Financial Performance - Total revenue for the fiscal year ending March 31, 2025, was ¥28,316 million, an increase from ¥26,955 million in 2024, representing a growth of 5%[7] - The net profit attributable to the company for the fiscal year 2025 was ¥607 million, compared to ¥694 million in 2024, indicating a decrease of approximately 12.5%[7] - The overall revenue margin for 2025 was 17.0%, slightly down from 18.2% in 2024[7] - Total revenue increased by 10.1% year-on-year to ¥145,091 million, reaching the highest level since the company's establishment[13] - Dream Games' revenue decreased by 2.3% year-on-year to ¥1,648 million, with 12 operational stores as of March 31, 2025[18] - Revenue from Japanese pachinko and pachislot operations increased by ¥781 million or 3.3% from ¥23,944 million in 2024 to ¥24,725 million in 2025, driven by the recovery of the Japanese economy and improved customer flow due to machine replacements[24] - The revenue yield decreased from 18.2% in 2024 to 17.0% in 2025, attributed to increased payout rates aimed at stimulating customer traffic[27] - Revenue from amusement park operations decreased by ¥39 million or 2.3% to ¥1,648 million in 2025, impacted by the closure of a non-profitable park in Vietnam and typhoon disruptions[28] - Restaurant revenue increased by ¥332 million or 46.9% to ¥1,040 million, driven by the popularity of the "KOMEDA" café and the opening of new restaurant brands[29] - The company reported a net profit of ¥607 million for the year ending March 31, 2025, compared to ¥118 million in the previous year, representing a significant increase of 414%[190] Assets and Liabilities - The total assets as of March 31, 2025, were ¥63,653 million, a decrease from ¥65,760 million in 2024[8] - The current ratio (current assets to current liabilities) for 2025 was 0.90, indicating a decline from 0.99 in 2024[8] - The total borrowings and lease liabilities as of March 31, 2025, were ¥35,807 million, down from ¥38,357 million in the previous year[39] - The asset-liability ratio as of March 31, 2025, was 1.3, down from 1.4 as of March 31, 2024[42] - As of March 31, 2025, the total cash and cash equivalents amounted to ¥10,574 million, a decrease from ¥12,350 million as of March 31, 2024[37] - The company's total assets decreased to ¥63,653 million from ¥65,760 million, reflecting a decline of approximately 3.2%[192] - Non-current assets decreased from ¥51,888 million to ¥50,847 million, a reduction of about 2%[192] - Current liabilities decreased slightly from ¥14,215 million to ¥14,017 million, indicating a decrease of approximately 1.5%[193] Investments and Expenditures - The company plans to invest in new gaming halls and acquisitions to ensure stable profitability, focusing on increasing the number of installed gaming machines[18] - Capital expenditures for the year ended March 31, 2025, totaled ¥4,223 million, an increase from ¥3,551 million in the previous year[43] - The company completed the acquisition of a 10-story hot spring hotel for ¥358.4 million on April 30, 2025, and another hot spring hotel for ¥798.4 million on May 1, 2025, as part of its expansion strategy[48] - The investment in machine replacement reached ¥7,751 million, aimed at enhancing revenue and increasing customer traffic[112] Governance and Compliance - The company has adopted and complied with all applicable principles and code provisions of the Corporate Governance Code as per the Hong Kong Stock Exchange Listing Rules, except for the separation of roles between the Chairman and the CEO[53] - The board consists of eight directors, including two executive directors and five independent non-executive directors, ensuring a diverse and experienced leadership team[55] - The company’s governance responsibilities include reviewing compliance with laws and regulations, and monitoring the training and development of directors and senior management[59] - The company has established a formal written whistleblowing policy for employees to express concerns regarding risks and internal operations[89] - The company has mechanisms in place to ensure independent viewpoints are obtained for board decisions[73] - The company has maintained and purchased directors' liability insurance to provide adequate protection for its directors[141] Employee and Community Engagement - The company had a total of 1,270 employees as of March 31, 2025, with compensation policies determined by the remuneration committee[51] - The company is committed to providing equal opportunities in recruitment, hiring, compensation, training, and promotion based on knowledge and performance, regardless of gender[77] - The company made charitable donations totaling approximately 2 million yen during the fiscal year[153] Future Outlook - The company plans to continue focusing on new product development and market expansion strategies to drive future growth[195] - Economic growth in Vietnam and Cambodia is projected to exceed 5% in 2025, indicating potential for market expansion[18] - The company is open to market expansion opportunities, including acquisitions and establishing new branches, despite anticipated economic fluctuations[115]

