According to an industry survey of Japanese anime production companies by Teikoku Databank, the domestic anime production market was estimated at roughly $2.45 billion in 2024, marking a 4% increase from 2023 and a new record high. At the same time, 60% of companies serving as prime contractors or gross contractors in anime production saw profitability decrease compared to the previous year, with many slipping into the red (as reported by Otaku Soken).
The average revenue per production company in 2023 was around $8.35 million, rising for the fourth consecutive year since 2021 and marking the highest figure since 2000. Industry-wide, 37.2% of companies saw revenue growth, 41.8% reported flat results, while 20.9% reported declines in revenue.
Among them, prime and gross contractors – the companies that directly manage and execute anime production – likewise saw revenue hit new highs. Yet, this doesn’t seem to have translated into profits. Only 40% posted gains, marking a sharp drop from the previous year. Meanwhile, 25.5% saw profits decline, and 34.5% slipped into an operating deficit.
As the main reason why so many anime production companies are seeing business performance worsen, Teikoku Databank cites the industry’s increasingly severe shortage in manpower. With the demand for anime increasing worldwide and projects multiplying, there are not enough animators to sustain the output. As a result, many studios are forced to extend production periods beyond initial forecasts, which leads to costs increasing and profit margins diminishing.
Teikoku Databank anticipates that Japan’s anime production market is likely to continue breaking growth records, but that production studios may continue to face a “profitless boom” situation due to rising production costs and staff shortages.
Related articles:
Kadokawa wants all its animation staff to be “able to afford a Benz” as it shifts to higher-budget, global anime production
