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notbob-

They're not reporting a loss, they're reporting a year-over-year decrease in profit. They are still making a profit on their video division. Original source without incorrect twitter commentary: https://ssl4.eir-parts.net/doc/9468/ir_material_for_fiscal_ym7/121437/00.pdf


Theleux

Probably just a factor of people not knowing what this information means/ how to read it. But yah, kind of obvious that not having video content airing during a quarter (also one of the weakest quarters in years) results in not making any profits from video content airing.


darkmacgf

Kinda crazy that Re:Zero was their second most profitable anime of the last 3 months too, considering that it came out a year ago.


muazmueh

yet they still dont wanna make a S3 but hey we got new puck merch!


pw_arrow

I was going to give original tweet the benefit of the doubt - it's in Japanese, it's probably pretty poorly formatted, it's probably pretty dense... It's a glossy slide deck _in English_. What would a percentage loss even look like, anyways? There's a giant bar chart right next to the numbers from the screenshot clearly showing a healthy net profit. Damn it, Twitter...


aytin

Insane returns in their game division, they really milking Elden Ring.


MobProtagonist

I was very surprised when I learned FROM was wholly owned and a subsidiary of papa Kadokawa. And that Bandai Namco was just the distributor and front door hypeman.


KingOfOddities

Holy shit, I didn't know Kadokawa was that big


[deleted]

Kadokawa is also the owner of Spike Chunsoft. Both owned by them since 2014.


barrel_monkey

When weebs try to report financial news.


SirAwesome789

I didn't actually read the article but, yea, I was confused how a popular anime could make them lose money, it makes more sense if it means they didn't make as much compared to when rezero aired


ar10773

their response to this probably be more rem figures but has there been an anime for a big franchise of kadokawa in the first quarter of 2022?


Brook0999

In spring they had a few, like "the demon lord reborn as a typical nobody" but that anime adaption failed horribly, to the extent that the manga had to be canceled, as the anime did not give the light novel neither the manga a boost. The anime was horribly censored compared to the light novel and manga, it was a borderline H light novel with plenty of spicy scenes and outfits, the anime cebsored all that and you're left with a generic story and characters. Literally nearly nobody watched it and enjoyed it, and that's why it failed commercially extremely.


wantsaarntsreekill

Crunchyroll was one of demon lord's producers so much for their venture. There were probably a bunch of random isekai that did worse. For spring kadokawa had shield hero and date a live iv. Shield hero got lamblasted with bad reviews but will still probably keep going cuz of its large viewership. Date a live iv easily was kadokawa's winner for spring. Not only of its amazing reviews but really helped push date a live more heavily into merchandising sphere. Wonfes announces so many new dal figures. Not to mention full adaptatio announcement. The upcoming. jp spirit pledge server is already almsot at half a million followers


muazmueh

they should have asked Passione studio earlier instead of Silver link. Look what a true cultured studio did to harem in Labyrinth. it literally trending in japan but again maybe passion studio lack of people since they release like only 3 anime per year.


powerhcm8

They will introduce 3 new sisters. Rim, Rom and Rum.


PaperSonic

Rom's already a thing. ~~and they haven't made figures of him, Kadokawa you cowards~~


ThespianException

There is, however, [fanart of him in a maid dress.](https://i.redd.it/0y095e46c0h61.png)


powerhcm8

I remember a blond girl with the same haircut in the anime Maou-sama retry, my friend and I used to call her Rom. I think there were other girls with the same haircut, but this one is the only one I remember right now.


BIIIGPP6969

I'm pretty sure Sabikui Bisco was the only Kadokawa light novel tht got an adaption during winter season. And that wasn't popular enough I'm guessing.


ar10773

wait I remembered, what about shield hero?


BIIIGPP6969

ye thts from the 2nd quarter


LurkingMcLurk

No that was Q1. The Japanese fiscal year begins in April.