Financial Performance - Revenue was 28,316 million JPY (or 1,473 million HKD), an increase of 5.0% compared to the fiscal year ending March 31, 2024[4] - Profit before tax from continuing operations was 1,652 million JPY (or 86 million HKD), a decrease of 9.8% compared to the fiscal year ending March 31, 2024[4] - Net profit attributable to the company from continuing operations was 607 million JPY (or 32 million HKD), a decrease of 87 million JPY compared to the fiscal year ending March 31, 2024[4] - Basic earnings per share from continuing operations were 0.51 JPY (or 0.03 HKD), down from 0.58 JPY in the fiscal year 2024[4] - Total revenue for the fiscal year ending March 31, 2025, is reported at 28,316 million yen, an increase from 26,955 million yen for the previous year, representing a growth of approximately 5%[5] - Operating profit from continuing operations is 2,534 million yen, compared to 2,722 million yen in the previous year, indicating a decrease of about 7%[5] - The company reported a net income of 607 million JPY for the year, compared to 118 million JPY in the previous year, indicating a significant increase[6] - Total comprehensive income for the year was 565 million JPY, a decrease from 73 million JPY in the previous year[7] - The company reported a total payout of 120,366 million JPY in dividends, compared to 107,891 million JPY in the previous year, representing an increase of approximately 11%[18] - The company reported a total loss of 547 million JPY for the fiscal year ending March 31, 2024, with a basic loss per share of (0.23) JPY[32] Investment and Capital Expenditures - Total investment amount was 145,091 million JPY (or 7,549 million HKD), an increase of 10.1% compared to the fiscal year ending March 31, 2024[4] - Capital expenditures for the fiscal year ending March 31, 2025, are expected to be ¥4,223 million, up from ¥3,551 million in the previous year, representing an increase of approximately 18.9%[25] - The company has entered into two purchase agreements for hotel properties totaling 1,156.8 million JPY, with 25% of the price to be funded by minority shareholders[14] - The company acquired 100% of the issued shares of two hotel property companies for a cash consideration of 1 JPY each, along with a loan of 100 million JPY to assist with repayment obligations[45][46] - The identifiable net assets acquired from the purchase amounted to 100 million JPY, including cash and cash equivalents of 18 million JPY and property, plant, and equipment valued at 229 million JPY[48] Operational Highlights - The company operated 49 gaming halls in Japan as of the announcement date, unchanged from March 31, 2024[4] - The number of installed gaming machines reached 29,192 units by the end of March 2025, marking a new high for the company[50] - The company has introduced self-service kiosks in 46 gaming halls, representing 94% of the total, to enhance customer satisfaction and operational efficiency[51] - The company continues to adapt its gaming hall operations to improve sales capabilities and has successfully transformed unprofitable locations into top-performing venues in their respective areas[52] - The company has reported a significant increase in user data, reflecting a growing customer base[6] Discontinued Operations - The company terminated its restaurant operations in China in August 2023, and this segment is reported as discontinued operations[21] - The bankruptcy plan for the terminated operations in China was approved by the board on September 19, 2023, with the bankruptcy proceedings currently ongoing[30] - The financial performance of discontinued operations will be presented in the consolidated comprehensive income statement as per IFRS 5[31] - The company reported a net loss of 431 million JPY due to the early termination of a restaurant lease, with a total lease liability recognized at 243 million JPY[32] Future Outlook and Strategy - The company aims to enhance its market presence through new product development and strategic partnerships in the upcoming fiscal year[5] - Future guidance indicates a focus on improving operational efficiency and exploring potential mergers and acquisitions to drive growth[5] - The company plans to invest in technology advancements to enhance user experience and expand its service offerings[5] - The company plans to focus on expanding its market presence and developing new technologies in the upcoming fiscal year[6] - The company aims to address local issues to create new business opportunities and reduce future operational risks, emphasizing regional development as a key future task[62] Financial Position - The total assets of the company as of the reporting date were 694 million yen, reflecting a stable asset base[5] - Total assets decreased to 63,653 million JPY from 65,760 million JPY year-over-year[8] - The company’s total liabilities decreased to 50,847 million JPY from 51,888 million JPY[8] - The total equity of the company as of March 31, 2025, is 19,235 million JPY, an increase from 18,981 million JPY in the previous year[9] - The company's total liabilities amount to 44,418 million JPY, down from 46,779 million JPY year-over-year[9] Corporate Governance and Compliance - The company has adopted and complied with all applicable principles and rules of the Corporate Governance Code as of March 31, 2025, except for the separation of roles between the Chairman and CEO[95] - The company’s audit committee, along with management and external auditors, reviewed the accounting principles and policies adopted for the year ended March 31, 2025[100] - The annual general meeting of shareholders will be held on June 30, 2025, at a specified location in Fukushima, Japan[102] Market and Economic Environment - The company anticipates challenges in the economic environment due to inflation and currency depreciation, impacting consumer purchasing power and spending behavior[49] - Management believes that the recent acquisitions present a good opportunity for further expansion in the hotel business following the strong recovery of Japan's tourism industry post-COVID-19[92]

