Sega Sammy Profits Double For Fiscal Year

Sega Sammy Holdings has posted financial results for the last fiscal year ended in March, noting a significant increase in profits despite "the growing concern for the Japanese economic recovery losing its momentum." The Tokyo-based Sonic the Hedgehog publisher said that major title releases helped boost sales, with the likes of Sonic Colors and Shogun 2: Total War for the overseas market, and Phantasy Star Portable 2 Infinity in the Japanese market. The group -- which also has arcade and pachinko divisions -- revealed that 7.8 million games were shipped in the U.S., 8.2 million copies in Europe and 2.6 million copies in Japan and other regions, for a total of 18.7 million copies. These figures fell below the performance level of the previous fiscal year. It was also noted that, due to constraints of the aftermath of the Great East Japan Earthquake, sales at Sega amusement centers were down to 99.3 percent compared to the previous fiscal year. However, profits saw a huge increase, up 104.8 percent to ¥41.5 billion ($515.5 million), compared to ¥20.3 billion ($252.2 million) last fiscal year. The hike came from factors including royalties from patents and reversal of subscription rights to shares. For the fiscal year ended March 31, 2011, the company saw revenue rise by 3.1 percent to ¥396.7 billion ($4.9 billion), up from ¥384.7 billion ($4.8 billion) year-over-year. Looking to the next fiscal year, Sega Sammy said that the Japanese economy remains unpredictable due to the effects of the recent earthquake, but that shipments of game software is estimated at 9.2 million in the U.S., 10.7 million in Europe and 3.4 million in Japan, for a total of 23.3 million -- up by 4.6 million over the current fiscal results. Sega Sammy expects sales to rise in the current fiscal year by 13.4 percent to ¥450 billion ($5.58 billion), and a 20.5 percent drop in profits to ¥33 billion ($409.35 million).