[Click eStock] "Aniplus, Time to Expect M&A Synergy Effects"

Sangsangin Securities analyzed on the 5th that it is time to expect synergy effects from the M&A of Aniplus.

Aniplus operates a broadcasting channel and character merchandise business centered on Japanese animation IP. In the first quarter of this year, the consolidated sales composition was 67% content, 21% merchandise sales, and 13% exhibitions/events/dramas. The company's domestic broadcasting channel is ‘Aniplus,’ and its customer base consists of subculture groups aged 15 to adults.

Researcher Lee So-jung of Sangsangin Securities stated, “Aniplus releases 30 to 50 new Japanese animation titles each quarter, and the company acquires about 80% of the domestic rights for these,” adding, “The secured animations are broadcast on the Aniplus channel as well as OTT platforms such as Netflix and Watcha, generating stable revenue.” Last year, sales amounted to 51.8 billion KRW, and operating profit was 9.6 billion KRW, representing a 19% increase and a 26% decrease year-on-year, respectively.

Aniplus is promoting OTT platform and character merchandise businesses based on the secured Japanese animation IP. In the fourth quarter of last year, the company acquired a 56% stake in ‘Laftel,’ a dedicated Japanese animation OTT platform, and is currently pursuing the acquisition of 1 million subscribers within two years through expansion into the Asian market in the first half of this year.

Researcher Lee So-jung explained, “The company is also smoothly selling limited edition anime character merchandise, which it produces in-house, at four domestic cafes it operates,” adding, “There are plans to expand sales channels through online sales and overseas expansion in the future.”

This year, sales are expected to reach 111.7 billion KRW and operating profit 24.1 billion KRW, representing increases of 92% and 151% year-on-year, respectively.

He analyzed, “With Laftel’s performance fully reflected and ‘Animax,’ acquired in the second quarter, consolidated from the third quarter, the consolidated results for 2023 are expected to increase significantly compared to the previous year,” adding, “M&A activities for expanding the Japanese IP-related business are considered complete as of the first half of this year, and from the second half, synergy effects are expected such as lowering the purchase price of anime IP and merchandise business based on Animax’s unique anime IP.”