Consolidated Results for the Three Months Ended June 30, 2015
(Prepared in Accordance with IFRS)

August 6, 2015

KONAMI CORPORATION

KONAMI CORPORATION hereby announces that the consolidated total revenues and operating profit for the three months ended June 30, 2015 were ¥51,202 million (105.3% of the same period in the previous year) and ¥6,484 million (186.7% of the same period in the previous year), respectively.

Profit before income taxes and profit attributable to owners of the parent were ¥6,862 million (235.1% of the same period in the previous year) and ¥4,282 million (259.9% of the same period in the previous year), respectively.

In Digital Entertainment business, mobile games for smart devices (smartphones/tablets), such as "JIKKYOU PAWAFURU PUROYAKYU" and the WORLD SOCCER COLLECTION series, continued to enjoy steady sales, which contributed to an increase in revenues and operating profit compared to the same period in the previous year.

In Health & Fitness business, we further developed pricing plans that enable customers to select the most suitable options based on their personal usage frequency and facilities they wish to use. We also made ongoing efforts to promote and spread services at Konami Sports Clubs in support of the concept of "sustainable fitness."

In Gaming & Systems business, sales of products such as the "Podium" video slot machine and "SYNKROS" casino management system continued steadily, mainly in North America and Australia.

In Pachislot & Pachinko Machines business, we released "GUN SWORD," a new pachislot machine derived from the popular animation series of the same name. In addition, we continued to receive repeat orders for "SENGOKU COLLECTION 2" due to its high operating ratio at pachinko parlors.


1. Consolidated Results of Operation

(Millions of yen)
 
Three Months ended
June 30, 2015
Three Months ended
June 30, 2014
Revenue
51,202
48,606
Operating Profit
6,484
3,472
Profit Before
Income Taxes
6,862
2,918
Profit Attributable to Owners
of the Parent Company
4,282
1,647

2. Business Segment Information - Revenue

(Millions of yen)
 
Digital Entertainment
Health & Fitness
Gaming & Systems
Pachislot &
Pachinko Machines
Eliminations
Total Revenue
Three Months ended
June 30, 2014
20,420
18,042
6,817
3,474
-147
48,606
Three Months ended
June 30, 2015
23,829
17,584
6,829
3,061
-101
51,202
% of previous year
116.7
97.5
100.2
88.1
-
105.3

3. Business Segment Information - Operating Profit

(Millions of yen)
 
Digital Entertainment
Health & Fitness
Gaming & Systems
Pachislot &
Pachinko Machines
Corporate and Eliminations
Other Income and
Other Expenses, net
Total Operating Profit
Three Months ended
June 30, 2014
3,613
201
1,276
-560
-839
-219
3,472
Three Months ended
June 30, 2015
6,449
453
636
238
-948
-344
6,484
% of previous year
178.5
225.4
49.8
-
-
-
186.8

4. Overview of the Three Months Ended June 30, 2015

Digital Entertainment Business

  1. Mobile games earnings were driven by "JIKKYOU PAWAFURU PUROYAKYU" with its 13 million downloads in the seven months since its launch in December 2014
  2. Worldwide release of "PES CLUB MANAGER" (known in Japan as "Winning Eleven CLUB MANAGER"), a club management game that uses a mobile-game-optimized version of the game engine from "WORLD SOCCER Winning Eleven 2015" (known in the U.S. and Europe as "Pro Evolution Soccer 2015"), the latest addition to the Winning Eleven series
  3. Solid sales of "Star WarsTM: Force Collection" and "PES COLLECTION" (known in China as "Shikuangjulebu") in overseas markets
  4. Stable recurring revenues from "e-AMUSEMENT Participation"arcade games
  5. Steady sales of the Yu-Gi-Oh! TRADING CARD GAME series in the global market

Health & Fitness Business

  1. Developed a freely customizable exercise plan in which customers can use certain facilities (nearby facilities plus some farther away) any number of times, in order to meet diversifying customer needs
  2. Positive reception of our revamped personal training programs, including body conditioning program "V-BODY" and dieting program "BIOMETRICS."
  3. Launched "LOCOPIN," an amino acid beverage produced in response to Oyz customer feedback
  4. Released "Kaimin Seikatsu" (sound sleep life), the third in a series of healthcare smartphone applications for developed to support a healthy lifestyle

Gaming & Systems Business

  1. Expanded the Podium series video slot machine category and accelerated the development of products aimed at specific market demands amid the severe market environment in North America
  2. Positive reception of products showcased at Global Gaming Expo Asia held in Macau, including the Podium series and "Rapid Revolver," a slot machine featuring vertically-stacked drums
  3. Decrease in profit due to advance investments, including increases in product approval fees and personnel expenses for product development resulting from expansion of the product lineup and enhancement of maintenance services

Pachislot & Pachinko Machines Business

  1. Launched the TV animation-themed pachislot machine "GUN SWORD," the first model we have swiftly adapted to new regulations following a change in testing methods. This title uses the new, dedicated cabinet "Original 7," which specializes in featuring a wide variety of performance gimmicks
  2. Solid repeat orders for "SENGOKU COLLECTION 2" due to its high operating ratio at pachinko parlors

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