Social Gaming Network Gree Issues Upward Revision, 40 Billion Yen Plus

Gree announced today that it revised up its annual sales outlook from its original forecast 90-100 billion yen(US$1.15-1.28 billion) to 130-140 billion yen(US$1.67-1.80 billion). Net income is expected to increase 11 billion yen (US$141 million) as well.
This upward revision is due to higher rate of social game monetization, the release said.

Reason for revision
Fiscal 2011 Q1, as seen in the last fiscal year, has shown stable paid service sales, with
monetization of social games on our social networking service (SNS) GREE increasing at a
higher rate than originally expected. Considering this level, we have revised our annual
estimates for Net Sales, Operating Profit, Ordinary Profit and Net Income, which are
expected to exceed our previous estimates.
We have considered increased costs for enhancing data centers, increased advertising costs,
increased labor costs and recruiting costs with the expanding business, and increased costs
related to offices overseas such as the Americas, Europe, and Asia, in addition to recent
financial performance when revising our estimates
from the release

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