Consolidated Results for the First Quarter ended June 30, 2013(Prepared in Accordance with U.S. GAAP)

August 1, 2013

KONAMI CORPORATION

We hereby announce that our consolidated net revenues and consolidated operating income for the first quarter ended June 30, 2013 were ¥45,589 million (92.8 % of the same period in the previous year) and ¥1,495 million (27.8 % of the same period in the previous year), respectively.

Income before income taxes and net income attributable to KONAMI CORPORATION were ¥2,143 million (46.1 % of the same period in the previous year) and ¥934 million (34.4 % of the same period in the previous year), respectively.

In Digital Entertainment business, social media content including "DRAGON COLLECTION" showed steady progress, as did e-AMUSEMENT Participation games such as the BEMANI series’ latest title "Future Tom Tom" in the arcade game machine sector. "Monster Retsuden ORECA BATTLE" also won acclaim thanks to the synergistic effects of its connectivity with a smartphone application and other efforts including an associated manga publication in a monthly boys’ magazine.

In Health & Fitness business, we continue to provide customers with healthy lifestyles and support their fitness endeavors, including via the use of the new counseling system "MY Fit Planner," introduced to Konami Sports Club facilities nationwide to provide customers with training programs individually tailored to meet their specific needs.

In Gaming & Systems business, we have expanded our lineup of premier products, each of which has taken user anticipation to a whole new level. This helped us attain record high first quarter net revenues. In the U.S., our main products including video slot machine "Podium" continued to show brisk sales.

In Pachinko & Pachinko Slot Machines business, additional orders of "SKYGIRLS - Yoroshiku! Zero," which has already won broad market acclaim since its release in the previous fiscal year as the first cabinet type of the new MEBIUSTAR pachinko slot machine series, contributed to steady sales.

1. Consolidated Results of Operation

(Millions of yen)
 
Three Months ended
June 30, 2013
Three Months ended
June 30, 2012
Net Revenues
45,589
49,128
Operating
Income
1,495
5,380
Income Before
Income Taxes
2,143
4,645
Net income attributable
to KONAMI CORPORATION
934
2,715

2.Segment Information - Net Revenues

(Millions of yen)
 
Digital Entertainment
Health & Fitness
Gaming & Systems
Pachislot &
Pachinko Machines
Eliminations
Consolidated
Three Months ended
June 30, 2012
22,820
19,717
5,205
1,553
-167
49,128
Three Months ended
June 30, 2013
20,005
18,952
6,094
693
-155
45,589
% of previous year
87.7
96.1
117.1
44.7
-
92.8

3.Segment Information - Operating Income

(Millions of yen)
 
Digital Entertainment
Health & Fitness
Gaming & Systems
Pachislot &
Pachinko Machines
Corporate and Eliminations
Consolidated
Three Months ended
June 30, 2012
5,192
682
1,029
404
-1,927
5,380
Three Months ended
June 30, 2013
1,677
336
1,217
-486
-1,249
1,495
% of previous year
32.3
49.3
118.3
-
-
27.8

4.Overview of the First Quarter ended June 30, 2013

Digital Entertainment Business

  1. Social media content including "DRAGON COLLECTION" showed strong performance.
  2. "Monster Retsuden ORECA BATTLE" continued to maintain popularity.
  3. Launched "Future Tom Tom," the latest game in the BEMANI series.
  4. YU-GI-OH! TRADING CARD GAME series showed strong performance.

Health & Fitness Business

  1. "MY Fit Planner" promotes a healthy lifestyle for all of our customers by providing training methods and fitness routines that are customized to their individual needs.
  2. Popular program "Run Walk Support" has been renewed and updated to provide coordination up to the "running" stage.
  3. Contract-based business expanded steadily.

Gaming & Systems Business

  1. Video slot machines such as "Podium" have maintained popularity, and showed solid sales owing to the Participation system.
  2. New casino management system "SYNKROS" gained high acclaim from operators.

Pachinko & Pachinko Slot Machines

  1. Additional orders of "SKYGIRLS - Yoroshiku! Zero," released in the previous fiscal year as the first cabinet type of the new MEBIUSTAR pachinko slot machine series, contributed to steady sales.

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