Avex Returns to Profit, Keeps Dividend as It Recasts Group Structure

Avex Inc. ( (JP:7860) ) has issued an update.

Avex Inc. reported a strong rebound for the fiscal year ended March 31, 2026, with consolidated net sales rising 11.3% to ¥146.6 billion and a swing back to profitability, posting operating profit of ¥4.1 billion and profit attributable to owners of parent of ¥3.6 billion. Profitability improved across key metrics, including profit per share more than tripling to ¥83.68 and comprehensive income surging, while the balance sheet remained solid with higher total assets and net assets and a shareholders’ equity ratio of 46.5%.

The company maintained its annual dividend at ¥50 per share, lowering the payout ratio to 59.8% and signaling confidence by forecasting a further rise in operating profit to ¥6.0 billion in the year to March 2027, even as it guides for a modest decline in bottom-line profit. Avex also reshaped its group structure by adding three U.S.-focused entertainment and song fund entities and removing seven subsidiaries, highlighting a strategic tilt toward catalog and song funds and streamlined operations, while operating cash flow returned to positive and cash on hand stayed high despite continued shareholder returns and financing outflows.

More about Avex Inc.

Avex Inc., listed on the Tokyo Stock Exchange Prime Market, operates in the entertainment industry, developing and monetizing music, video and related content. The group also manages artist IP and catalog assets, and is increasingly active in fund-style vehicles and overseas entertainment ventures to diversify revenue and optimize its portfolio.

Average Trading Volume: 175,584

Technical Sentiment Signal: Hold

Current Market Cap: Yen53.73B

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