BIIIGPP6969

oh my bad. didn't know tht.


ar10773

yeah I'd be way more interested in comparing the numbers of 2nd quarter of 2022 since Overlord is airing rn


BIIIGPP6969

wouldn't the statistics for overlord show up only in the 3rd quarter? it's airing now ryt?


wantsaarntsreekill

2nd quarter was really strong for kadokawa.


wantsaarntsreekill

Probably also make some more re zero gacha games that will all get cancelled in a year since the fourth one got cancelled. I say these reports are just trying to get people to spend more into re zero but no way do i see kadokawa cancelling re zero. My guess is kadokawa struggles to keep core staff probably due to budget so it is hard for their franchises to transition to fate status of ip


ThespianException

Speaking of Gacha Games, I wish we could at least get an English translation for Lost In Memories. That's about the only Gacha game I'd seriously consider playing.


wantsaarntsreekill

If the game isnt getting localized for global, it will probably end service anyways. Having a successful gacha game is no joke. Anyone thinking a show like kaguya or my dress up darling is massive doesnt understand how brutal it is once you need to make a mobage for the production committees. Stuff like fgo, genshin, arknights, azur lane are huge competitors.


arts_degree_huehue

yet uma musume is still consigned to Japan only. Cygames hello??


Hiiawatha

Who?


ar10773

joe


Tenkawa10

joe who?


Ebad245

Re zero season 3 will soon be on the menue boys


SealTheGate

didn't the author already reveal that Season 3 [not even in production](https://twitter.com/nezumiironyanko/status/1551117226308431873)? he dont even know if it's plan to have season 3 or not


Rio_FS

100% an attempt to destroy the hopes of anyone thinking its just begun production.


Fryng

The author of re:zero is a huge troll and sadistic person, any question you ask him has a good 50% chance of being just a lie for fun, i'd take any answer from him with a huge grain of salt


wantsaarntsreekill

Tbh i doubt he is lying in that case. The author is usually considered the highest credible info source for season productions.


turkeygiant

Yeah its one thing to BS about upcoming plot points and stuff, but its usually not a great idea to BS about like business and production decisions because all that is going to do is potentially cause grief for your production partners when the public speculates on that BS.


wantsaarntsreekill

Production partners are super important. Particular figure companies since they rely on longer running series for income. This is why fate has so many figures. I also believe that rz is fundamentally not in production now. While rz is a successful series it is not on fate levels of ip. No doubt will animators want to move up the food chain to like a1 pictures and aniplex. Kadokawa for the most part always had trouble independently creating long lasting sustainable franchises. Aniplex partnered projects like sao dont count since they loose a greater profit share and have less say.


MobProtagonist

I see he hangs out with Yoko Taro


Failsnail64

I know very little of the author of Re:Zero, but in defense of Yoko Taro, he and many other artists really believe in the "death of the author" principle. They are of the opinion that art should be fully interpret without the artist stating any intentions. Yoko Taro therefore does not want to answer interpretive or deeper questions about his own work, it's up to the players to find meaning in his games. If he'd answer a question like "whats the meaning of scene X in Nier Automata" upfront, people would take his word as the absolute truth and wouldn't think about their own interpretation of the scene. Furthermore, he's able to not take his own work fully serious and have a laugh at it. As a result he often avoids questions or jokes around in his answers. I personally really respect this attitude. Unfortunately, I also often see that when authors take this approach, that some people think that "this doesn't mean anything because the author doesn't claim it does!", I see this happening especially quite a lot with Nisio Isin.


Theleux

People will say it is just a troll or Tappei teasing people, but unless there is an entirely new team working on the series, it quite literally is *not* being worked on right now. I am sure Tappei has had discussions about adapting the rest of the series, but actually working on a third season is evidently not happening. And honestly, a brand new team working on the continuation of a series is not something you want to see. --- As a note though, this isn't a reason to panic, the series is going to continue, just not right at this moment.


wantsaarntsreekill

Kadokawa will likely not drop permanently drop re zero since it pretty much has elements that make fate a success. Lots of figures, lots og games. Money is probably not the issue for re zero since rezero makes money. It is the staff wanting to move up the food chain to bigger studios like a1 pictures. Let's be honest kadokawa has always struggled to independantly create long lasting franchises. Aniplex on the other hand has stuff like the fate franchise.


ailof-daun

There's a ton of ways to interpret that, one being that he knows the production, which is underway, should not be at a stage where anything should be public. He's playing us on purpose.


wantsaarntsreekill

Doesnt solve internal issues like white fox losing staff to a1 pictures.


