Konami profits up 22.4%, takeover defenses renewed
Metal Gear foundry in black despite 15.4% revenue drop; plan to ward off unwanted large-scale stock purchases renewed.
So far this month, Nintendo, Capcom, Namco Bandai, Activision Blizzard, Electronic Arts and Sony have all filed annual earnings reports. Konami joined the financial festivities today, announcing its profits rose 22.4 percent for the year ending March 31, 2010.
For the 12-month period, the company reported ¥13.3 billion ($143.2 million) in profits, up from ¥10.9 billion ($117.5 million) a year ago. However, annual revenues were ¥262.1 billion ($2.82 billion), a decrease of 15.4 percent from the ¥309.8 billion ($3.34 billion) it took in the year prior. Notable releases during Konami's last fiscal year include Pro Evolution Soccer 2010, Saw, Karaoke Revolution, and Silent Hill: Shattered Memories.
For its current fiscal year, Konami is predicting nearly flat growth, despite upcoming releases, such as Metal Gear Solid: Peace Walker, Saw 2, and PES 2011. The company is anticipating a profit increase of just 1.7 percent to ¥13.5 billion ($145.5 million), with overall revenue climbing 8.7 percent to ¥285 billion ($3.07 billion).
In addition to its financial results, Konami announced today that it was renewing and slightly revising a system to deter a corporate takeover. Initially put in place in 2007, the plan calls for a mandatory review by the board of directors of any mass purchases of stock. The review will determine if the mass purchase will add or dilute value of current shareholders' holdings. If the board determines the latter to be true, it will enact "countermeasures" to deter the purchase.
Got a news tip or want to contact us directly? Email email@example.com