When Video Game Publishers Actually Print Money
Konami just announced financial results that would make most gaming companies jealous. For the first half of fiscal year 2026 (April-September 2025), the Japanese publisher achieved record-breaking revenue and profit – the second consecutive year it’s hit these milestones. Total revenue climbed to 224.8 billion yen (approximately $1.46 billion USD), up 22.1% year-on-year. Operating profit reached 64.3 billion yen, up 28.9% from the same period last year. These aren’t modest gains. These are the kind of numbers that reshape an entire industry’s conversation about where gaming money actually flows.
What’s Actually Driving the Money
Konami’s Digital Entertainment business – which includes video games and Yu-Gi-Oh trading cards – generated 168.8 billion yen in revenue during the first half, up 28.2% year-on-year. Operating profit from this segment hit 61.4 billion yen, a 31.6% increase. That’s the engine powering everything. The company specifically highlighted two triple-A releases that exceeded a million units sold worldwide each within their launch windows: Metal Gear Solid Δ: Snake Eater and the all-new Silent Hill f.
Both games launched to critical acclaim and strong commercial performance. Metal Gear Solid Δ delivered exactly what fans wanted – a faithful remake of one of gaming’s most beloved stealth-action games with updated visuals and refined mechanics. Silent Hill f, meanwhile, marked the franchise’s first new mainline entry in years and first game set in Japan, earning praise for its horror atmosphere and psychological depth. These weren’t experimental indie projects. These were franchise flagships that validated Konami’s core business strategy.
The Mobile and Live Service Powerhouses
Beyond the blockbuster releases, Konami’s live service games continue printing money. eFootball – the company’s free-to-play football game competing with EA Sports FC – has surpassed 900 million cumulative downloads across PC, console, and mobile platforms. Yu-Gi-Oh Master Duel has reached 90 million cumulative downloads. These are staggering numbers for digital products with ongoing monetization. Every month these games stay active, players spend real money on cosmetics, card packs, and seasonal content.
This represents a fundamental shift in how Konami makes money. Twenty years ago, the company lived and died by physical game sales. Today, a single live service title can generate more revenue than entire franchises from the past. Master Duel succeeded because it brought collectible card gameplay to digital platforms with accessibility that physical cards could never match. eFootball competes directly with EA by offering similar content at a lower price point, capturing price-sensitive players globally.
Why This Matters for Gaming Industry
Konami’s success story contradicts a narrative popular in Western gaming circles – that blockbuster games are dying, that live service is failing, that only indie games matter now. Konami proves the opposite. Players still want premium gaming experiences. They still care about beloved franchises. They’ll still pay for quality. The difference is execution. Konami’s games work, they have fair monetization, and they respect player time.
Compare this to other publishers struggling with live service disasters, cancelled projects, and layoffs. Konami is growing because they understand their audience, deliver quality experiences, and maintain long-term support. Metal Gear Solid Δ didn’t launch broken. Silent Hill f didn’t launch as a half-finished live service experiment. They launched as complete, polished games that justified their price tags.
The One Weak Spot
Konami’s Gaming & Systems division – which manufactures gaming cabinets for casinos – actually declined 4.5% to 17.8 billion yen in revenue during the same period. Profit dropped 60.1% to just 949 million yen. The company blamed US tariff measures and customers hesitating to purchase ahead of a new cabinet launch scheduled for late October. This is the only segment showing weakness, but it’s easily overshadowed by video game dominance.
Despite Gaming & Systems struggling, Konami maintained its full-year guidance – total revenue forecast of 430 billion yen and business profit of 114 billion yen. Given that they’re already halfway through the fiscal year with strong results and the holiday quarter still ahead, analysts speculate Konami could substantially exceed these conservative projections.
Future Outlook
Konami announced at Tokyo Game Show that Momotaro Dentetsu 2 – the latest entry in the long-running board game series – is coming with the largest station and property count in franchise history. Two maps featuring “East Japan Map” and “West Japan Map” give the game unprecedented scope. This release, combined with continued support for existing live service titles and potential announcements about upcoming Silent Hill and Metal Gear projects, positions Konami for sustained growth through the rest of 2025 and into 2026.
The company is also exploring new markets – it recently acquired a gaming-related vendor license in the United Arab Emirates through its casino cabinet division, opening distribution opportunities in a region hungry for gaming technology. Diversification like this ensures Konami doesn’t depend entirely on video game software for growth.
FAQs About Konami’s Financial Results
How much revenue did Konami make in the first half of 2025?
Konami achieved 224.8 billion yen in total revenue (approximately $1.46 billion USD) for the first half of fiscal year 2026 (April-September 2025), up 22.1% year-on-year.
What games drove Konami’s revenue?
Metal Gear Solid Δ: Snake Eater and Silent Hill f were the primary drivers, both exceeding one million units sold worldwide. Live service games like eFootball (900+ million downloads) and Yu-Gi-Oh Master Duel (90+ million downloads) provide ongoing revenue through seasonal content and monetization.
Is Konami’s profit growing faster than revenue?
Yes. Operating profit grew 28.9% while revenue grew 22.1%, indicating that Konami’s cost management is excellent. They’re keeping more of each dollar earned, which suggests efficient operations and pricing power.
Why did Konami’s Gaming & Systems segment decline?
US tariff measures and customer reluctance to purchase casino gaming cabinets before a new product launch contributed to a 4.5% revenue decline. The Solstice cabinet launched in October 2025 with innovative lighting features, which should drive purchases going forward.
What is Konami’s full-year guidance?
Konami forecasts 430 billion yen in total revenue and 114 billion yen in business profit for the full fiscal year 2026. Given their strong first-half performance, analysts expect these conservative estimates could be exceeded.
Are eFootball and Yu-Gi-Oh Master Duel still popular?
Yes. eFootball has passed 900 million cumulative downloads and continues strong esports integration, hosting FIFAe World Cups in partnership with FIFA. Yu-Gi-Oh Master Duel has reached 90 million downloads and maintains an active player base through regular card additions and seasonal events.
Is Konami planning new Silent Hill or Metal Gear games?
The company announced at Tokyo Game Show that it’s expanding the Silent Hill franchise with multiple projects, including Silent Hill f (mainline entry) and Silent Hill: Townfall (spin-off). Metal Gear projects are in development but haven’t been formally announced.
How does Konami compare to other major publishers financially?
Konami’s 22.1% revenue growth and 28.9% profit growth significantly outpace growth rates from Western publishers struggling with live service failures and development challenges. Only a handful of publishers are growing this fast.
Conclusion
Konami’s record financial results prove that there’s massive money still flowing through gaming if you execute properly. Quality triple-A games, well-maintained live service experiences, and strategic franchise management generate serious revenue. The company isn’t taking wild risks or burning money on experiments. It’s delivering what players want and maintaining trust through consistent quality. While Western publishers debate live service viability and indie game economics, Konami is quietly crushing financial targets year after year. That’s the real story. Execution beats trends every time.