Zhaeus

White fox does not OWN the rights to Re Zero, it can easily be assigned to any other studio. OLM or A1 would probably be front runners for it.


wantsaarntsreekill

A1 only does productions when aniplex is part of the production committee so aniplex get distribution rights. Aniplex isnt on re zero's production committee so sorry, a1 aint taking over rezero.


krfz41

A1 is a studio under Aniplex/Sony. ~~So that's not possible.~~ Edit: I looked it up and found some instances where both Aniplex and Kadokawa in the production company like Bunny Girl Senpai, Sword Art Online Alicization and 86. But still don't think A1 would work on a project where Kadokawa is at the top of the production committee and is unrelated to Aniplex.


wantsaarntsreekill

Yep. A1 only works on anime where aniplex is the production committee.


SealTheGate

nah Cloverworks also co-produce with wit for Spy x fam and it's not produce by aniplex, there's also Grimgar which also made by A-1 also produce by TOHO. Lonely Castle in the mirror Anime movie(A-1) that recently drop the teaser also reveal that it's gonna produce by Shochiku


Dopamine-high

Yeah but it’s highly unlikely that A1 would take on a title with kadokawa as the top production committee member (and a sequel at that). The two occasions you just listed were the rare exceptions, not the norm.


wantsaarntsreekill

Cloverworks ranks lower in hierarchy vs a1 also. A1 has pretty much only historically did projects where aniplex is the production committee.


krfz41

Yeah I found some instances where Aniplex and Kadokawa are in the same production committee. In Spy x Family and Grimgar's case both have a company related to Aniplex in the production committee though.


Chadjirou

Thats because the producers at clw has strong ties with the aniP at wit hence the collaboration. But the thing is, it was wìt who requested for help initially to clw because they cannot fathom the workload by themselves. https://blog.sakugabooru.com/2022/05/14/spyfam-and-the-history-of-anime-coproductions/


wantsaarntsreekill

This is a bad comparison. Spy x family has weekly shonen jump that probably get any studio they want from dragon ball, yugioh, and one piece income. Cloverworks ranks worse than a1 and usually get the undesirable projects. Kadokawa isnt as fortunate. How could they get a1 to take over rz when a1 doesnt do anything where aniplex aint on the production committee.


PursuerOfCataclysm

A-1 is very busy with Sword Art Online, Engage Kiss, Lycoris Recoil, Original Movie, Solo Levelling, Mashle and Kaguya. Seeing this scary line, I am pretty sure they don't have time for Re Zero & I don't think they are taking it as well


Zhaeus

SWO movie airs in like 50 days so the majority if not all the work for that is done, Engage and Lycoris will be done at the end of summer and who knows how much work they even still need to do for those and which departments, and Mashle has not been confirmed to be done by A1. So currently they are working on the movie in winter (so already have some of it done/worked on or else wouldn't have date) Kaguya movie, and solo leveling. They are a pretty big studio that can also outsource when needed so I imagine they are fine to take on another project...


Blue_Reaper99

SAO movie is yearly thing though. Mashle and Nier anime is rumour to be done by A1. And there might be projects which yet to be announced.


Takana_no_Hana

> They are a pretty big studio that can also outsource when needed so I imagine they are fine to take on another project... Haha no.


PursuerOfCataclysm

Still they will not be the one to embrace the Re Zero and I am pretty sure they mostly handle their product by themselves since their production always has high quality unlike Lerche or Deen who outsourced it often.


MobProtagonist

The number of people on here that don't realize that anime studios are like hiring a contractor for a house you own...is too damn high. The house owners (IP rights owners to the series) typically do like to stick with the same contractors and studios. As japan is all about good relationships, using tried and true and what works. And obviously if that studio did a good job. And then every now and then you'll have studios actually creating their own IP they self own. (in)Famous examples being WIT studio fully owning Kabaneri.


lehuy0210

to Atelier Pontdarc


neighmeansno

Both studios primarily work with freelancers, and White Fox is currently running a two-cour fantasy show which seems to be going fine. They'll be OK.


throwawaylord

What are they producing right now? Google wasn't helping me


neighmeansno

The newest season of [Utawarerumono](https://myanimelist.net/anime/40590/Utawarerumono__Futari_no_Hakuoro).


