Cave (TSE: 3760) reported a ¥555mn operating profit for the three months to 31 August 2026, against a ¥565mn operating loss a year earlier. Sales rose 2.3% to ¥2.69bn. Ordinary profit was ¥908mn (a ¥393mn loss a year earlier) and profit attributable to owners of the parent was ¥659mn (a ¥285mn loss).
Costs did most of the work
In its supplementary briefing, the company said collaboration campaigns with a major IP, large fixed-cost cuts and a higher share of payments made outside app-store channels produced the profit. Selling and administrative costs fell 29.8% to ¥704mn, and payment collection fees were ¥149mn lower than a year earlier. Cost of sales fell from ¥2.19bn to ¥1.43bn. Ordinary profit also includes a ¥284.9mn insurance cancellation refund booked as non-operating income.
The Steam release
On 27 August 2026 Cave released the first title of its Refine Project on Steam: an updated version of its 2008 bullet-hell shooter, with a new stage and an online battle mode for up to 10 players. The company said it has been issuing updates based on user feedback. The short-form earnings report gives no sales or profit figure for the game. The game segment as a whole earned ¥523mn on ¥2.44bn of sales, and the report credits existing titles, including collaboration campaigns with popular IP at a consolidated subsidiary, for revenue.
Guidance unchanged
Cave left its full-year targets as set on 14 July 2026: sales of ¥10.5bn, operating profit of ¥1.45bn and net profit of ¥1.2bn. The quarter's operating profit is 38.3% of the full-year target. The company said any upgrade will depend on progress from the second quarter, because the sales uplift from collaboration campaigns is uncertain.