Studio KAI Announces Insolvency Due to Deficit

Image via Studio Kai's X/Twitter account

© 2019 Studio KAI inc.

The April 13 issue of the Japanese government's Kanpо̄ gazette revealed on Monday that Studio KAI animation studio is entering a state of insolvency, in which the company is unable to pay debts, after ending the 2025 fiscal year with a net loss of 565 million yen (approx. US$3.5 million).

The company reported a loss of 165,129,000 yen (about US$1.51 million) in its second financial results report for 2021. The company had reported losses of 402,010,000 yen (about US$3.69 million by current conversion) in its first report, for the time period ending on December 31, 2019.

Studio KAI is a subsidiary of ADK Emotions, and was formed in June 2019. GONZO transferred a portion of its anime production, intellectual property, and rights management business to Studio KAI in July 2019 when GONZO executed an "absorption-type company split."

Studio KAI has worked on such anime as Sentenced to Be a Hero, Mistress Kanan is Devilishly Easy, The Ramparts of Ice, Uma Musume Pretty Derby Season 2, 7SEEDS, The New Prince of Tennis: Hyotei vs Rikkai Game of Future, Cagaster of an Insect Cage, Phantasy Star Online 2: Episode Oracle, 23-ji no Saga Meshi Anime, Skeleton Knight in Another World, and Super Cub.

Sources: Gamebiz, Kanpо̄ gazette via Hachima Kikō