Company Says Game Demand has Waned..Except in one Place.
Europe may be the only reason the bleeding has slightly stopped for Sega Sammy Holdings.
The company reported a net income loss of more than ¥10.2 billion, or more than $108 million, during the first quarter of the fiscal year. That may sound bad, but in Q1 last year the loss eclipsed more than $110 million.
Net sales for the company were also way down, to more than ¥60 billion, or over $636 million. The same quarter in 2008, sales eclipsed $785 million. The big ray of hope was in Sega Sammy’s operating income loss, which was way down–to the tune of a mere ¥7.82 billion, or a $82.3 million loss. In the same quarter last year, that operating income loss was north of $100 million.
Sega Sammy’s financial report states that amusement related sales like arcade units dragged Sega Sammy way down, while sales pachinko machines continued to keep the company afloat. Home video game sales seemed to do little to help or hurt Sega Sammy. Strong sales in Europe helped to bring in sales from over 2.6 million copies of Sega games this quarter. Notable in that area is this quote from the report: “Certain repeat titles’ sales were weak in overseas.”
Looking ahead, Sega Sammy hopes sales of a Eureka Seven branded pachinko machine and the video game Border Break will aid in turning the company around. It’s also expected that the amusement center and arcade industry will recover such that it too will be of aid.
Europe may be the only reason the bleeding has slightly stopped for Sega Sammy Holdings.
The company reported a net income loss of more than ¥10.2 billion, or more than $108 million, during the first quarter of the fiscal year. That may sound bad, but in Q1 last year the loss eclipsed more than $110 million.
Net sales for the company were also way down, to more than ¥60 billion, or over $636 million. The same quarter in 2008, sales eclipsed $785 million. The big ray of hope was in Sega Sammy’s operating income loss, which was way down–to the tune of a mere ¥7.82 billion, or a $82.3 million loss. In the same quarter last year, that operating income loss was north of $100 million.
Sega Sammy’s financial report states that amusement related sales like arcade units dragged Sega Sammy way down, while sales pachinko machines continued to keep the company afloat. Home video game sales seemed to do little to help or hurt Sega Sammy. Strong sales in Europe helped to bring in sales from over 2.6 million copies of Sega games this quarter. Notable in that area is this quote from the report: “Certain repeat titles’ sales were weak in overseas.”
Looking ahead, Sega Sammy hopes sales of a Eureka Seven branded pachinko machine and the video game Border Break will aid in turning the company around. It’s also expected that the amusement center and arcade industry will recover such that it too will be of aid.