Financial Performance - For the six months ended September 30, 2024, the company reported total revenue of ¥14,158 million, an increase from ¥13,189 million for the same period in 2023, representing a growth of approximately 7.3%[10] - The company's pre-tax profit for the same period was ¥935 million, slightly down from ¥969 million year-on-year, indicating a decrease of about 3.5%[10] - Net profit attributable to the company's owners was ¥451 million, a decrease of ¥34 million compared to the previous year, reflecting a decline of approximately 7%[10] - The overall revenue rate for the six months was 17.3%, down from 18.2% in the previous year, indicating a decrease of 0.9 percentage points[10] - Operating profit for the same period was ¥1,377 million, slightly down from ¥1,399 million year-over-year[1] - Profit before tax decreased to ¥935 million from ¥969 million, reflecting a decline of 3.5%[1] - Net profit from continuing operations was ¥451 million, down from ¥608 million, representing a decrease of 25.8%[1] - The total comprehensive income for the period was ¥432 million, compared to ¥409 million in the same period last year, reflecting a growth of 5.6%[1] Revenue Breakdown - Japanese pachinko machine revenue increased by 7,763 million yen, from 63,890 million yen for the six months ended September 30, 2023, to 71,653 million yen for the current period[19] - The revenue from the amusement park business decreased by 4.8% to 896 million yen, impacted by the closure of an unprofitable park and temporary shutdowns due to a typhoon in northern Vietnam[20] - The restaurant business revenue surged by 43.6%, from 349 million yen to 501 million yen, driven by the popularity of cafes and bubble tea among the younger generation[21] - Other income from vending machines increased by 77 million yen or 38.9%, from 198 million yen to 275 million yen, attributed to higher customer flow[34] - The revenue from hotels increased by 29 million yen, from 83 million yen to 112 million yen, mainly due to the acquisition of two hot spring inns[34] - The segment revenue from Japanese pachinko and pachislot operations was 12,649 million JPY, accounting for 92.6% of total revenue[181] Assets and Liabilities - Current assets as of September 30, 2024, were ¥12,336 million, down from ¥13,872 million as of March 31, 2024, representing a decrease of approximately 11.1%[10] - Total assets amounted to ¥64,677 million, a slight decrease from ¥65,760 million in the previous period, indicating a reduction of about 1.7%[10] - Total liabilities as of September 30, 2024, were 20,382 million yen, with a current liability net amount of 1,337 million yen[136] - The company's total equity as of September 30, 2024, was 19,210 million yen, reflecting a decrease from the previous period[134] Cash Flow and Financing - Operating cash flow (before changes in working capital) for the six months ended September 30, 2024, was ¥3,601 million, compared to ¥3,003 million in the previous year[49] - Total cash and cash equivalents as of September 30, 2024, were ¥10,150 million, down from ¥12,350 million as of March 31, 2024[49] - The company incurred a cash outflow of 2,292 million yen from investing activities for the six months ended September 30, 2024, compared to an outflow of 1,119 million yen in the same period of 2023[132] - The company reported a decrease in interest paid, totaling 3,819 million yen for the six months ended September 30, 2024, down from 3,972 million yen in the previous year[132] Strategic Focus and Operations - The company continues to focus on leveraging digital technology and cost-saving measures to maintain stable returns amid recovering consumer demand and tourism in Asia[18] - The company aims to capitalize on new opportunities and enhance its operational efficiency as part of its strategic focus moving forward[18] - The company remains open to market expansion opportunities, including acquisitions and new store openings, despite global economic challenges[24] - The company has ceased its restaurant operations in China as of August 2023, focusing on its core business in Japan and Southeast Asia[134] Governance and Shareholder Information - The company maintains a strong governance structure with major shareholders holding significant stakes[73] - The company’s chairman has held both the chairman and CEO roles since April 2010, which is considered beneficial for the overall interests of the company and its shareholders[65] - Major shareholders include DENSHO Co., Ltd. with 226,020,460 shares (18.90%) and JUKKI Limited with 181,470,000 shares (15.17%) [73] - The company adhered to all applicable principles and code provisions of the corporate governance code, except for the separation of the roles of chairman and CEO[64] Changes and Developments - The company has undergone a change in the board of directors, with Akihiro Oishi resigning as an executive director effective June 28, 2024[82] - The company did not engage in any significant investments, acquisitions, or disposals during the six months ended September 30, 2024, aside from the acquisitions disclosed in the interim report[60] - The company has not disclosed any new strategies or market expansions in the current report [81] - There is no mention of new product launches or technological developments in the current financial report [84]

