Revision of the Earnings and Dividend Forecast

KONAMI HOLDINGS CORPORATION (the "Company") hereby announces the revision of its consolidated earnings forecast and dividend forecast for the fiscal year ending March 31, 2018, which were released on May 11, 2017 in its Consolidated Financial Results for the Year Ended March 31, 2017, in light of its recent business performance.

1. Revision of the Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2018

Reasons for the Revision

With considering achievement rate of results for the nine months ended December 31, 2017, the company predicted its consolidated financial results of operating profit, profit before income tax and profit attributable to owners of the parent would exceed those previous consolidated forecasts for the fiscal year ending March 31, 2018.

In the Digital Entertainment segment, mobile games, including JIKKYOU PAWAFURU PUROYAKYU and PROFESSIONAL BASEBALL SPIRITS A (Ace), continued to be solid.

In the Amusement segment, a title launched in the previous fiscal year has performed strongly with support from additional orders and favorable market reviews.

In light of these business performances, the Company revised its consolidated earnings forecast for the fiscal year ending March 31, 2018 as set forth above. 

2. Revision of the Dividend Forecast for the Fiscal Year Ending March 31, 2018

Reasons for the Revision

Since the Company believes that the provision of dividends and the enhancement of corporate value are important ways to return profits to its shareholders, the basic policy is to emphasize payment of dividends as a target for more than 30% in the consolidated payout ratio.

Based on this basic policy, once the Company had forecasted a year-end dividend would be 30.00 yen per share, it predicted profit attributable to owners of the parent would finish above its previous forecast as set forth above in the revision of its consolidated earnings forecast for the fiscal year ending March 31, 2018 and revised the year-end dividend forecast would be 35.00 yen per share. As a result, including the interim dividend of 30.00 yen per share, dividends on an annual basis will be 65.00 yen per share.

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Cautionary statement with respect to forward-looking statements and other matters:

Statements made in this document with respect to our current plans, estimates, strategies and beliefs, including the above forecasts, are forward-looking statements about our future performance. These statements are based on management's assumptions and beliefs in light of information currently available to it and, therefore, you should not place undue reliance on them. A number of important factors could cause actual results to be materially different from and worse than those discussed in forward-looking statements. Such factors include, but are not limited to: (i) changes in economic conditions affecting our operations; (ii) fluctuations in currency exchange rates, particularly with respect to the value of the Japanese yen, the U.S. dollar and the Euro; (iii) our ability to continue to win acceptance of our products, which are offered in highly competitive markets characterized by the continuous introduction of new products, rapid developments in technology and subjective and changing consumer preferences; (iv) the timing of the release of new game titles and products, especially game titles and products that are part of historically popular series; (v) our ability to successfully expand internationally with a focus on our Digital Entertainment, Gaming & Systems, and Amusement businesses; (vi) our ability to successfully expand the scope of our business and broaden our customer base through our Health & Fitness business; (vii) regulatory developments and changes and our ability to respond and adapt to those changes; (viii) our expectations with regard to further acquisitions and the integration of any companies we may acquire; and (ix) the outcome of existing contingencies.