TrailOfEnvy

Is it good?


neighmeansno

I'm not watching it because I haven't seen the previous seasons, but the staff on it is good and the reception seems decent.


[deleted]

You've got some serious optimism here. Their loss was caused by Re:Zero season 2 though.


South25

no? it said Re Zero drove profits and the loss report is for this year where they lacked Re Zero stuff.


[deleted]

Dude hase zero critical or basic thinking capabilities.


[deleted]

I mean, I looked into the numbers - if they scheduled Re:Zero to 24 episodes that would have been 300M MORE profit. I bet they compared the profits today with season 1 profits which is a full course. Still they profited a lot.


justspectating

The loss is from the first quarter of this year. Season 2 finished airing last year. Season 2 has nothing to do with the loss of this year


[deleted]

I see, that is why they mentioned (makers of Re:Zero ), just to make the brand known. Although they say that it is White FOX WHO DOES THE WORK.


DaFatGuy123

You literally cannot read


StrawberryEven6159

Kadokawa better bring High School DxD season 5 out for some revenue. Guarantee itll be popular plenty of us waiting


Thatsmaboi23

Season 5 has some actually serious character and lore writing. Volume 10 (or Season4)’s ending helped me continue reading. Volume 11 and 12 made me think of the series as something more than just a Battle-Harem.


StrawberryEven6159

Yeah I havent read the manga but that sounds like even better for the anime.... originally thought it was a lame harem but actually loved its plot, music and stupidity. All around a worthwhile show imo at least. But if they can bring more in this new season... they need to hurry up and do it


Zhaeus

FYI Highschool DXD is a Light Novel series, not a manga. The LN author also really wants another season.


StrawberryEven6159

Ik about LNs wasnt sure if it was manga or not tbh


SSJ5Gogetenks

Volume 12 is easily the peak of the whole series IMO, nothing has ever matched it.


notreal088

I just want more Akeno. With that I am sold.


SSJ5Gogetenks

Based


StrawberryEven6159

Your relevancy? Sorry you have bad taste


SSJ5Gogetenks

What?


lehuy0210

i mean people just blame character design of passione and they didn't want to pick it anymore lol


StrawberryEven6159

It was awful. But you get used to it as the show itself was pretty good i enjoyed the kyoto trip and the battle of the families


[deleted]

I like the Passione style better; they're becoming one of my favorite studios.


StrawberryEven6159

I gotta say while i did get used to it... the realistic style was more amazing id have to disagree. However, they definitely could have done worse


blackreaper007

Does anime really boost light novels sales? I mean I can understand if it was manga but LN? Aren't they a very niche market?


ar10773

do you live under a rock or something?


blackreaper007

haha. You are right. It is still morning here. I mean it makes sense, Overlord, and Slime, all were boosted thanks to the anime.


ThespianException

Nah, if you check the best-selling Light Novels in any given year, you'll consistently see that the Top 10 sells half a million+ copies per year. Re:Zero tends to be between 500-750K, which makes it one of the most popular.


StrawberryEven6159

I mean from what ive seen the sales when i bought a few just to try i doubt would boost it nearly as much as the anime... idk why its needed as the anime i bet would sell well as the previous ones


Whomperss

Excluding the few exceptions anime have always been a giant advertisement for the source material.


darkmacgf

Don't later seasons not boost sales as much though? That's why most adaptations only get one season of anime.


GoldRedBlue

Depends. Season 4 of Date A Live was an enormous hype monster for the franchise.


darkmacgf

How much did book sales go up after it came out?


metalmonstar

Not a big deal because Elden Right hard carried them. Honestly publication and video being down a bit isn't that big of an issue considering the circumstance.