Financial Performance - Revenue for the period was ¥14,158 million, reflecting a 7.3% increase year-over-year[2] - Profit before tax was ¥935 million, down from ¥969 million in the same period last year[2] - Net profit attributable to owners of the company was ¥451 million, a decrease of ¥171 million compared to the previous year[2] - Basic earnings per share were ¥0.38, down from ¥0.52 in the same period last year[2] - Total comprehensive income for the period was ¥432 million, compared to ¥47 million in the previous year[10] - The company reported a net profit of ¥451 million, significantly higher than ¥182 million from the previous year[8] - The company experienced a foreign exchange gain of ¥69 million, compared to a loss of ¥167 million in the previous year[9] - The total revenue from external customers was ¥13,267 million, with significant contributions from Japanese and Southeast Asian markets[38] - The operating profit from continuing operations was 2,132 million JPY, slightly down from 2,157 million JPY year-over-year[46] - The total income tax expense for the nine months ended September 30, 2024, was 484 million JPY, an increase from 361 million JPY in the same period last year[49] Investment and Assets - Total investment amount reached ¥71,653 million, an increase of 12.2% compared to the same period last year[2] - As of September 30, 2024, total assets amounted to 64,677 million JPY, a decrease from 65,760 million JPY as of March 31, 2024[14] - The company's equity attributable to shareholders is 19,210 million JPY, an increase from 18,981 million JPY[17] - Non-current liabilities total 31,794 million JPY, down from 32,762 million JPY[17] - The company’s investment properties increased to 1,324 million JPY from 668 million JPY, indicating growth in asset investments[14] - The segment assets for Japanese arcade operations were valued at ¥52,141 million as of September 30, 2024[40] - The company completed the acquisition of two hotel properties for a cash consideration of 1 JPY each, along with a loan of 100 million JPY to assist with repayment obligations[87] - The identifiable net assets acquired amounted to 93 million JPY, with goodwill recognized at 7 million JPY[90] Liabilities and Financial Position - Current liabilities net amount to 1,337 million JPY, with cash and cash equivalents at 10,150 million JPY as of September 30, 2024[23] - The company’s total liabilities stand at 45,467 million JPY, a decrease from 46,779 million JPY[17] - The total borrowings decreased from 10,432 million JPY as of March 31, 2024, to 9,780 million JPY as of September 30, 2024[86] - The company’s non-current lease liabilities were reported at 24,794 million JPY as of September 30, 2024, down from 25,317 million JPY as of March 31, 2024[81] - The debt-to-asset ratio stands at 1.4, unchanged from March 31, 2024[131] Revenue Streams - The revenue from electronic gaming machines and slot machine operations was 12,374 million HKD for the six months ended September 30, 2024, up from 11,618 million HKD in the same period of 2023, reflecting a growth of about 6.5%[30] - The total revenue from amusement park operations was 896 million HKD for the six months ended September 30, 2024, down from 941 million HKD in the same period of 2023, reflecting a decrease of approximately 4.8%[30] - The group’s hotel operations generated revenue of 112 million HKD for the six months ended September 30, 2024, compared to 83 million HKD in the same period of 2023, representing an increase of about 35%[30] - Revenue from Japanese arcade operations reached ¥12,649 million, while Southeast Asia operations generated ¥896 million, totaling ¥13,657 million[35] - The revenue from vending machine operations increased to 275 million HKD in the six months ended September 30, 2024, from 198 million HKD in the same period of 2023, marking a growth of around 38.9%[30] Operational Changes - The group has terminated its restaurant operations in China as of August 2023, categorizing it as a discontinued operation[32] - The company believes that ceasing operations in China will improve its financial condition and align with the overall interests of the company and its shareholders[51] - The company plans to file for bankruptcy liquidation in China, with the bankruptcy process ongoing as of the mid-term report date[51] - The group reported a significant increase in trade receivables, with amounts reaching 48,172 million JPY compared to 55,154 million JPY previously[14] Dividends and Shareholder Returns - The board declared an interim dividend of ¥0.09 per share, consistent with the previous year[2] - The interim dividend declared for the six months ended September 30, 2024, is 0.09 yen per ordinary share, unchanged from the same period in 2023[118] Cash Flow and Financing - Cash flow from operating activities showed a net outflow of ¥77 million, while cash flow from financing activities also reflected a net outflow of ¥45 million[63] - The average effective annual interest rate for bank borrowings ranged from 1.02% to 1.60% as of September 30, 2024[127] - The company has not engaged in significant foreign currency investments, with all debts denominated in yen, but is assessing foreign exchange risks from subsidiaries operating in different currencies[129] Corporate Governance and Compliance - The company has adhered to the corporate governance code, except for the separation of the roles of Chairman and CEO, which are currently held by the same individual[138][139] - The audit committee has reviewed the interim financial information for the six months ended September 30, 2024, in consultation with management[145]

