Bandai Namco announces restructuring for 2021: games sector to merge with toys sector – News

Currently divided into five major poles, Bandai Namco unveils the arrival of a restructuring within the company itself: the video games sector will, in the near future, be merged with that of toys and leisure.

The year 2019/2020 has been difficult for everyone. Following the spread of Covid-19 across the world, many sectors, including the video game industry, have seen their operation completely disrupted. The various development teams had to get used to teleworking, while some game release dates had to be pushed back by weeks or months. It is for this reason that Bandai Namco, whose turnover is down year-on-year (-8.9% and -12.8% respectively), has decided to postpone its next business plan. The latter will begin in April 2022 instead of in April 2021.

In the future, as the lifestyles and sense of values ​​of customers are expected to undergo substantial changes, (…) the company has determined that it is necessary to postpone the next plan, which will serve, in the medium term, a new approach for Bandai Namco.

This transition period for Bandai Namco will serve as preparation for the foundations and to put in place a better organization to promote the future business strategies of the company. Unfortunately, Bandai Namco also specifies that given the situation, there are still many uncertainties as to the reliability of this new plan.

We do not know if this is once again linked to the coronavirus, but the company also disclosed in this review the financial results of the company for the first quarter of fiscal year 2020/2021, of the arrival restructuring. Indeed, the group structure, which concerns the video games sector, will be merged with the Toys and Hobby sector (Toys and Hobbies) from April 1, 2021.

Through the combination of the Toys and Hobby unit, which focuses on the physical products business, and the Network Entertainment unit (the video game industry), which focuses on the digital content business, the Company will promote the coordination of business activities focused on franchises, cooperation and expansion that mutually use a wide range of products, while improving our entertainment creations and strengthening the digital corresponding to the new sense of customer values. With these changes, the company aims to increase its competitiveness in global markets.

With this restructuring therefore, Bandai Namco, currently divided into five units (Toys and Hobby, Network Entertainment, Real Entertainment, Visual and Music Production et IP Creation), will consist of only three major poles (Toys, Hobby and Network Entertainment, Real Entertainment et Visual, Music Production and IP Creation).

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To end on a more positive note, Bandai Namco points out that the company’s video game sector is the least affected by the current crisis. Although all of Bandai Namco’s other activities are currently negatively impacted by the pandemic, the Network Entertainment unit reports a clear increase in results year over year. Net sales of games increased 9.3%, while profits increased 35.2%. Obviously, this improvement is due to the success of Bandai Namco mobile games, but also PC and console titles like Dragon Ball Z Kakarot, Tekken 7 and the Dark Souls.