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SEGASAMMY FY 2012 earnings & the announcement of SEGA Networks Ltd

Suzuki Yu

Member
today SEGASAMMY posted its full year earning results

the holding company posted a 21.8 billion yen of net income ($273 million) with forecasting of 40 billion yen for the next period (2013)

operation income/loss results by segment:
Pachinco & Pachislots = 71 billion yen ($889.4 million) profit
Amusement Machine Sales (Arcade) = 7.4 billion yen ($92.8 million) profit
Amusement Center Operations = 355 million yen ($4.4 million) profit
Consumer business (Video Game Software) = 15.1 billion yen ($189 million) loss

this year the consumer business segment is losing quite a lot than usual! this is the worst performance since the merger (i have no idea if the re-structuring loss is included or not which is around $83.2 million)

Arcade Major titles:
StarHorse3 Season I A NEW LEGEND BEGINS | 10.1 billion yen
WORLD CLUB Champion Football Series | 3.6 billion yen
SEGA NETWORK MAHJONG MJ5 | 2.8 billion yen
BORDER BREAK Series | 2.3 billion yen
SENGOKU TAISEN | 1.2 billion yen

Video Games Major titles
Mario & Sonic at the London 2012 OlympicGames (Wii/3DS) | 3.28 million copy
Sonic Generations (PS3/360/PC/3DS) | 1.85 million copy
Virtua Tennis™ 4 (PS3/360/Wii/PSV/PC) | 1 million copy
Football Manager 2012 (PC/PSP) | 710 thousands of copies
Yakuza: Dead Souls | 550 thousands of copies

SEGA sold in total 17.2 million copy of games worldwide (6.1 in U.S / 8.3 in Europe / 2.8 in Japan)

it's worth to note that in the next year SEGA will be releasing around half the amount of the packaged releases of this year, also they are expecting equal sales between Packaged and digital games.

http://www.segasammy.co.jp/english/pdf/release/20120511_hosoku_e_final.pdf
http://www.segasammy.co.jp/english/pdf/release/20120511_tanshin_e_final.pdf


there is another announcement from SEGASAMMY today about a new company or a split company called SEGA Networks Ltd (a wholly owned company of SEGA Corporation)
this split will start next July the 2nd

Notice is hereby given that SEGA SAMMY HOLDINGS INC. (the “Company”) and consolidated
subsidiary SEGA CORPORATION (the “transferring company”) have determined to conduct a
company split on a part of the business operated by the transferring company (incorporation-type
company split) effective July 2, 2012 and transfer such business to the newly launched SEGA
Networks, Ltd. (“incorporated company in incorporation-type split”) as described below

1. Purpose of company split
The purpose is to maximize profits by building an adequate business structure corresponding to
changes in business environment through a company split of the main functions of the network
business operated by the transferring company, transferring it to the incorporated company in
incorporation-type split, and seek to speed up management decision making and provide services
that cater to customer needs.

2. Summary of company split
(1) Schedule of split
-Date of split (effective date): July 2, 2012 (planned)
-Registration of incorporation of new company: July 2, 2012 (planned)
Based on the provisions of Article 805 of the Companies Act of Japan (simplified
incorporation-type company split), a general meeting of shareholders to approve the split will not
be held.

business description
Business involved in the planning,
development, design, sales,
delivery and management and
operation of products and services
that utilize the Internet and other
means of communication

not quite sure what is this all about

http://www.segasammy.co.jp/english/pdf/release/0511_sega_e_final.pdf
 
No release date yet. I guess XBLA nd PSN releases are weird like that and the platform holders have the final say. There's supposed to be a pre-launch event and tournament next week, so I hope release follows shortly afterward.
 

Bruno MB

Member
Sonic Generations between 4 platforms (PS3/360/PC/3DS) didn't outsell Sonic Colors (Wii and NDS).

Sonic Generations - 1,850,000 units.
Sonic Colors - 2,180,000 units.


Mario & Sonic at the London 2012 Olympic Games - 3,280,000 units.
Mario & Sonic at the Olympic Winter Games - 6,530,000 units.
 

Koralsky

Member
Wow, Consumer business losses are tremendous.

How much damage did Binary Domain flop?

Sonic and Football Manager sell well from what I see. Mario & Sonic at the London 2012 OlympicGames sells even better.

Almost all of their digital offering are every time in top 10/20 in monthly PSN/XBLA charts.

From where this loses come from? the Budget for two Aliens titles?

I hope SEGA will be okay, even if we get only digital offerings from them.
 

Levyne

Banned
I'm playing through Generations right now and it's even better than Colors. After the unleashed debacle those two games are the first to truly feel like competent platformers. The modern sonic sections are slowed down just enough to reward quick reaction time and allow for less on rails and rote level memory. The 2D sections feel like a modernized version of the genesis games. Good stuff.