Financial Performance - Total revenue for the fiscal year 2024 reached ¥26,955 million, an increase of 9.5% compared to ¥24,612 million in 2023[7] - The operating profit before tax for fiscal year 2024 was ¥1,831 million, up from ¥1,489 million in 2023, reflecting a growth of 23%[7] - The net profit attributable to the owners of the company for fiscal year 2024 was ¥694 million, a decrease of 42% from ¥1,198 million in 2023[7] - The company’s net profit margin for fiscal year 2024 was 2.6%, down from 4.8% in 2023[7] - Basic earnings per share for the fiscal year were ¥0.58, down from ¥1.00 in the previous year[40] Investment and Capital Expenditure - The company reported a total investment amount of ¥131,835 million for fiscal year 2024, compared to ¥119,837 million in 2023, indicating an increase of 10.5%[7] - The capital expenditure for the year ended March 31, 2024, was ¥3,551 million, an increase from ¥2,865 million in the previous year, showing a rise of approximately 23.8%[49] - Total investment in Japanese-style pachinko and slot machine operations rose by ¥11,998 million or 10.0% to ¥131,835 million, driven by improved customer flow and economic recovery in Japan[28] Revenue Streams - Revenue from Japanese-style pachinko and slot machine operations increased by ¥2,049 million or 9.3% to ¥23,944 million for the fiscal year ending March 31, 2024, compared to ¥21,895 million in 2023[27] - Revenue from amusement park operations decreased by ¥23 million or 1.3% to ¥1,687 million, with contributions from Vietnam and Cambodia being ¥1,135 million and ¥552 million respectively[31] - Restaurant business revenue surged by ¥228 million or 47.5% to ¥708 million, driven by the popularity of "KOMEDA" café and the opening of "LIZARRAN" restaurant[32] Operational Highlights - The company operates 49 game halls with over 28,800 machines, serving customers across ten prefectures in Japan[3] - The number of installed amusement machines increased by 1.6% compared to the previous fiscal year, expanding the revenue base equivalent to opening a new game center[14] - A total of 37 game centers have implemented self-service kiosks, covering 75% of the game centers, enhancing customer service efficiency[16] Financial Position - Current assets as of March 31, 2024, were ¥13,872 million, an increase from ¥12,396 million in 2023[9] - The total assets for the company as of March 31, 2024, were ¥65,760 million, slightly down from ¥65,804 million in 2023[9] - The total borrowings and lease liabilities as of March 31, 2024, were ¥38,357 million, a decrease from ¥39,936 million as of March 31, 2023, reflecting a reduction of about 4.0%[45] - The total equity as of March 31, 2024, was ¥18,981 million, a slight decrease from ¥19,294 million as of March 31, 2023, indicating a reduction of about 1.6%[45] Dividend and Shareholder Information - The company declared a final dividend of ¥0.17 per share, compared to ¥0.11 per share in the previous year[40] - The company's distributable reserves amounted to approximately 2,467 million JPY as of March 31, 2024[137] - The major shareholder, Densho Co., Ltd., holds 226,020,460 shares, representing 18.90% of the total shares[153] Governance and Compliance - The company emphasizes sustainable growth through environmental, social, and governance (ESG) management principles, focusing on long-term contributions to society[22] - The board consists of eight directors, including three executive directors and four independent non-executive directors[60] - The company plans to appoint at least one female director by the end of December 2024 as part of its board diversity policy[67] - The company has established a code of conduct applicable to employees and directors, which is regularly reviewed[65] Risk Management - The company has implemented a formal whistleblowing policy to allow employees to express concerns regarding risks and internal operations[98] - The risk management office continuously monitors and reviews the risk management and internal control systems, reporting on their status to the audit committee[96] - The company faces risks related to the ongoing decline in the pachinko industry and uncertainties regarding the performance of existing and new amusement facilities[130] Audit and Financial Reporting - The group’s financial statements were audited in accordance with International Financial Reporting Standards, reflecting a true and fair view of the financial position as of March 31, 2024[172] - The independent auditor's report confirmed compliance with Hong Kong Companies Ordinance disclosure requirements[172] - The audit report was issued by PwC on May 27, 2024[200]

Financial Performance - For the fiscal year ending March 31, 2024, the company reported a profit of 694 million JPY from continuing operations, compared to 1,198 million JPY in the previous year, indicating a decrease of approximately 42%[1]. - The company reported a net profit of ¥1,053 million for the year, with a pre-tax profit of ¥1,363 million[22]. - The company reported a net income of 118 million JPY for the fiscal year, down from the previous year's figures[52]. - The total comprehensive income for the year was a loss of 73 million yen, compared to a comprehensive income of 954 million yen in the previous year[92]. - The company reported a basic earnings per share (EPS) of 0.58 JPY for the fiscal year ending March 31, 2024, compared to 1.00 JPY in the previous year, reflecting a decrease of 42%[34]. - Basic earnings per share from continuing operations was ¥0.58 (or HK$0.03), down from ¥1.00 in the previous year[113]. - The company reported a net profit attributable to owners of the company from continuing operations of ¥694 million (or HK$36 