Bandai Namco reported record net sales of ¥1.05 trillion ($6.7 billion) for its 2024 fiscal year, surpassing its forecast of ¥1 trillion ($6.4 billion). This marks a 6% year-on-year increase from 2023’s ¥990 billion ($6.3 billion), which itself was an 11.3% rise from the previous year.

The impressive sales figures were driven by Bandai Namco’s IP production, amusements, toys, and hobby sales, despite a decrease in digital sales from ¥385.6 billion ($2.5 billion) in the previous fiscal year to ¥372.6 billion ($2.4 billion) in 2024.

During this fiscal year, Bandai Namco released Apple Arcade exclusive Tamagotchi Adventure Kingdom and brought Takt Op Symphony to Western audiences. Additionally, data.ai reported that Dragon Ball Z Dokkan Battle surged to the top of worldwide consumer spending in February. However, none of these titles, nor any other mobile game, received a direct mention in Bandai Namco’s financial results.

In FY 2023, Bandai Namco's 11.3% net sales increase was largely attributed to mobile and PC platforms rather than consoles. However, the platform distribution for FY 2024 is less clear. The Dragon Ball series was highlighted as a successful "established IP product," though the mobile game Dragon Ball Z Dokkan Battle was not specifically mentioned. One Piece was likely referenced for its Netflix adaptation rather than the now-closed mobile game One Piece: Thousand Storm.

Bandai Namco noted that "major app titles contributed but PC online game fell short of target." Despite digital sales falling overall, the lack of specific mobile game mentions suggests a weaker performance compared to 2023.

While total net sales reached a record high, operating and recurring profits declined. Operating profit decreased from ¥116.4 billion ($744 million) to ¥90.6 billion ($579.1 million), and recurring profit fell from ¥128 billion ($818 million) to ¥104.1 billion ($665.4 million). Nevertheless, both figures were stronger than projected a year ago.

Digital profits particularly suffered, dropping from ¥49.3 billion ($315.1 million) in FY 2023 to ¥6.2 billion ($39.6 million) in FY 2024. This decline, though higher than the initially forecasted ¥1 billion ($6.4 million), was anticipated due to a "revamp" in the company’s games lineup.

"In the digital business, we recorded a valuation loss and a disposal loss due to a reevaluation of the title lineup," explained Bandai Namco. "We aim to increase sales and profit YoY. Our forecasts consider changes in market trends and fan preferences, sales of products and services in each business, and marketing plans."

Looking ahead to FY 2025, Bandai Namco projects another record-breaking year with expected net sales of ¥1.08 trillion ($6.9 billion). Operating and recurring profits are also anticipated to rebound.

Source: adapted from an article by Aaron Astle, News Editor for Pocketgamer.biz.