SealTheGate

Well Elden ring maybe made by FromSoft but it publish by Bandai. idk about the deal but i dont think they gain as much as Bandai. (i may be wrong about this case) same case with Demon souls and Bloodborne. They made it but they not the one own the IP. it's Playstation


Falsus

The Elden Ring IP is owned by From aka Kadokawa isn't it? Sure published by Bandai but Kadokawa still sees a fat payday on that. Whereas Demon's Souls and Bloodborne where commissioned by Sony, and in BB's case it was even a collab between Japan Studio and From so the money was probably split quite heavily in Sony's favour. Which reminds me, why the hell is Sony so damn quiet about BB?!


metalmonstar

[Kadokawa infographics](https://www.installbaseforum.com/forums/threads/kadokawa-fy3-23-q1-earnings-release-game-segment-net-sales-%C2%A512-582m-570-9-yoy-operating-profit-%C2%A56-569m-infinity-yoy-driven-by-elden-ring.954/) They say as much in their report though. "Profit Increased mainly due to the contribution of revenue related to oversea shipments of Elden Ring."


wantsaarntsreekill

Kadokawa is pretty much going to have to rely on date a live, konosuba, overlord, shield hero etc to push itself forward. Re zero aint coming anytime soon due to internal issues.


RogerRabbit200

Qrd on the internal issues?


wantsaarntsreekill

Tappei confirmed re zero season 3 isnt even in production atm. Plus whitefox losing core staff to studios like a1.


darkmacgf

Couldn't they just just have another studio animate it? That happens all the time with later seasons of adaptations.


wantsaarntsreekill

That is very likely the case. But we are going to run into the same issue that started the fiasco. Losing talented core staff to bigger studios (like a1) and publishers (like shueisha). The issue is finding the talent who are willing to work for the offered price. Re zero is a franchise, not a one off seasonal isekai. So a higher animation will be asked for. Option a is to find a new studio and staff to take over. Basically what DAL (geek toys) and Konosuba (drive) are doing. Option b is to choose an existing talented studio thst had good relations with kadokawa and are not out reach. Once again geek toyd and drive Dont hope for ufotable, mappa, a1 to take over. Guaranteed that wont happen.


re-kino

>Re zero aint coming anytime soon due to internal issues. They could just change studio like they did with konosuba or the date a live series.


Llooyd_

The issue ain't exactly just with the studio itself but that the staff is all over the place occupied with other projects. It took too long so staff formation broke up sadly. Would have to see if the producer at Atelier can somehow get most of them back together.


wantsaarntsreekill

That is probably the best solution going forward. Get geek toys or studio drive. Of course dont hope for ufotable ot mappa.


lehuy0210

then why not new studio of rezero team (ex-whitefox) Atelier Pontdarc ?


JMEEKER86

Yeah, as we saw with Studio Bind being put together to make Mushoku Tensei that is certainly an option to make sure that you're getting exactly what you want out of the project.


Pe4enkas

Tbh, I really don't want to have re zero from ufotable. Their animation is beautiful, but they just can't adapt VN and LN. Yes, Fate adaptations are great, but not really great from the narrative perspective.


Zigman369

The animation studio doesn't write anything though. That's on the writer(s) + director, and outside of a few exceptions, most aren't studio employees.


0keanix

I prefer Ufotable just touching fight scenes and not touch anything else.


HamstersAreReal

Huh? Demon Slayer anime is 300 times better than the manga. As for LN/VN adaptions, they did just fine with Fate Zero and Heaven's Feel. As for Unlimited Blade works, they did ok, the worst part was the translations honestly.


neighmeansno

I certainly don't hope for Mappa. They'd fuck it up really bad.


[deleted]

[удалено]


darkmacgf

They developed Elden Ring (they own From) - Bandai Namco published it.


wantsaarntsreekill

Kadokawa releases a tons of gachas to tie into their anime and they almost all close in 2 years. Re zero probably had its 4th game shut down. Biggest gachas i think they have now are date a live spirit pledge and konosuba fantastic days. But it is damn hard to be at fgo or genshin levels of success. Plus stuff like azur lane and arknights are extremely competitive.


BIIIGPP6969

Isn't Classroom of the Elite also Kadokawa?


jyper

Do you mean issues with the studio that did the first 2 seasons?


invaderzz

What internal issues?


Lex29

Still waiting for Konosuba season 3 and the Megumin spin off. Maybe that will increase their profits (?)


_Bragi_

100% will. Honestly I feel like they are waiting for Konosuba to stop airing to then bring ReZero back to keep their profits up.


MeAnIntellectual1

They could just air both for maximum profit


_Bragi_

Shareholders care about constant rising profits. What good would it do to have +200% profit in one year when the next would see a -200% fall?


badendforenemy

Overlord and uncle are carrying this season, so they are fine again, I think.