million), a decrease of ¥504 million compared to the previous year[113]. Revenue and Sales - The company recognized revenue from unused tokens and gaming chips amounting to 1,667 million JPY for the year, an increase of 22% from 1,371 million JPY in the previous year[9]. - Revenue from external customers amounted to ¥24,612 million, with a breakdown of ¥22,273 million from Japan and ¥1,710 million from Southeast Asia[22]. - The total revenue from external customers for the fiscal year was 26,247 million JPY, with a significant contribution from the Japanese market[52]. - The total revenue from the Japanese pachinko and pachislot business increased by 2,049 million yen or 9.3% to 23,944 million yen, attributed to the recovery of the Japanese economy and improved customer flow[174]. - The revenue from the restaurant operations in Japan for the fiscal year ending March 31, 2024, is expected to reach ¥708 million, up from ¥480 million in the previous year[136]. - The revenue from amusement park operations for the fiscal year ending March 31, 2024, is projected to be ¥1,687 million, slightly down from ¥1,710 million in the previous year[136]. - The revenue from vending machines in 2024 reached 453 million yen, an increase of 75 million yen or 19.9% from 378 million yen in 2023, driven by increased customer flow[153]. Assets and Liabilities - The total assets as of March 31, 2024, were 65,760 million JPY, slightly down from 65,804 million JPY in the previous year[3]. - The total equity attributable to the company was 18,981 million JPY, a decrease from 19,294 million JPY in the previous year[15]. - Non-current liabilities decreased to 32,762 million JPY from 34,894 million JPY year-over-year, reflecting a reduction of approximately 6%[15]. - The company reported a total debt of 46,779 million JPY, slightly up from 46,510 million JPY in the previous year[15]. - The total liabilities from discontinued operations were reported at 243 million JPY, with a loss of 431 million JPY recognized in the comprehensive income statement[61]. - The net current liabilities of the group as of March 31, 2024, stand at ¥145 million, suggesting a manageable debt level[132]. - The total amount of borrowings and lease liabilities was 38,357 million JPY as of March 31, 2024, down from 39,936 million JPY in 2023[188]. Operational Changes - The company terminated its restaurant operations in China in August 2023, which is reflected in the discontinued operations for the reporting period[10]. - The company has decided to exit its restaurant business in China, officially terminating operations on August 15, 2023, to improve financial conditions[30]. - The group has ceased its restaurant operations in China as of August 2023, focusing on its core businesses in Japan and Southeast Asia[123]. Investments and Expenditures - The company reported a total capital expenditure of ¥80 million for the year, down from ¥172 million in the previous year[32]. - The subsidiary Nexia Inc. invested a total of 880 million yen to acquire a property in the prime area of Gunma City in March 2024[80]. - The company plans to open multiple new AEON shopping mall locations in Vietnam starting from 2025, despite an increasingly competitive environment[82]. Financial Management - The company believes it has the ability to meet its financial obligations in the foreseeable future, thus preparing the financial statements on a going concern basis[6]. - The company’s financial income from ongoing operations was ¥84 million, with a financial cost of ¥979 million[28]. - The net financial cost for the year was ¥891 million, slightly down from ¥887 million in the previous year[28]. - The company faced an impairment loss of 586 million yen on property, plant, and equipment, as per International Accounting Standard 36[157]. - The company recognized impairment losses of approximately 284 million JPY on cash-generating units for the fiscal year ending March 31, 2024, compared to 371 million JPY in the previous year[73]. Market and Economic Conditions - The GDP growth rate in Vietnam slowed from 8.0% in the previous year to 5.1%, while Cambodia's GDP growth rate slightly decreased from 5.2% to 5.0%[107]. - Revenue from the overseas business Dream Games decreased by 1.3% to 1,687 million JPY due to the economic slowdown in Vietnam and Cambodia[103]. Future Outlook and Strategy - The company aims to continuously embrace challenges and adapt to social changes to ensure sustainable development over the next century[148]. - The company plans to expand its market presence and innovate through new product development and technology advancements[147]. - The company plans to enhance its operational efficiency through digitalization and renovation of existing game halls[83]. - The company aims to increase the number of amusement machines and ensure stable profitability through investments in new game halls and acquisitions[83].

