Dynam sees continued revenue decline in Q2

Dynam Japan Holdings, the largest pachinko company measured in terms of its number of halls, reported a 4.1 percent revenue decline in the April-June period as compared to the previous year.

High playing cost halls are seeing steeper declines than low playing cost halls. Nevertheless, operating profits were up due to cost-cutting in operating expenses, in particular a stunning 46.9 percent reduction in pachinko and pachislot machine expenses.

In its filing to the Hong Kong Stock Exchange, Dynam reported that its number of pachinko parlors remained stable at 450. However, this number would not include several of the company’s halls where business was suspended by the flooding in western Japan in early July.

Dynam’s filing commented: “The group has made efforts to grow and develop with local communities and to improve the machine utilization through various together business measures under the important policies of setting up our halls from the customers’ viewpoints and operating each of our halls with a focus on customers’ needs.”

They added, “The pachinko hall industry has continued to operate under a severe business environment.”