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When you see the lineup we will be unveiling at E3, I believe that you will understand why we now expect a sharp growth curve between FY2020/3 and FY2021/3 rather than the gradual curve that we had originally anticipated. In addition to our major titles, we also have FY2020/3 releases planned for some unique and promising games, including some for smartphones. As such, we hope that our earnings will overshoot our initial targets for sales of ¥270 billion and operating income of ¥24 billion.
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Our strategy for achieving our medium-term earnings targets is to expand stable recurring earnings while also sustaining investment in new IP. Once our new HD titles have been fully depreciated, additional sales will contribute significantly to our profits. Expansion of the stable recurring earnings will enable us to attain our medium-term earnings targets with our current pipeline. We are already undertaking initiatives aimed at sustaining growth beyond the achievement of our medium-term targets, but it will still take some time for those initiatives to produce results. We may be announcing smartphone game titles using the technologies listed here going forward, so please look out for them.
In summary, we look to “rewind” one year, forecasting a performance in FY2020/3 on par with that of FY2019/3, and as a result plan to catch up in FY2021/3.
