Gaming stocks, evening of October 29: Konami raises its annual profit forecast

Konami raised its annual operating profit forecast from 143 billion to 193 billion yen after revenue grew 37% in the first half of its financial year. The performance of eFootball and Yu-Gi-Oh! helped lift the forecast, according to GameBiz.

First-half operating profit rose 73%

In the six months ended September, revenue reached about 308 billion yen and operating profit was about 111.3 billion yen, up 73.1% year over year, according to Konami’s results. The revenue forecast for the year ending March 2027 rose from 505 billion to 583 billion yen.

Konami shares trade in Tokyo under the ticker 9766.

Online games helped lift the outlook

First-half revenue at the digital entertainment division, which includes the games business, rose 44.3%, while its business profit increased 75.1%, according to Game*Spark. The company cited a major eFootball update and events, as well as the performance of Yu-Gi-Oh!, among the factors. The division’s revenue also includes card products, not just video games.

Paradox grows on catalogue sales

Paradox Interactive (PDX, Stockholm) reported third-quarter revenue of 456 million Swedish kronor, up 15% year over year. Operating profit rose 27% to 142 million kronor, according to the company’s report.

CEO Fredrik Wester said there were few releases during the quarter, and those came late, so sales from the broader catalogue carried the results. The company listed Cities: Skylines, Crusader Kings III and Stellaris among its sources of revenue.

From the bench: 11 bit studios

11 bit studios (11B, Warsaw) develops Frostpunk and The Alters and also publishes games by other studios. It is working on Frostpunk 1886, a reimagined and expanded version of the original strategy game. Its financial calendar lists third-quarter results for November 25.

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