■Performance Trends

1. Summary of financial results for the 2nd quarter of the fiscal year ending 2024/8

Japan BS Broadcasting ＜9414＞'s consolidated financial results for the second quarter of the fiscal year ending 2024/8 were sales of 5,936 million yen (down 1.7% from the same period last year), operating income of 927 million yen (down 16.4% from the same period), ordinary profit of 930 million yen (down 16.2% from the same period), and quarterly net profit attributable to parent company shareholders of 642 million yen (down 15.0% from the same period). Sales did not reach 0.8% compared to the planned value (sales of 5,982 million yen, operating income 826 million yen, quarterly net profit attributable to parent company shareholders: 570 million yen), but operating profit was over 12.2%, ordinary profit was over 12.6%, and quarterly net profit attributable to parent company shareholders exceeded 12.6%, and each profit landed above plan.

Time revenue increased by 15 million yen compared to the same period last year due to expansion/strengthening of mail-order quotas through sales activities, but while net advertisement spots due to sales efforts such as developing new business partners remained strong, spot revenue could not cover the decline in advertisements at mail-order spots due to sluggish market conditions after the COVID-19 pandemic, and decreased by 149 million yen. Also, other income decreased by 38 million yen due to the reaction of investment dividend income from popular anime works in the same period last year. In terms of profit, in addition to strengthening and enhancing anime content, etc., by striving for efficient operation of program-related costs and broadcasting-related expenses, it covered increased amortization burdens associated with broadcast equipment updates, and secured results exceeding plans in terms of profit at each stage.

2. Status by sales category (individual)

Sales of time revenue, which accounts for 72.3% of total sales (individual), remained steady at 4,009 million yen, up 0.4% from the same period last year, but fell 2.4% below the initial planned value of 4,106 million yen. The mail-order framework was expanded by strengthening sales activities, and sales increased compared to the same period last year, but the planned value was not reached. Spot revenue sales, which accounted for 21.0% of the same period last year, fell 11.4% from the same period last year to 1,164 million yen, resulting in 2.8% lower than the initial planned value. The pure advertising division (TV commercials, etc.) performed well due to strengthened sales activities such as developing new business partners, etc., but as a result of spot advertisements declining in response to weak mail-order market conditions, it fell below the same period last year.

Sales from other business income, which accounted for 6.7% of the same period last year, fell 9.3% from the same period last year to 373 million yen. Although revenue from related events remained steady, it was not possible to cover the decline in reaction due to strong performance of anime works such as anime production committees, etc. invested by the company during the same period last year, and it fell 12.3% below the initial planned value of 425 million yen.

(Author: FISCO Analyst Tomokazu Murase)