Financial Performance - Total bets for the fiscal year 2024 increased by approximately 6.6% to about ¥31,850 million, compared to ¥29,871 million in fiscal year 2023[1]. - Revenue for fiscal year 2024 rose by approximately 3.2% to about ¥6,483 million, up from ¥6,284 million in fiscal year 2023[1]. - Operating profit for fiscal year 2024 decreased by approximately 39.7% to about ¥1,996 million, down from ¥3,310 million in fiscal year 2023[1]. - Profit before tax for fiscal year 2024 fell by approximately 39.5% to about ¥1,904 million, compared to ¥3,146 million in fiscal year 2023[1]. - Net profit attributable to shareholders for fiscal year 2024 decreased by approximately 36.5% to about ¥2,044 million, down from ¥3,220 million in fiscal year 2023[1]. - Basic and diluted earnings per share for fiscal year 2024 were approximately ¥3.41, compared to ¥6.22 in fiscal year 2023[1]. - The company reported a net profit of ¥2,044 million for the fiscal year ending June 30, 2024, down from ¥3,220 million in the previous year, a decrease of approximately 36.4%[16]. - The pre-tax profit decreased by approximately 1,242 million JPY or about 39.5% from 3,146 million JPY in FY2023 to 1,904 million JPY in FY2024, primarily due to a reduction in lease liability income[58]. - The annual profit attributable to shareholders decreased by approximately 1,176 million JPY or about 36.5% from 3,220 million JPY in FY2023 to 2,044 million JPY in FY2024[59]. Assets and Liabilities - Total assets as of June 30, 2024, were ¥18,470 million, compared to ¥18,266 million as of June 30, 2023[4]. - Total liabilities decreased to ¥10,701 million in 2024 from ¥12,548 million in 2023[5]. - Total equity attributable to shareholders increased to ¥7,769 million in 2024 from ¥5,718 million in 2023[5]. - Total assets as of June 30, 2024, amounted to ¥18,470 million, up from ¥18,266 million in the previous year, reflecting an increase of approximately 1.1%[19]. - The proportion of borrowings due within one year increased to 18.9% (¥940 million) from 16.1% (¥785 million) in the previous year[65]. - The debt-to-equity ratio decreased to approximately 39.3% as of June 30, 2024, down from 56.6% a year earlier, primarily due to an increase in cash reserves[68]. - Total borrowings amounted to approximately 4,987 million JPY as of June 30, 2024, compared to 4,883 million JPY as of June 30, 2023, with about 74.4% being bank loans[60]. Revenue Streams - The revenue from Japanese pachinko and slot machine operations was 5,989 million JPY, up from 5,822 million JPY in the previous year, indicating a growth of about 2.9%[13]. - The company recognized revenue of 523 million JPY from contract liabilities related to unused tokens and game coins, compared to 387 million JPY in 2023, reflecting a year-over-year increase of 35.1%[14]. - Revenue from property leasing was 385 million JPY, an increase from 359 million JPY in the previous year, showing a growth of about 7.2%[13]. - The company’s revenue from vending machine operations was 96 million JPY, slightly up from 94 million JPY in 2023, indicating a growth of 2.1%[13]. - Total revenue for the fiscal year 2024 increased by approximately ¥199 million or 3.2% to about ¥6,483 million, primarily due to increased customer traffic from the introduction of more smart machines[41]. - Total payouts increased by approximately ¥1,812 million or 7.5% to about ¥25,861 million, reflecting the rise in total bets[44]. - Rental income from properties increased by approximately ¥26 million or 7.2% to about ¥385 million, driven by parking fee adjustments and property renovations[41]. - Other income rose by approximately ¥15 million or 3.4% to about ¥457 million, mainly due to increased sales of second-hand machines following the purchase of more smart machines[46]. Operational Changes - The company plans to close the K's Plaza Ohato gaming hall to concentrate resources on the more promising SENKURA Dejima gaming hall, aiming to enhance customer experience and reduce operational losses[35]. - The company is diversifying its revenue streams by expanding operations into vending machines, rental properties, and car rental services in fiscal year 2024[36]. - The company has successfully replaced all high-gambling content machines in compliance with the 2018 regulations, which has negatively impacted the attractiveness of the gaming industry[38]. - The company will closely monitor the performance of smart machines and implement appropriate marketing strategies to attract more players[38]. - The company aims to explore new measures and opportunities to enhance operational performance and diversify revenue sources[35]. - The group expects continued steady improvement in operational and financial performance due to completed capital investments for new banknote compatibility[40]. - The group has implemented a new self-service prize redemption system to enhance customer safety and reduce staff interaction[40]. Employee and Administrative Costs - The total employee cost for the fiscal year 2024 is approximately 1,032 million yen, representing about 17.0% of the group's total operating expenses[79]. - The company has 352 employees as of June 30, 2024, down from 381 employees a year earlier[79]. - Administrative and other operating expenses increased by approximately 101 million JPY or about 15.0% from 675 million JPY in FY2023 to 776 million JPY in FY2024, mainly due to increased consulting service expenses related to a potential web 3.0 business feasibility study[50]. Capital Expenditures and Investments - Capital expenditures for the fiscal year 2024 amounted to approximately ¥1,480 million, significantly higher than ¥676 million in fiscal year 2023[71]. - The company has entered into multiple agreements to extend the maturity/redemption dates of the bonds, with the latest extension set for January 25, 2024, and July 30, 2024[76]. - The company plans to continue its investment in bonds under the current terms due to the uncertain business outlook in the Japanese pachinko industry[78]. - The company has established a stock option plan to incentivize eligible participants, with a maximum of 50 million shares available for issuance[80]. Dividends and Shareholder Information - The board of directors did not recommend the payment of a final dividend for fiscal year 2024, consistent with fiscal year 2023[1]. - The company did not declare any dividends for the fiscal year ending June 30, 2024, consistent with 2023[29]. - The company completed a placement of 100,000,000 shares on April 26, 2023, representing approximately 16.67% of the total issued share capital at a price of HKD 0.20 per share[82]. - The total proceeds from the placement amounted to HKD 20.0 million, with a net amount of approximately HKD 17.0 million after deducting commissions and expenses[82]. - The company will hold its 2024 Annual General Meeting on November 22, 2024, with a notice to be published in due course[94]. - Share transfer registration will be suspended from November 19 to November 22, 2024, to determine shareholder voting rights at the AGM[95]. - The company's annual report for the fiscal year 2024 will be published and sent to shareholders at an appropriate time[96].
OKURA HOLDINGS(01655) - 2024 - 年度业绩