SEGA Raises Fiscal Year Sales Forecast

[nuckles87]

Things have been good for SEGA’s profits this last year. First, SEGA reported a profit on it’s third quarter statement back in February. Then, in August, SEGA reported 7 billion yen in profit for it’s first quarter of it’s 2010-2011 fiscal year. All of this great news has resulted in SEGA’s stock price hitting it’s highest price since 2007, where it’s stayed close to ever since.

The good times keep on coming. While video game giants like Nintendo continue to lower their own fiscal year forecast, SEGA has now raised it’s overall sales forecast for its entire fiscal year, ending March 31st 2011, from $400 billion yen ($4.7 billion) to $410 billion yen ($4.9 billion). The profit guidance forecast has gone up from 22 billion yen ($264 million), to 36.5 billion yen ($437 million).  This rise in revenue and profits has been brought on by strong sales SEGA Sammy’s Pachinko/Pachislot division, which is now expected to sell 660,000 units, up from the originally anticipated sales of 620,000 units.

SEGA’s amusement machine and amusement center businesses have helped offset relatively weak sales in it’s consumer division, which SEGA credits to the sales of titles overseas. According to SEGA:

    “While the consumer business saw mainly sales of new titles in overseas markets hover at weak volumes, the amusement machine sales business and amusement center operations business are expected to maintain robust operating results.”

Upon this news, SEGA’s stock price went from $3.87 to a new 52 week high of $4.03. The price is now holding steady at around $3.98, though this will likely fluctuate throughout the day. As a stockholder, this news makes me very happy. I am very glad I didn’t sell my stock back in July, as it definitely looks like the good news is going to keep on coming for awhile.

For a more in depth look at this news, check out the source, Gamasutra.

http://www.segabits.com/?p=4620

[max_cady]

Good...
Good...

Everything is going  according to plan...

[Sharky]

Bit of a shame to hear that the consumer division is weak though, it isn't for the lack of good games... Not the past 2 years anyway.

[Sega Stylista]

“While the consumer business saw mainly sales of new titles in overseas markets hover at weak volumes...”

That is specifically saying that Bayonetta, Yakuza 3, SASR, and Alpha Protocol sales underperformed in NA/EU.

[CrazyT]

Some website, seganewswire, used this news to back up the possibility of a new sega console.

Would be pretty nice. I dont know why, and even if a lot of people say it wouldnt be wise of sega, I think it would be great if it was true. PSO2, 20th aniversary sonic is enough to get me sold.

Heard the wbsite was a fraud though

[Aki-at]

That is specifically saying that Bayonetta, Yakuza 3, SASR, and Alpha Protocol sales underperformed in NA/EU.

It is only talking about Alpha Protocol. The other three was covered in SEGA's last fiscal year and two of them (Bayonetta and Yakuza 3) met their targets.

Some website, seganewswire, used this news to back up the possibility of a new sega console.

You need a lot more than $400 million to fund research and development for a new console.

[George]

Seganewswire is another BS site by Zach Morris aka 100% bullshit.

[Sharky]

“While the consumer business saw mainly sales of new titles in overseas markets hover at weak volumes...”

That is specifically saying that Bayonetta, Yakuza 3, SASR, and Alpha Protocol sales underperformed in NA/EU.

Don't make things up.

Only AP did poorly.

[nuckles87]

I doubt they where referring to any particular titles. Just because a game came out last quarter doesn't mean they didn't expect any sales this quarter. That said, I'm sure Alpha Protocol played a role, but they are referring to overall sales, which encompasses any titles currently being published.

[Suzuki Yu]

good news is good

Seganewswire is another BS site by Zach Morris aka 100% bullshit.

lol is this guy still active! is there any followers? :lol:

[Aki-at]

I doubt they where referring to any particular titles. Just because a game came out last quarter doesn't mean they didn't expect any sales this quarter. That said, I'm sure Alpha Protocol played a role, but they are referring to overall sales, which encompasses any titles currently being published.

Of course not, but considering the two titles mentioned already met their targets, I fairly doubt SEGA was expecting the titles to sell anymore.

It's more likely a case of Phantasy Star Portable 2, Valkyria Chronicles 2, LA Machineguns and other titles (Most notably Alpha Protocol and Iron Man 2) have failed to gain the sales they were expected. SEGA's catalogue sales always happen to be fairly strong and go beyond expectations, so I think this would rule out Bayonetta and a few other titles.

[ROJM]

“While the consumer business saw mainly sales of new titles in overseas markets hover at weak volumes...”

That is specifically saying that Bayonetta, Yakuza 3, SASR, and Alpha Protocol sales underperformed in NA/EU.

Don't make things up.

Only AP did poorly.

Actually Bayonetta did under perform compared to its japanese counterpart and to AVP. it was a mid-seller meaning it had ok sales, strong enough to go beyond 700k but not steller as sega expected.That's how SASASR performed as well. YAKUZA 3 was only meant to shift a small shipment and did better than expected. Which is why the 4th game was confirmed more quickly.

[ROJM]

I doubt they where referring to any particular titles. Just because a game came out last quarter doesn't mean they didn't expect any sales this quarter. That said, I'm sure Alpha Protocol played a role, but they are referring to overall sales, which encompasses any titles currently being published.

Of course not, but considering the two titles mentioned already met their targets, I fairly doubt SEGA was expecting the titles to sell anymore.

It's more likely a case of Phantasy Star Portable 2, Valkyria Chronicles 2, LA Machineguns and other titles (Most notably Alpha Protocol and Iron Man 2) have failed to gain the sales they were expected. SEGA's catalogue sales always happen to be fairly strong and go beyond expectations, so I think this would rule out Bayonetta and a few other titles.

The thing about the consumer division is that the western side of things in the past have saved their ass with strong sales. I think this fiscal the sales hasn't been strong because two big titles underperformed on the american side  and now they're considered one department now its even worse.