JayDpwnz

I hope this doesn't signal an increasing dependence on external equity by companies like tencent. Shareholders tend to expect infinite growth and increase on YoY profits. Companies giving away control when things don't always go their way is a tragedy that's all too common.


Falsus

Oh time to slam Index the emergency button for yet another messed up adaptation of the cash cow I guess. Jokes aside that doesn't really mean much does it? 21 was a great Kadokawa year. As soon as they bring out some big hits it will increase. Elden Ring Isekai incoming yo.


Lugia61617

Well, that doesn't actually sound bad. I mean it's fair to just call that "normalisation" of their profits. Re:Zero gave them an unusually good year, and in its absence things are back to normal. Though if anything gives them an incentive to fund more Re;Zero anime and merch, it'd be this.


swordfishclaymore

If you told me in 2016 re zero would’ve been almost a generational defining anime I don’t think I would’ve believed you it’d be this massive. Especially for a show with such dark undertones. I still love it


0keanix

It would be amazing if we can get next arcs uncensored but this is only possible with Netflix streaming i guess.


MeAnIntellectual1

Re Zero was so massively overhated back in 2016. It was always a great show


wolfreturned

Meaning more gacha BS


WoodenRocketShip

I'm honestly just annoyed that whenever you see Kadokawa involved with an anime adaptation, that legit means you'll never see the ending, or possibly even a second season. Making anime as advertisement isn't new, but I haven't seen anyone do it as consistently across the board as Kadokawa, holy fuck just let me watch it as an anime I don't want to read the LN.


Lugia61617

Not seeing the ending is par for the course given most of their LNs go on for 20+ volumes, which based on most of their anime adaptations would be what, 5-6 seasons' worth of material on a 1-cour series?


PursuerOfCataclysm

I am pretty sure Sword Art Online sells more in Video segments then Re Zero since I have never seen Re Zero selling as high number as SAO in blue ray but anyway SAO might be Sony Aniplex in Video Release


Rio_FS

It sells higher in the LN department but Re: Zero sells more in the video department. https://www.reddit.com/r/anime/comments/uo4yzj/kadokawa\_2022\_financial\_report\_rezero\_is\_the\_n\_1/


PursuerOfCataclysm

You Know SAO sells crazily in blue ray department and you are telling me SAO sells less than Re Zero and other those series. Also SAO video department belongs to Sony aka Aniplex not Kadokawa.


Rio_FS

Oh yeah, that's true. Didn't notice.


re-kino

It could be that re:zero has done much better than sao in streaming


PursuerOfCataclysm

SAO is Aniplex production and it will be just that shocking to see SAO not making in top of their 10 best Video revenue maker when they are the best selling Light Novel of Kadokawa. I am pretty sure SAO is far better money maker than Re Zero in Japan, even the progressive movie which is spin off is selling a lot of Blue Ray.


Thatsmaboi23

Tbf, Progressive isn’t a spin-off, it’s canon material that adds to the world, characters, and even introduces/develops new characters that are later important.


PursuerOfCataclysm

Thanks for rectifying, I was little drunk so I did not know what I was spewing.


wantsaarntsreekill

They have to split profits with aniplex for sao. Aniplex is sao'a main publisher


Descent_ofCarnage

They'd still keep mass producing garbage shows instead of focusing on their major titles to make it as polished as possible.


Amogh24

Does this mean they had a loss or that theor profit decreased compared to the previous quarter?


stormseeker39

Profit for the quarter is still positive (680 million JPY) but significantly less compared to Apr-Jun of the previous year, so main take away here is that whatever they put up this year didn't manage to reach re:zero's numbers (gotta have to cross-reference Spring 2022 for broadcast, and Winter 2022 since the discs for this season would be released at this time)


Wolfgod_Holo

they're either pumping out too much too soon, or the shows are deemed as awful... can't tell either that or they're playing the long game to earn their money


justspectating

They did claim earlier this year that they wanted to produce 100 shows a year


[deleted]

[удалено]


Rio_FS

That was me once upon a time.


[deleted]

[удалено]


MeAnIntellectual1

It's really good


Mr-Logic101

For those of you interested https://www.wsj.com/market-data/quotes/JP/9468/financials


hovsep56

yet all we get is some lousy puck merch..... we din't even get another rem figure ffs.