Though 4 Episode 2 still looks like crap.

Sega going 4th party
 

SykoTech

Member
Those Mario & Sonic sales aren't as high as I thought they be. Didn't the first sell over 7 million or something crazy like that?

Guess the cash cow is running a little dry. Just when Sega needs it the most too.
 
Clumsyorchid a Sega mod and employee at Sega forums argued with me about the profitability of new versus classic i.p.'s and what would be the most profitable direction for the company....I was advocating digital releases of classics over new i.p's like Binary Domain and Anarchy Reigns.

This was before the layoffs...

Ho there, Clumsy.
 

tsab

Member
this year the consumer business segment is losing quite a lot than usual! this is the worst performance since the merger

SHENMUE 3 IN DEVELOPMENT CONFIRMED!!!!!!!!!!!!111oneone
 

Kifimbo

Member
Those Mario & Sonic sales aren't as high as I thought they be. Didn't the first sell over 7 million or something crazy like that?

Guess the cash cow is running a little dry. Just when Sega needs it the most too.

First one sold > 10 million.
The winter one about 6.5 million.

Even at 3.5 million, London 2012 is probably highly profitable.
 

SykoTech

Member
First one sold > 10 million.
The winter one about 6.5 million.

Even at 3.5 million, London 2012 is probably highly profitable.

Man, Sega laughed all the way to the bank with the first one. Everyone thought Sega was crazy for thinking it would sell 4 million (I think that was their initial prediction), yet it sold over twice that amount. Lol.

Interests has definitely lowered since then though. Might be time to do a more substantial Mario & Sonic crossover. I'd love to see an RPG or something.
 

ShadiWulf

Member
going digital will help SEGA

here is games we can expect from them up through 2013

MZuTp.png
 

Metallix87

Member
Man, Sega laughed all the way to the bank with the first one. Everyone thought Sega was crazy for thinking it would sell 4 million (I think that was their initial prediction), yet it sold over twice that amount. Lol.

Interests has definitely lowered since then though. Might be time to do a more substantial Mario & Sonic crossover. I'd love to see an RPG or something.

I think interest isn't dying so much as the series needs to move on to the next Nintendo platform. I suspect a Wii U entry will do very well, and I think the 3DS entry, which launched not long ago, will have VERY strong legs moving forward.
 
Those Mario & Sonic sales aren't as high as I thought they be. Didn't the first sell over 7 million or something crazy like that?

Guess the cash cow is running a little dry. Just when Sega needs it the most too.

The Olympics are months away. Still a lot of sales left.
 

ShadiWulf

Member
i just realized that chart is only for packaged goods, thought it was odd that iOS was missing, i cant find one for digital games
 

starmud

Member
more vita love and less 3ds love coming... im expecting generic games and nothing special... ;_____; where is my ps0 sequel... or any sega rpg goodness.

DD should be good for sega, if they actually think about translating/getting the proper games up in the marketplace...

nintendo needs to hurry up on downloadable 3ds games, im praying for a release of puyo 20th anniversary
or 7th dragon? i'll pay 30 bucks sega, do it
 

Tizoc

Member
Err is Yakuza Dead Souls selling half a mil. a good thing? How much did the previous games sell?
...also Yakuza Dead Souls has a far superior ending to whatever it is you got at the end of Mass Effect 3.
 
Looks like they're betting heavy on the Vita and practically ignoring the 3DS.
Another awesome business decision?

They're also throwing down heavily on the PC, which I find an interesting development.

In fact I'm trying to figure out what the f they're releasing for the PC between now and 2013 that'd add up to 8 SKUs. Aliens, Olympics, and?...
 

Kafel

Banned
So for Vita : Monkey Ball, Phantasy Star, the Hatsune thing, Sonic Racing, Yakuza and what else ?

Football Manager I hope. And a real Sonic.
 

KingJ2002

Member
Sega should definitely consider their arcade titles for digital release.

Many of them would be perfect fits for mobile or xbla/psn/nn


but it's clear sega is going through some franchise fatigue and they need a breakout hit to stay relevant.

They need to continue to improve the quality in their core sonic titles, bring games such as yakuza to the forefront, invest in a money printing MMO... but also release titles that have a global impact.

Capcom may have it right by collaborating with companies all over to reach every audience... dead rising 2 is a great example... and lost planet 3 shows way more promise than lost planet 2. DmC isn't impressing me... but if it's a winner... the formula is a success.

either way... Sega needs to re-invent itself next gen
 

IrishNinja

Member
Err is Yakuza Dead Souls selling half a mil. a good thing? How much did the previous games sell?

i was wondering this too - all i recall is that 4 sadly sold less than 3, though enough to warrant DS localization. personally, i didn't think the # was bad for a niche series spinoff but i don't do sales-age much.

