Cover Says 2M-Download Hololive Dreams Is a Sustainable Business Pillar
The earnings call positions the game not as a one-off hit but as a long-term flagship that Cover intends to operate with long-term operation in mind, a strategy that depends on data showing spillover demand flowing back into music videos and talent support.
Key Facts
- Cover released Hololive Dreams worldwide on July 23.
- Hololive Dreams surpassed 2 million downloads after reaching 1 million on its first day.
- CFO Yosuke Kaneko said about 30% of demand for Hololive Dreams currently comes from overseas, on a preliminary basis.
- CEO Motoaki Yago said the game project has been underway for three and a half to four years with an internal producer.
- Cover released the transcript of its fiscal year 2027 first-quarter earnings call on August 26.
Reporting from 2 sources: GameBusiness.jp, Inside.
Cover released the transcript of its fiscal year 2027 first-quarter earnings call on August 26. The call, held on August 12, included a Q&A session focused on the mobile and Steam game Hololive Dreams. The game launched worldwide on July 23 and surpassed 2 million downloads after reaching 1 million on its first day. During the call, CEO Motoaki Yago and CFO Yosuke Kaneko answered questions about the game's effect on other businesses, revenue contribution, and long-term sustainability. Yago said the game has brought previously buried content, especially music videos, back to the surface, and view counts are increasing. He also noted the possibility that users supporting a single talent may shift to supporting multiple talents or the entire group. Kaneko said about 30% of demand for the game currently comes from overseas, on a preliminary basis. Regarding revenue, Kaneko explained that because the project involves a co-development company, Cover cannot state the degree of upside on its own, but results are significantly above the conservative assumptions set at the start of the fiscal year. The company materials assess the game division as steadily getting off the ground as a highly sustainable business pillar.
The Q&A session also touched on the development structure behind the game, which has been in production for three and a half to four years with an internal producer. CEO Motoaki Yago said the company assigned an experienced producer internally and worked closely with the producer at QualiArts on the game side, an approach Cover took because adapting VTubers into an IP is considered difficult. One questioner noted that the operating profit progress rate for the first half was 34%, while the second quarter, which includes the game's release, is expected to show larger results. CFO Yosuke Kaneko said there is a seasonal tendency for the second quarter to be stronger each year, citing easier capture of customer demand during summer vacation. He indicated the risk of profit forecasts falling short is not considered significant, but said, "Since we are still in the second-quarter period, we cannot yet tell how much it will exceed." Yago also explained that platform algorithm changes over the past six months had made it hard to show short videos to new customers, a context for the game's effect on reviving music video viewership. Investors asked about the possibility of cannibalization, and whether the game deepens understanding of talents and songs and raises fan enthusiasm, with questions about its positive impact on fan growth and merchandise sales.
Synthesized by Yomimono from the 2 cited sources below, including Japanese-language reporting where cited, then editorially reviewed before publishing.