1. What Happened? : Simultaneous Occurrence of Major Shareholder Change and Sluggish Performance

Recently, the gaming company experienced a significant event: a change in its major shareholder. Simultaneously released first-half earnings cast a dark shadow, revealing declining sales and operating profit. Both the gaming and Ad-tech sectors are struggling, raising concerns about slowing growth.

2. Why Did This Happen? : Causes of Sluggish Performance and Background of Major Shareholder Change

The decline in sales is attributed to intensified competition in the gaming market and increased volatility in the Ad-tech market. The decrease in operating profit, coupled with the sales decline, suggests a need for improved efficiency. The change in major shareholder is interpreted as a strategic choice to secure new growth engines.

3. So What Happens Next? : Analysis of Positive/Negative Factors and Future Outlook

  • Positive Factors:
    • Expected synergy through the new major shareholder’s game development and publishing expertise.
    • Solid financial health (low debt ratio, good current ratio).
    • Continuous R&D investment.
  • Negative Factors:
    • Possibility of continued decline in sales and operating profit.
    • Dependence of net profit on financial asset valuation gains.
    • Dependence on the gaming business and intensifying competition in the Ad-tech market.

The future stock price is expected to be significantly influenced by the synergy effect from the major shareholder change and whether the company can improve its core business profitability.

4. What Should Investors Do? : Action Plan

Investors should consider the following:

  • Check whether the company is strengthening its core business competitiveness through new game development, live service upgrades, etc.
  • Monitor strategies for synergy creation through collaboration with the major shareholder.
  • Continuously observe the trend of actual operating performance improvement.