Outline of Results Briefing held on November 4, 2011
During the six-month period, net sales were ¥57,516 million, operating income was ¥7,391 million, ordinary income was ¥5,386 million and net income was ¥3,704 million – results were in line with our earnings forecast revision of November 2nd.
By reporting segment, Digital Entertainment net sales were ¥29,470 million, operating income was ¥7,781 million. Amusement segment net sales were ¥21,091 million and operating income was ¥1,881 million. Publication segment net sales were ¥5,822 million and operating income was ¥1,477 million. Merchandising segment net sales were ¥1,133 million and operating income was ¥212 million. These results were generally above our plans set out at the start of the fiscal year. In Digital Entertainment, the second quarter US and European release of Deus Ex: Human Revolution, developed at our Eidos-Montreal studio, achieved extremely strong sales performance. Revenue from content for web, smartphone and other growth areas also performed well and resulted out-performed our plans from the start of the year.
Below the operating line, the further rapid appreciation of the yen during the period resulted in additional foreign exchange losses as non-operating expenses.
As a result, foreign exchange losses for the six-month period were ¥2,086 million and the largest non-operating line leading to ordinary income of ¥5,386 million. There were no particularly large extraordinary items and net income was ¥3,704 million.
On the balance sheet, total assets amounted to ¥210,302 million. Among current assets, the largest increase was in the Group-wide content production account which increased to ¥26,366 million at period end. As for liabilities, there were no major changes, however, short-term loans payable did increase to ¥4,191 million. This was mainly the result of the change in the range of normal funding at our European operations to short-term.