Sega Sammy has published its financial report for the nine-month period concluding on December 31, 2023, revealing an overall increase in both sales and profit despite a downturn in new title sales.
While the video games segment experienced a decline, this was counterbalanced by growth in the Pachislot and Pachinko machines division. Nevertheless, the company has adjusted its sales projections for the entire fiscal year.
Here are the figures:
- Net sales: ¥349.9 billion ($2.3 billion, up 28.7% year-on-year)
- Operating income: ¥54.4 billion ($364 million, up 42.4% year-on-year)
- Ordinary income: ¥57.2 billion ($383 million, up 42.7% year-on-year)
Key Highlights:
Sega Sammy attributes the surge in overall sales and profit to its Pachislot and Pachinko machines sector. Net sales skyrocketed by 130.3% to ¥120.2 billion ($805 million), with ordinary income witnessing a staggering 521.3% rise to ¥45.7 billion ($306 million) within this segment.
In the Entertainment Contents category, encompassing video games, net sales increased by 4.2% to ¥219.3 billion ($1.4 billion), a growth attributed to the acquisition of Rovio in August.
However, profit experienced a notable decline, plummeting by 52.5% to ¥19.7 billion ($131.8 million) due to lackluster game sales, despite the release of new titles during the nine-month period ending in December 2023, such as Sonic Superstars, Like A Dragon Gaiden: The Man Who Erased His Name, and Persona 5 Tactica.
Consequently, Sega has revised its forecast for the Entertainment content segment. Initially projected at ¥327 billion ($2.1 billion) in November 2023, the figure has now been adjusted to ¥313 billion ($2 billion).
Within the consumer division of Entertainment Contents, net sales amounted to ¥148.1 billion ($991 million), with operating income totaling ¥13.9 billion ($93 million).
Sales of new games during this period reached 5.2 million units, down from 6.9 million units during the corresponding period the previous year. Catalog titles, however, experienced a slight increase, selling 13.8 million units (up from 13.7 million), with full-game sales totaling 19.1 million units (down from 20.7 million).
Looking to the future, Sega Sammy has revised its fiscal year forecast, previously expecting net sales of ¥474 billion ($3.1 billion), now adjusted to ¥463 billion ($3 billion). Operating income has also been revised, now projected at ¥51 billion ($341 million), compared to the previously anticipated ¥60 billion ($401 million).
