News Article

SEGA Reveals Jump in Profits in Q2 Results

Posted by Andy Green

Boxed sales witness a slowdown, while digital performs well

SEGA has released its financial results for the second quarter of 2013, revealing a massive 408 percent leap in profits.

The company recorded a 12.9 billion yen ($131.8 million/ £87 million/ €99.4 million ) profit between 1st April and 30th June, compared to the 2.5 billion yen ($25.8 million/ £17 million/ €19.4 million) during the same period last year.

Sales in the firm's video game division brought in 18.8 billion yen ($192.2 million/ £126.9 million/ €144.9 million) for the three months, while operating profits stood at 39 million yen ($396,104/ £262,104/ €299,367).

One of the most interesting findings was that sales of packaged games slowed but demand for mobile, digital and social gaming remained buoyant. Overall net sales reached 90.7 billion yen ($923.6 million/ £609.7 million/ €696.4 million), which is up 29.6 percent on last year.

SEGA's best selling game in the period was PC title Company of Heroes 2, which shifted an impressive 380,000 copies - quite high considering it was only made available on 25th June.

This was certainly a solid quarter for SEGA and it will hope to continue the upward trend in the next couple of months. Sonic Lost World isn't due out until October so won't be able to assist in the third quarter results.

[via segasammy.co.jp, gamesindustry.biz]

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User Comments (25)

Caryslan

#4

Caryslan said:

Its funny, but it seems like Sega's greatest successes in recent years have been on Nintendo platforms and on the PC. Maybe they should devote more of their efforts towards those platforms.

It just seems like Sega's games don't click with Sony or Microsoft gamers for some reason.

Snakellama

#5

Snakellama said:

Does anyone know what SEGA spectrum turned out to be? There was rumors that it was a new console, but that obviously didn't happen.

Caryslan

#6

Caryslan said:

As a Sega fanboy at heart, I am so happy to see them do well. Go Sega! You deserve to be successful a lot more than some other third-parties that screw over their customers.

Caryslan

#8

Caryslan said:

@Snakellama I'm not sure, but my guess is that its a new Arcade Board. Sega still works on Arcade hardware, and I remember everyone assuming the Ringedge was a new console until it was revealed to be a new Arcade Board.

Sega is still one of the top companies when it comes to Arcade games, so my money is on it being related to their arcade business.

seronja

#10

seronja said:

good job SEGA! in my opinion they are the most underrated video game company of this gen, so many awesome games like bayonetta, vanquish, anarchy reigns, mad world, binary domain, resonance of fate, nights into dreams & lost in shadow were all really great, but sadly didn't get the attention it deserved... so very glad to see them doing good for a change :)

unrandomsam

#11

unrandomsam said:

I think Sega has lost it. At least the Western part. The Japanese Arcade division looks good.

(They were making good console games in the Dreamcast era new stuff not the same old tired franchises. They continued them a bit onto the original Xbox then gave up).

Still think they should have merged with Namco not Sammy. (Sammy are a gambling company).

unrandomsam

#12

unrandomsam said:

My favourite Sega stuff is :

Shenmue
Crazy Taxi
Vectorman
Skies of Arcadia
Phantasy Star (Original Series)
Panzer Dragoon
Golden Axe - Revenge of Deathadder.
Gunstar Heroes (Dunno whether that counts but I think Sega owns it they always seem to be the ones rereleasing it anyway).
Nights into Dreams (Don't like the Wii one as much though it is only ok not great.)

I am not really into sports games but I liked Virtua Tennis and Virtua Striker when they were made first and foremost as Arcade games then ported to the Dreamcast. When Sega started caring more about player names than gameplay I stopped caring.

Playing the Android games (Jet Set Radio / Crazy Taxi) with a 360 pad is pretty good especially considering the cost. (1/3 of the price of a NES game).

ios7 gets controller support so that will probably be good for Sega stuff.

Outside Japan Sega are not doing anything I care for. Border Break and K.O. Drive look quite good.

BrightBeing

#13

BrightBeing said:

I've always been a Nintendo fan, but a healthy SEGA helps to make a healthy gaming market. (Although I secretly scheme of a Nintendo buy-out) :P

jayclayx

#14

jayclayx said:

Nintendo should co produce shenmue and jet set radio for the wii U with sega, (despite those are cult games and not commercial) it would be sweet.

RedRocBoy

#15

RedRocBoy said:

@jayclayx My thoughts exactly. Shenmue 3 exclusive on Wii U would be so dope. And bring Shenmue 1 &2 to the eShop. CRAZY!!!!!!

Emblem

#16

Emblem said:

Sega have been on the way up for a while now, their next big release is actually Rome Total War 2 in September which is sure to be a big hit like all its predecessors. I have LW and RTW2 pre-ordered and i have faith both will be excellent.

Edit: Don't forget Sega also snapped up the WH & WH40K strategy licenses this year, PC games are certain but with Sega and Nintendo's relationship maybe we will start getting some strategy titles on WII U or 3DS.

sinalefa

#18

sinalefa said:

Glad for them. I got Sonic Racing Transformed for my Wii U shortly after launch and I enjoyed it a lot. It shows lots of dormant Sega franchises that would be awesome to see again.

I also support Shenmue 3 finally seeing the light of day. Even Duke Nukem had a chance, and Shenmue would be infinitely better.

ecco6t9

#20

ecco6t9 said:

Sega did some crazy 3D remakes of Genesis games that sold?

Who would of thought that?

GuttaBunny

#22

GuttaBunny said:

Sega are sitting on incredible ip that could print money at will. Just release Shenmue1 and 2 on eshop/ live/ psn.

Jollykarp

#23

Jollykarp said:

Woohoo, great job Sega! To be honest I never thought Company of Heroes 2 would do spectacularly, but it's good to hear that in these hard times there are people who can still make a profit in the games industry.

Rafie

#24

Rafie said:

I honestly believe in my heart of hearts that Sega can come back and release a console that will DEFINITELY contend with all 3 giants (Nintendo, Sony, and Microsoft). I really wish they would.

Cohort

#25

Cohort said:

Maybe now Sega could afford to publish Bayonetta 2, when the Wii U goes belly up! ;)

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