Sega Sammy is the most recent firm to launch its financials for the 9 months ended December 31, 2017, and each sales and profits have dropped off.
Net sales dipped by eight.7 % year-over-year to 260.eight billion yen ($2.38 billion), whereas profits fell by 62.three % to 13.eight billion yen ($126 million).
Despite that total decline, Sega’s leisure division – which homes its online game operations – noticed sales improve by 1.6 % to 157.9 billion yen ($1.44 billion), and working earnings rise by 12.three % to 17.three billion yen ($157.9 million).
That upward shift was pushed by a pointy rise in physical recreation sales, with Sega promoting 14.28 million retail copies via Q1 to Q3 in comparison with simply eight.13 million copies throughout the identical interval in 2016.
The firm credited latest releases like Sonic Forces, Ryu Ga Gotoku Kiwami 2, and Football Manager 2018 for offering that bump.
Sega’s digital recreation roster struggled to match these performances, and digital sales really fell by 17 % year-over-year.
The Japanese outfit blamed that slowdown on the sluggish Japanese smartphone market, which it suggests is now dominated by just a few key gamers who can afford to speculate extra time and cash into high-quality releases.
Even so, the agency nonetheless talked up the “strong” performances of latest digital titles like Magic Record: Puella Magi Madoka Magica Side Story, and appeared happy with mainstays like Phantasy Star Online 2, Hortensia Saga, and Puyopuyo Quest.
Looking forward, Sega believes its Entertainment Contents division will end the 12 months in good well being, and expects web sales and working earnings to hit 215 billion yen ($1.96 billion) and 14 billion yen ($127.eight million) by the tip of the fiscal 12 months.