Financial Performance - For the six months ended September 30, 2023, the revenue from Japanese-style pachinko machines increased significantly by 4,711 million yen to 63,890 million yen, compared to 59,179 million yen in the previous period[48]. - Total revenue for the six months ended September 30, 2023, was 13,189 million JPY, an increase of 907 million JPY or 7.4% compared to 12,282 million JPY for the same period in 2022[70]. - Net profit attributable to the company's owners for the six months ended September 30, 2023, was 622 million JPY, down from 1,116 million JPY in the same period last year, reflecting increased expenses related to machine replacements[87]. - The operating profit for the same period was ¥1,399 million, down from ¥2,201 million year-over-year, indicating a decline of 36.4%[160]. - The net profit attributable to the company’s owners for continuing operations was ¥622 million, compared to ¥1,116 million in the previous year, reflecting a decrease of 44.4%[160]. Assets and Liabilities - As of September 30, 2023, total assets amounted to 66,207 million yen, with current assets at 12,980 million yen[41]. - The total liabilities as of September 30, 2023, were not specified, but the company had no significant contingent liabilities[10]. - The company’s non-current assets included property, plant, and equipment valued at 14 million yen as of September 30, 2023[41]. - The group remains open to market expansion opportunities, including business acquisitions and establishing new branches, despite geopolitical pressures and economic uncertainties[98]. - As of September 30, 2023, the group's current liabilities totaled ¥259 million, with a current ratio of 0.98, down from 1.07 on March 31, 2023[91]. Cash Flow and Financing - The company’s cash and cash equivalents stood at 11,122 million yen as of September 30, 2023[41]. - Cash and cash equivalents amounted to ¥11,122 million, an increase from ¥10,435 million as of March 31, 2023[91]. - The net financing cost for the six months ended September 30, 2023, was 430 million JPY, a decrease of 41 million JPY or 8.7% from 471 million JPY in the same period last year[86]. - The company incurred financing costs of ¥477 million, which contributed to a net financing cost of ¥430 million for the period[160]. - Total bank borrowings, including bank loans and syndicated loans, reached ¥10,612 million as of September 30, 2023, compared to ¥10,206 million as of March 31, 2023, reflecting an increase of 4.0%[134]. Revenue Segments - Revenue from the Southeast Asia segment reached 941 million JPY, returning to pre-pandemic levels, driven by strong domestic demand and increased spending on children's entertainment[72]. - The restaurant segment, including LIZARRAN and KOMEDA, saw revenue rise by 47% to 349 million JPY from 237 million JPY in the same period last year, benefiting from the recovery of inbound tourism[73]. - Revenue from Japanese pachinko and slot machine operations increased by ¥725 million or 6.7% to ¥11,618 million for the six months ended September 30, 2023, compared to ¥10,893 million for the same period last year[103]. - Total payout increased by ¥3,986 million or 8.3% to ¥52,272 million for the six months ended September 30, 2023, from ¥48,286 million in the previous year[105]. - The operating income from amusement parks rose to ¥941 million, including revenues from Vietnam and Cambodia of ¥658 million and ¥283 million, respectively[106]. Corporate Governance and Shareholder Information - The company’s board of directors includes notable members such as Mr. Hisanori Taniguchi (Chairman) and Mr. Akihiro Oishi[8]. - Major shareholders include Densho Limited with an ownership of 225,560,460 shares, representing 18.86% of total shares[170]. - The company has adopted the corporate governance code and confirmed compliance with the standards for securities trading by directors[140]. - The company declared an interim dividend of JPY 0.09 per ordinary share for the six months ended September 30, 2023, down from JPY 0.17 per share for the same period in 2022[172]. - No shares were repurchased or sold by the company or its subsidiaries during the six-month period[141]. Operational Developments - The company has expanded its Self-POS prize redemption system from 10 to 31 game centers, enhancing customer experience and reducing labor costs[1]. - The company has initiated the installation of Smart Slots and Smart Pachinko machines to meet the growing demand for contactless technology[1]. - The company plans to open two new LIZARRAN restaurants and one KOMEDA café in Yokohama by 2024, reflecting optimism in the restaurant segment[77]. - The company has been operating Japanese-style pachinko halls for over 60 years, with a strong network established since its first hall opened in 1950[4]. - The company aims to enhance customer experience, reflecting its motto of "Creating Happy Times" through its operations[4]. Employee Information - As of September 30, 2023, the company had 1,571 employees, with compensation policies determined by the performance and qualifications of employees[123]. - The company did not engage in any significant investments, acquisitions, or disposals during the six months ended September 30, 2023[122]. Financial Review and Compliance - The unaudited consolidated financial data for the six months ended September 30, 2023, was reviewed by the audit committee and has been prepared in accordance with International Accounting Standard 34[173]. - The company’s financial results were reviewed by PwC, ensuring compliance with international review standards[177]. - The interim financial data includes comprehensive income statements and cash flow statements for the six-month period[176].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概 不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本 公告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承擔 任何責任。 （於日本註冊成立的有限公司） （股份代號：1245） 截 至 二 零 二 三 年 九 月 三 十 日 止 六 個 月 之 中 期 業 績 公 告 業績概要 • 總投入額為63,890百萬日圓（或3,547百萬港元#），較去年同期增加8.0%； • 收益為13,189百萬日圓（或732百萬港元#），較去年同期增加7.4%； • 除 所 得 稅 前 溢 利 為969百 萬 日 圓（或54百 萬 港 元#），去 年 同 期 則 錄 得 除 所得稅前溢利1,730百萬日圓； • 本 公 司 擁 有 人 應 佔 期 內 溢 利 為622百 萬 日 圓（或35百 萬 港 元#），較 去 年 同期減少44.3%； • 本 公 司 每 股 基 本 盈 利 為0.52日 圓（或0.03港 元#）（截 至 二 零 二 二 年 九 月 三十日止六個月：0.93日圓）； ...

