Sega financials fall short of reduced forecast

Sega has revealed that it did not do as well financially as it expected – even with a a reduced fiscal predictions.

The firm announced it made 154.3bn in net sales (827m) which is down 1.1 per cent on the firm’s previous reduced expectations for the six months ending September 30th 2015.

In September, Sega lowered its revenue expectations 22 per cent, from 200bn to 156bn. Its revenue for the first half of the fiscal year was in fact 2.2 per cent lower than the same period in 2014.

Meanwhile in terms of profit, Sega made a 2bn loss year-on-year. For the six months ending September 30th 2014, the publisher made 2.8bn (15m) – this year, that figure is only 964m (5.2m).

But Sega’s operating income is up year-on-year – rising from 2.7bn (14.6m) to 5.7bn (30.6m).

Sega blames these lacklustre results in the performance of the Japanese economy, with the firm going on to say that demand for pachislot and pachinko machines has been ‘weak’ for the period. Sales for this part of the firm’s business dropped 7.3 per cent year-on-year.

Meanwhile Sega announced it sold 3.2m boxed games during the period – lower than last year, but due to a reduced number of major titles launching for the company.