GREE Reports FY2013 Second Quarter Results

TOKYO, Japan – February 12, 2013 – GREE today announced financial results for its fiscal 2013 second quarter ended December 31, 2012. GREE recorded net sales of ¥39.4 billion and operating profit of ¥14.2 billion for the second quarter.

Second Quarter FY2013 Financial Summary

Millions of yen, rounded down
FY2013 Q2 FY2013 Q1
Net sales 39,407 37,935
EBITDA* 15,763 16,744
Operating profit 14,258 15,750
Ordinary profit 16,330 15,250
Net profit 9,048 9,069
  • * Operating profit + depreciation costs + amortization of goodwill

Financial Highlights

  • Net sales for the second quarter totaled ¥39.4 billion, an increase of 4% compared with ¥37.9 billion in the first quarter of fiscal 2013
  • Operating profit was ¥14.2 billion, a decrease of 9% compared with ¥15.7 billion in the first quarter of fiscal 2013
  • Paid services sales amounted to ¥36.2 billion, an increase of 5% compared with ¥34.6 billion in the first quarter of FY2013. During the second quarter, paid service sales recovered gradually quarter-on-quarter, with multiple existing titles maintaining a moderately paced recovery and new titles gradually contributing to sales
  • Advertisement sales were ¥3.1 billion, a decrease of 6% compared with ¥3.3 billion in the first quarter of fiscal 2013. Advertisement sales fell slightly on the previous quarter because, although smartphone advertising was firm, it was insufficient to completely offset declining feature phone advertising sales
  • Cost of sales was ¥6.3 billion, a quarter-on-quarter increase of 35% compared with ¥4.6 billion in the first quarter of fiscal 2013, reflecting higher labor costs, which is due to labor costs included in the sales, general and administrative costs being transferred to cost of sales from the second quarter of fiscal 2013, and other costs concomitant with expansion
  • Sales, general & administrative costs were ¥18.8 billion, an increase of 7%, reflecting increased costs for marketing, and paid commissions

Business Highlights

  • Achieved quarter-on-quarter growth in net sales for the first time since third quarter of FY2012
  • Coin consumption grew quarter-on-quarter in Japan, while global coin consumption has grown on a monthly-basis from October
  • Released new simulation games overseas and increased the lineup of IP-based games with new titles, partnering with major IP holders in Japan and North America

FY2013 Initiatives


  • Target growth through the launch of multiple new browser-based games
  • Increase lineup by launching new games across a broad range of genres for the native app market
  • Grow platform by expanding user reach through business partnership with Yahoo! Japan
  • Expand business areas through new services


  • North America and Europe markets: Create hit titles through effective marketing emphasizing balance of LTV and CPI
  • North America and Europe markets: Utilize expertise acquired in Japan on a global level
  • South Korea market: Release titles in card battle and simulation genre for market entry

FY2013 Earnings Forecast (revised February 12, 2013)

In view of its business performance during the first half of fiscal 2013, GREE has revised its full-year earnings forecasts. (For further details, please refer to the announcement, “GREE Announces Revised Forecast for Fiscal 2013” dated today.)

  • Net sales are projected to be in the range of ¥160 billion to ¥170 billion
  • Operating profit is projected to be in the range of ¥50 billion to ¥60 billion
  • Ordinary profit is projected to be in the range of ¥50 billion to ¥60 billion
  • Net profit is projected to be in the range of ¥31 billion to ¥37 billion


For further information, see FY2013 Second Quarter Financial Results [PDF : 1,321KB]

About GREE, Inc.

GREE is a global mobile social company with businesses that include social gaming, social media, advertising, licensing and merchandising, and venture capital. Established in December 2004, GREE operates one of Japan's largest social networking services, supporting 14 languages. GREE created the world’s first mobile social game in 2007 and today its mobile social gaming ecosystem reaches 169 countries and regions. GREE has offices in Tokyo, Osaka, San Francisco, London, Singapore, Seoul, Beijing, Amsterdam, Dubai, Sao Paulo, and Vancouver.

GREE and the GREE logo are trademarks or registered trademarks of GREE, Inc. in Japan and/or other countries. All other trademarks are the property of their respective owners.

Contact Information

Roppongi Hills Mori Tower, 6-10-1 Roppongi, Minato-ku, Tokyo, Japan
Twitter: @GREE_pr_jp
News Releases