Financial Performance - Total revenue for the fiscal year 2023 was ¥24,784 million, an increase of 11.6% from ¥22,209 million in 2022[6] - The net profit attributable to shareholders for 2023 was ¥1,134 million, compared to a loss of ¥1,181 million in 2022, marking a significant turnaround[6] - The overall revenue margin for 2023 was 18.3%, slightly down from 19.5% in 2022[6] - Total revenue recorded a year-on-year increase of 11%[13] - Revenue from Japanese pachinko and pachislot operations increased by 819 million JPY or 3.9% from 21,076 million JPY in 2022 to 21,895 million JPY in 2023 due to the easing of pandemic measures and increased customer traffic[24] - Revenue from amusement park operations surged from 359 million JPY in 2022 to 1,710 million JPY in 2023, driven by the lifting of COVID-19 restrictions in Vietnam and Cambodia[28] - The total comprehensive income for the year was ¥954 million, recovering from a loss of ¥1,185 million in the previous year[198] - Operating profit rose significantly to ¥2,258 million, compared to ¥861 million in the prior year, reflecting a substantial improvement in operational efficiency[198] - The net profit for the year was ¥1,053 million, a turnaround from a loss of ¥1,187 million in the previous year, indicating a strong recovery[198] Assets and Liabilities - Current assets as of March 31, 2023, were ¥12,396 million, a decrease from ¥13,012 million in 2022[8] - The total assets for the company were ¥65,804 million, down from ¥68,300 million in the previous year[8] - Cash and cash equivalents as of March 31, 2023, totaled 10,435 million JPY, a decrease from 11,451 million JPY in the previous year[41] - Total borrowings, including bank loans and syndicated loans, amounted to 10,206 million JPY as of March 31, 2023, down from 11,641 million JPY in the previous year[42] - The company's total equity as of March 31, 2023, was 19,294 million JPY, compared to 19,021 million JPY in the previous year[38] - The debt-to-equity ratio as of March 31, 2023, was 1.5, slightly improved from 1.6 in the previous year[44] - The company reported a current ratio of 1.07, indicating a stable liquidity position[8] Operational Highlights - The company operated 49 game halls with over 28,100 machines, serving customers across ten prefectures in Japan[2] - The amusement park business in Vietnam and Cambodia achieved a significant year-on-year growth of 376%, reaching 1,710 million yen[17] - The company plans to expand its market presence and enhance customer experience through new product offerings and technology advancements[2] - The company aims to expand its market share in the core pachinko business and invest in new game halls and acquisitions[20] - A new store was opened in Cambodia, with a total of 9 stores in Vietnam and 3 in Cambodia[17] - The company is focusing on enhancing existing store profitability and developing operational structures for future growth[17] Expenses and Cost Management - The operating expenses for game hall operations were ¥18,870 million, reflecting a slight increase from ¥18,279 million in 2022[6] - Operating cash flow (before changes in working capital) for the fiscal year ending March 31, 2023, was 6,948 million JPY, an increase from 5,681 million JPY in the previous year[40] - Administrative and other operating expenses rose by 466 million JPY or 14.4% to 3,712 million JPY, driven by increased employee-related costs and advertising expenses[32] - Operating expenses for game halls increased by 591 million JPY or 3.2% to 18,870 million JPY, primarily due to rising global energy prices and small-scale renovations[31] Corporate Governance - The board consists of eight directors, including three executive directors and four independent non-executive directors, ensuring a diverse governance structure[55] - The company has adopted and complied with all applicable principles and code provisions of the Corporate Governance Code as per the Hong Kong Stock Exchange[53] - The company plans to appoint at least one female director by the end of December 2024 as part of its board diversity policy[63] - The board retains decision-making authority on all major matters, including policies, overall strategy, and significant transactions[56] - The company emphasizes the importance of corporate governance as a shared responsibility among directors, focusing on compliance and ethical conduct[60] Risk Management - The company has established a risk management and internal control system to identify, assess, and mitigate significant risks[88] - The risk management office continuously monitors and reviews the effectiveness of the risk management and internal control systems, reporting to the audit committee[94] - The company has implemented a formal whistleblowing policy to allow employees to express concerns regarding risks and internal operations[96] - The internal audit department independently assesses the adequacy and effectiveness of the risk management and internal control systems, reviewing risk-related documents prepared by management and interviewing employees at all levels[98] Shareholder Information - The company declared a final dividend of 0.11 JPY per ordinary share for the fiscal year ending March 31, 2023, down from 0.40 JPY in the previous year[36] - The major shareholder Densho Limited holds 225,560,460 shares, representing 18.86% of the total shares[152] - The company has a public float of at least 25% of its total issued share capital, complying with listing rules[165] - Shareholders holding at least 3% of voting rights for six consecutive months can request the board to convene a general meeting[82] Audit and Compliance - The independent auditor confirmed that the consolidated financial statements reflect the group's financial position and performance in accordance with International Financial Reporting Standards[171] - The audit report indicates that there were no significant misstatements identified in the other information provided by the company[188] - The audit concluded that there were no significant uncertainties regarding the company’s ability to continue as a going concern[194] - The audit firm confirmed compliance with relevant ethical requirements regarding independence throughout the audit process[193]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容 概不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不 對因本公告全部或任何部分內容而產生或因倚賴該等內容而引致之任何 損失承擔任何責任。 （於日本註冊成立的有限公司） （股份代號：1245） 截 至 二 零 二 三 年 三 月 三 十 一 日 止 年 度 之 全 年 業 績 公 告 全年業績概要 • 總投入額為119,837百萬日圓（或7,045百萬港元#），較截至二零二二 年三月三十一日止年度增加10.9%； • 收 益 為24,784百 萬 日 圓（或1,457百 萬 港 元#），較 截 至 二 零 二 二 年 三 月三十一日止年度增加11.6%； • 除 所 得 稅 前 溢 利 為1,363百 萬 日 圓（或80百 萬 港 元#），而 截 至 二 零 二二年三月三十一日止年度則錄得除所得稅前虧損171百萬日圓； • 本公司擁有人應佔年內溢利為1,134百萬日圓（或67百萬港元#），而 截 至 二 零 二 二 年 三 月 三 十 一 日 止 年 度 則 錄 得 本 公 司 擁 有 人 應 佔 虧損1,181百萬日圓； ...