Maruhan, operator of the second-largest number of pachinko halls and number one in terms of sales, suffered a 7.6% decline in overall revenues in FY2017, extending a decline that has continued for several years.
In results released publicly on Friday, Maruhan reported revenues of just over 1.55 trillion yen (about US$14.2 billion), with operating profits at above 31.6 billion yen (about US$289 million), which was a drop of 10.5 percent from the previous year.
This is the company’s third consecutive year of declining sales and profits.
The number of pachinko parlors operated by Maruhan, however, remained stable at 321, giving them a roughly 3.4% share in this highly-decentralized market.
Dynam, which is Maruhan’s leading competitor, also recently reported a 5.2% decline in revenue to the level of 775 billion yen (about US$7.1 billion), as well as a 3% decline in operating profits to 152 billion yen (about US$1.4 billion).
Dynam operates 450 mainly low-cost playing halls to Maruhan’s more expensive 321 halls. (AGB Nippon)