was ¥24,907M, down 1.8% YoY.

• Animation and live-action segments achieved record sales and profits for the second consecutive year, driven by robust anime and licensing income.

• Game segment saw high growth from 'ELDEN RING' main game and DLC, while Web Services suffered from cyberattack-related losses.

• Education & EdTech segment posted double-digit revenue and profit growth, with rising student numbers.

Financial highlights

• FY2025 revenue: ¥277,915M (+7.7% YoY); operating profit: ¥16,651M (–9.8% YoY); net profit: ¥7,392M (–35.1% YoY).

• EBITDA for FY2025: ¥24,907M (–1.8% YoY).

• Cyberattack impact: revenue –¥8.3B, operating profit –¥4.7B, special loss of ¥2.4B.

• Dividend per share maintained at ¥30, payout ratio 36.0%.

• Cash and cash equivalents at period-end were ¥129,674M, up from ¥79,841M.

Outlook and guidance

• FY2026 revenue forecast: ¥291,900M (+5.0% YoY); operating profit: ¥16,700M (+0.3% YoY); net profit: ¥11,400M (+54.2% YoY).

• Game segment expected to decline (–22.6% revenue, –60.2% operating profit), but other segments to show robust growth.

• Publishing, anime/live-action, web services, and education/EdTech all forecast for double-digit revenue growth.

• Dividend forecast for FY2026 is ¥30 per share.

• Recovery expected in domestic print publishing and web services post-cyberattack.