Sega parent ends year $218.5 million in the black as high-heeled shooter, Aliens vs. Predator, and Sega All-Stars Racing top 1 million each; Mario & Sonic at the Olympic Winter Games tops 6 million.
Sega Sammy's latest annual financial report bore both good news and bad news for investors. For the full fiscal year ended March 31, 2010, the Sega parent company posted sinking revenues for the fourth straight year, but turned a net profit for the first time in the same time span.
While most of the turnaround could be attributed to the company's surging pachislot business, the consumer business (Sega console and PC games) contributed positively to the bottom line. The game division posted an operating profit of ¥6.3 billion ($68.1 million), compared to a ¥900 million ($9.7 million) operating loss for the previous year.
However, revenues were down 7.5 percent to ¥121.5 billion ($1.3 billion) for the year, with Sega citing weak demand in the US and Europe as a main cause. Moving forward, the publisher said it "needs to adapt to [a] changing business environment" with an expanded emphasis on social networking services and smartphones.
As for the games themselves, Sega Sammy updated sales figures for a number of recent releases. First and foremost, the publisher revealed that Mario & Sonic at the Olympic Winter Games for the Wii and DS has sold 6.53 million copies in the US and Europe. (Nintendo publishes the game in Japan.) The mascot minigame collection wasn't the only Sega title to break the million-unit mark, as Aliens vs. Predator racked up 1.69 million sold and Sonic & Sega All-Star Racing sold 1.07 million copies, both across the US and Europe.
Bayonetta was the company's only worldwide hit, as the Platinum Games-developed actioner sold 1.35 million copies in the US, Europe, and Japan. A pair of Japan-only releases also performed well, with Phantasy Star Portable 2 on the PSP selling 600,000 and Yakuza 4 for the PS3 breaking 560,000.
For the full year, Sega Sammy posted a ¥20.2 billion ($218.5 million) net profit, compared to the previous year's ¥22.8 billion ($246.6 million) net loss. While the bottom line improved, sales were down more than 10 percent year-over-year to ¥384.6 billion ($4.2 billion). Sega Sammy annual revenues have been on the decline since the year ended March 31, 2006.
Brendan Sinclair has been a games journalist since 1999. His tastes are eclectic, though he has a definite affinity for games with arcade roots. He's Canadian, but has also been at home in Atlanta, Austin, Chicago, and San Francisco.
BAYONETTA is quite possibly the best action-adventure game ever. Seriously. The combat system, level of complexity and detail make the God Of War series (which is one of my all time faves) look like kid's play. AvP was much better than it's getting credit for being but it does have it's share of problems....
@wizo59mt I agree that a New Phantasy star online is needed. Also, they could easily Re release this game on PS3 Network or Xbox Live with some revamped HD graphics. Make the game Free For Down Load. Put Advertisements in the Lobbies and Make Money off Downloadable Rares and Outfits. This game is perfect for Live Or Home.
@Transparanoia As a matter of fact they have. You can install data on the hard drive now, which minimizes load times to a much more manageable level. I'm real glad Bayonetta is getting the success such a well-designed action game deserves. There is literally nothing wrong with that game, not even the PS3 version (anymore).
I personally detest Sega since they showed a complete lack of customer and fan support/loyalty by ditching every console they made since the Genesis. At least they went back to doing what they did best; making games. That said, I love AvP. Not as good as the original and well below AvP2 imo but still good none-the-less.
Mario and Sonic top 6 mil. Man i think i threw in my mouth a little. Its to be expected though i guess. I just wish the world could work in reverse sometimes. You know talent and skill being rewarded over effortless cash grabs.
Does anyone know if they fixed up all the crappiness that was the Bayonetta PS3 port via patches? I'll definitely pick it up if they have.
For me, Sega needs concentrate on marketing and quality. The big developers make names for themselves simply because they don't release garbage, and they market their products properly. Bayonetta was a good product, but still lacking in story etc. Things like that seperate a B+ game from a AAA. I want to see Sega flourish, but I'm not sure I have faith in the upper management to make it happen.
I WANT SHENMUE 3 FOR Wii! Seriously, though, I'm happy for Sega. I've been a fan of their stuff since the Genisis days. I'd like to see some Dreamcast stuff as downloadables for PC. Eventually, everything's gonna go downloadable anyway. Release it through GOG and watch the money roll in.
Good news for Sega. There is no reason why Saturn and Dreamcast Games are not on PS3 Network and Xbox Live for download. Shemue 3 is way overdue. Perhaps Skies of Arcadia 2
i really hope this doesn't spur them onto making more AVP games, it was pretty damn shocking
I'm so happy for Bayonetta, is one of the best games this year and is IMO the best action game ever, i can't wait for a sequel, spinoff, prequel or whatever, just give more of that sexy witch.
IMO I enjoyed Bayonetta far more than the Devil May Cry series (DMC2 and up). In Bayonetta I didn't have to worry about doing different attacks every time in order to get an S rank, instead I had to worry on beating the enemies as fast as possible and get less damage, just like in the first DMC, which IMO was the best DMC game ever. Anyway, good for you Sega, now...buy Platinum Games, do a deal with some third party publisher or something, and make a Dreamcast 2. God knows you only made purely awesome games when you were in the console market, and I still think the Dreamcast is the best console I've seen and used in my life. Also, gimme a Jet Set Radio sequel (or remake), give Shenmue fans Shenmue 3, and bring back those old IPs that we know would do great if you guys made a new game about them.
Imagine how much money Bega is gonna be making when they release the Sonic 4 episodes. I still need to buy Bayonatta and I think getting the platnium version will do quite nicely.
bayonetta and sega and sonic all star racing are awesome but i wish they would finish the story and do shenmue 3
Figures, the mediocre kiddie game on the Wii (Mario and Sonic at the Olympics) sells the most copies. I'll take Yakuza 4, please!
@maverick_76: It's hard to blame them, considering they know Sonic games will sell like crazy. I do agree with your point, though. More new IPs would be nice.
Come on, how about a Powerdrift remake - similar to OutRun2 in proper polygonal 3D. Online 16 x multiplayer would be awesome....
Too Bad porting games over to the PS3 is so Crappy thats why most are better on 360 (blue ray tech is still not close to dvd tech)
wonzan : the ps3 can't keep up with "fast" games/has a hard to work with engine. BUT IT HAS BIGGER SPACE!!! :D
@Wonzan If you had both systems (like me), you can pick the the best one. I bought the 360 version. Bring on Bayonetta 2!
If the PS3 port of Bayonetta wasn't so horrendous I would have bought a copy and upped your profit margins Sega. ¬___¬. I know MANY others that would have bought the game if you did a half decent port. Bayonetta could have reeled you guys in a lot more cash.
I absolutely loved the Bayonetta demo for PS3 but once I read how the full version was a far inferior version to the 360's, I boycotted it. If you don't put the effort in, then you don't get my money, simple as that.
Sequel to Sonic & Sega All-Stars Racing arrives on Xbox 360, PS3, 3DS, PS Vita, and PC late this year; Golden Axe, Skies of Arcadia karts added to roster.
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