Looks like they're betting heavy on the Vita and practically ignoring the 3DS.
Another awesome business decision?

yeah, i don't get that either. Kafel called a few:

So for Vita : Monkey Ball, Phantasy Star, the Hatsune thing, Sonic Racing, Yakuza and what else ?

Football Manager I hope. And a real Sonic.

maybe that rumored sonic skylanders thing, or generations 2? still, oughta see more on the 3DS side, sega was one of the wii's biggest supporters i thought but i forget how much they brought to the DS, i wanna say it was substantial though.

never forget
GenesisLogo.png

Megadrive_logo.png

250px-Sega-Mega-Drive-JP-Mk1-Console-Set.png

240px-Sega-Genesis-NA-Mk2-Console-Set.png

neither of these is the OG genesis though!
 
So for Vita : Monkey Ball, Phantasy Star, the Hatsune thing, Sonic Racing, Yakuza and what else ?

Football Manager I hope. And a real Sonic.

Yakuza and Phantasy Star are doubtful. I guess they could port one of the older Yakuza's and get it out in time but they haven't announced anything so far. And Phantasy Star I doubt will make it out before March next year.

The three before the end of Q2 in September are Virtua Tennis 4, Hatsune and Samurai & Dragons.

The remaining five will include your two suggestions, Monkey Ball and Sonic Racing, leaving just three that I have no clue about. Easy guess would be a bunch of Mega Drive ports but who knows. PSN certainly makes it very easy for them to support the system with a number of games.

Capcom may have it right by collaborating with companies all over to reach every audience... dead rising 2 is a great example... and lost planet 3 shows way more promise than lost planet 2. DmC isn't impressing me... but if it's a winner... the formula is a success.

What? Capcom have had ONE success from those collaborations, so I have absolutely no idea why you would suggest that. If anything, Sega have a vastly superior record collaborating with western studios. They own Football Manager and Total War.
 
They need to hurry the hell up with getting more Dreamcast games onto XBLA/PSN. I can see Jet Set Radio doing extrmely well, and when/if we get Skies or Acradia and Shenmue, those will sell like hotcakes (especially Shenmue).
 

Tizoc

Member
what are pachinko slots

Pinball of the gods.
...but from what I figure:
You get these tiny metal pebbles which you try to enter into slots in the machine. These will make reels turn and if the reels give you a specific pattern you get more pachinko balls, you keep doing this until you have lots of balls which you can trade for stuff.
So it's like Pinball+Slot machines.
 

IrishNinja

Member
I wonder if they'll port the Yakuza games to PC. After Binary Domain, I'm wondering if that'd be possible.

yeah, i was starting to think this too - i really wish we could see if BD found a home on steam, i'm hoping word of mouth helped.
but yeah, when sega talked about more titles going digital, i was hoping this meant Yakuza 5, if they don't see a physical release as practical. they've gotta know a collection (even straight ports to PC) would be money in the bank too, i just wonder how much it'd cost to make it happen.
 

cyen

Member
Well.. i just done my part (or maybe not since i bought it for cheap), bought Sonic Generations for PC.

Hope the game is good, bought mostly for classic sonic.
 
They need to hurry the hell up with getting more Dreamcast games onto XBLA/PSN. I can see Jet Set Radio doing extrmely well, and when/if we get Skies or Acradia and Shenmue, those will sell like hotcakes (especially Shenmue).

People keep saying this, but wasn't the series originally a flop? Why would people suddenly care about Shenmue now?
 

Tizoc

Member
yeah, i was starting to think this too - i really wish we could see if BD found a home on steam, i'm hoping word of mouth helped.
but yeah, when sega talked about more titles going digital, i was hoping this meant Yakuza 5, if they don't see a physical release as practical. they've gotta know a collection (even straight ports to PC) would be money in the bank too, i just wonder how much it'd cost to make it happen.

As much as I like the Yakuza series I'd rather not DL a 10-20 GB game onto my PS3 lol.
 

IrishNinja

Member
As much as I like the Yakuza series I'd rather not DL a 10-20 GB game onto my PS3 lol.

yeah, ive only got a few gigs of space, but i meant steam! i totally did.

let's be honest bro trophies & plats for yak 1 & 2 would make us weak on any platform
 

Tizoc

Member
yeah, ive only got a few gigs of space, but i meant steam! i totally did.

let's be honest bro trophies & plats for yak 1 & 2 would make us weak on any platform

Oh if it's via Steam then that's OK lol. Why is I am OK with dling to my PC but not to my PS3 when it comes to big files?
I hear ya bro, I'd get an HD Collection of those 2 games in a heartbeat...would make my collection semi-complete ;.; ...and give Y1 a dual audio option, I mean come on MAJIMA GORO IS VOICED BY MARK HAMILL!
 
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