Consolidated Results for the Year ended March 31, 2012(Prepared in Accordance with U.S. GAAP)

May 10, 2012

KONAMI CORPORATION

We hereby announce that our consolidated net revenues and operating income for the year ended March 31, 2012 were ¥265,758 million (103.0% of the same period in the previous year) and ¥40,950 million (197.0% of the same period of the previous year), respectively.

Income before income taxes and net income attributable to KONAMI CORPORATION were ¥40,026 million (209.8% of the same period in the previous year) and ¥23,012 million (177.9% of the same period of the previous year), respectively.

Consolidated results for the fiscal year have achieved record high net revenues, operating income and net income attributable to KONAMI CORPORATION due to the brisk progression of each business segments.

The Digital Entertainment business showed brisk sales in step with growth in social games such as DRAGON COLLECTION and the total number of registered users for Konami Group'ssocial games surpassed 20 million users. In addition, arcade videogame MAH-JONG FIGHTCLUB which adopted the e-AMUSEMENT Participation enjoyed favorable sales and the popular card game YU-GI-OH! TRADING CARD GAME also performed strongly.

In the Gaming & Systems business, we continued to maintain a record high net revenues and operating income despite the appreciation of the yen. Our video slot machine Podium continued to show brisk sales.

In the Pachinko & Pachinko Slot Machines business, we delivered solid performance, with the sales volume of MAGICAL HALLOWEEN 3 reaching the highest level of unit sales in Konami Group's history.

Due to the improved efficiency of the management of the facilities, the operating income of the Health & Fitness business increased year on year.

1. Consolidated Results of Operation

(Millions of yen)
 
Year ended
March 31, 2012
Year ended
March 31, 2011
Net Revenues
265,758
257,988
Operating Income
40,950
20,791
Income Before
Income Taxes
40,026
19,082
Net income attributable
to KONAMI CORPORATION
23,012
12,934
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2.Segment Information - Net Revenues

(Millions of yen)
 
Digital Entertainment
Gaming & Systems
Pachislot &
Pachinko Machines
Health & Fitness
Eliminations
Consolidated
Year ended
March 31, 2011
133,124
21,868
17,987
85,911
-902
257,988
Year ended
March 31, 2012
140,400
25,212
18,430
82,555
-839
265,758
% of previous year
105.5
115.3
102.5
96.1
-
103.0

3.Segment Information - Operating Income

(Millions of yen)
 
Digital Entertainment
Gaming & Systems
Pachinko &
Pachinko Slot Machines
Health & Fitness
Corporate and Eliminations
Consolidated
Year ended
March 31, 2011
17,025
6,448
6,199
-2,545
-6,336
20,791
Year ended
March 31, 2012
33,021
6,656
4,179
2,829
-5,735
40,950
% of previous year
194.0
103.2
67.4
-
-
197.0

4.Overview of the year ended March 31, 2012

Digital Entertainment Business

  1. SNS game "DRAGON COLLECTION" saw membership top 6 million players, maintained the top-ranking position on GREE.
  2. "SENGOKU COLLECTION," with membership surpassing 3 million players, maintained a high-ranking position on Mobage.
  3. Game software series such as soccer, baseball and METAL GEAR showed brisk sales.
  4. Arcade videogame "MAH-JONG FIGHT CLUB" which adopted the e-AMUSEMENT Participation enjoyed favorable sales.
  5. Popular card game "YU-GI-OH! TRADING CARD GAME" showed strong performance.

Gaming & Systems Business

  1. Solid sales of video slot machine "Podium."
  2. Steady increase of sales from participation fees.
  3. Expanded sales network and extended partnership with official distributors in Central and South American, European and Asian markets.

Pachinko & Pachinko Slot Machines

  1. KPE title "MAGICAL HALLOWEEN 3" delivered a solid performance with sales volume reaching the highest level for Konami Group.
  2. Released popular series sequel such as "ONIHAMA GAIDEN HAYATO SHIPPU DEN" and "Castlevania III."

Health & Fitness Business

  1. Opened two new directly operated clubs (Izumi Fuchu and GRANCISE OSAKA) including a reconstruction, and added nine new contract-based clubs.
  2. With the reopening of Konami Sports Club Sendai Nagamachi, the last remaining facility affected by the earthquake, all directly managed facilities have resumed operations.

*Statements made in this news release reflect information available on the date of its announcement, and is subject to change without prior notice.