KADOKAWA is making the maximization of series value a part of its Animation Planning and Development Policy, according to its recently released earnings results for the fiscal year ended March 31, 2025.
Under the “Maximizing the Value of Series” section, it states that it “will build systems for the production of sequels to popular animation IPs at the early stages, concentrating allocation of the necessary resources to strengthen titles.” The intention is to increase the amount of hit titles and “maximize series sales.”
The “Animation IP Major Series Titles” that are highlighted in the section are KonoSuba: God’s Blessing on This Wonderful World! Season 3, OSHI NO KO Season 2, Re:ZERO -Starting Life in Another World- Season 3, and My Happy Marriage Season 2.
Another part of the policy involves the creation of a “diverse lineup” through the development of new titles, with a focus on KADOKAWA’s “popular original IPs.” The genre examples it gives to highlight its IP variety include slice of life, school, sports, action, isekai, fantasy, and romantic comedy. It also has “Suitable for YouTube” and “Suitable for Merchandise” categories listed.
On the subject of tariffs, which feature in the first question of the FAQ section, KADOKAWA is currently not particularly concerned about its impact on its business. “Among the Group’s overseas sales, only a small amount involve the physical export of actual goods to the United States, and from that perspective we currently believe that any impact on our financial performance will be minor,” it says. “At this point we do not plan on making any changes to our future plans due to this impact, but we will carefully monitor how conditions develop going forward.”
Here are some other snippets from the earnings report:
• OSHI NO KO is KADOKAWA’s best-selling title for the 2024 financial year, and the only one in the top 10 net sales ranking to achieve its placement through the Animation/Film segment alone (the manga is published by Shueisha). It scored almost six billion yen (~US$41.33 million) in net sales, and is the only top 10 title to pass the four billion yen mark (which Re:ZERO comes close to reaching).
• In descending order, the other top 10 performers are Re:ZERO, Delicious in Dungeon, Overlord, Bungo Stray Dogs, Pan Dorobou, The Eminence in Shadow, Konosuba, Alya Sometimes Hides Her Feelings in Russian, and Sword Art Online. Pan Dorobou and Sword Art Online were the only ones with no animation presence this fiscal year. For the other titles, the Animation/Film segment was always the biggest contributor to their net sales performance.
• Looking at the Animation/Film segment only, the top 10 best-selling titles in descending order are OSHI NO KO, Re:ZERO, Overlord, Delicious in Dungeon, Konosuba, Alya Sometimes Hides Her Feelings in Russian, Unnamed Memory, The Eminence in Shadow, Bungo Stray Dogs, and Medalist.
• KADOKAWA’s Animation/Film segment hit record net sales and operating profit for two continuous years, and KADOKAWA says that the “animation business alone has enabled us to achieve record-high performance, driving sales and operating profit in the segment overall.” The business scope includes domestic and international streaming and rights licensing for “video games, merchandise and gaming machines.”
• The Animation/Film segment saw a Year-on-Year increase of 10.9% in net sales and operating profit. Net sales for the 2025 fiscal year are recorded to be 5.1 billion (~US$35.1 million) yen.
• KADOKAWA’s streaming rights licensing sales increased, with Ishura Season 2 and Medalist being the main drivers.
• KADOKAWA is preparing for “the continuous release of titles linked to anime IPs” when it comes to mobile games. OSHI NO KO is cited as an example of one of these IPs.
• KADOKAWA’s plans for internal anime studios in order to “build a high-quality and stable production system and enhance the infrastructure for animation IP production” get another mention. The latest addition to its collection so far is Chiptune, which became part of the KADOKAWA Group in February. Chiptune brings “advanced technical expertise in cinematography and computer graphics” to the table.
• While Elden Ring and its DLC get the main shoutout for contributing to the Gaming segment’s sales increase in the fourth quarter, “royalties from the strong performance of” Dragon Ball Sparking! ZERO also receive a mention.
Source: KADOKAWA (PDF)
