Sega Aims to Expand Sales of its Japanese Games in the West; Plans to Create New IPs

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Today Sega announced its financial results for fiscal year 2018, which ended March 31st, 2017.

Since you can see from the table below, all of the relevant income figures are in the dark. Sad to say, the outcomes for the firm as a complete aren’t as positive as in the prior financial year.

Sega Aims to Expand Sales of its Japanese Games in the West; Plans to Create New IPs

The press release also included a breakdown of their operation of the publication’s video game industry.

“Concerning the environment of the Entertainment Contents Business, a slowdown in the spread of smartphones from Japan and the predominance of leading publishers are quickening in the market for digital games for smart devices. Therefore, provision of content that is unread is expected, leading to a tendency of longer development lead times and greater operating costs. Meanwhile, in foreign business, future growth is expected mainly in Asia. With respect to the packed game computer software market, expectations are increasing for future expansion of this market due to the significance of hardware of video game console. ”

On the other hand, the number of new titles started was lower than the initial estimate.

From the crowded game program field, as well as launch new titles such as “SONIC MANIA” and also “SONIC FORCES” from the “SONIC” series, cumulative worldwide sales of “Persona5″ which began overseas development in the current financial year exceeded 2,000 thousand copies. Additionally, through earnings from formerly launched titles (catalog titles), earnings amounted to 17,330 thousand copies (10,280 thousand copies for its previous financial year). ”

The press release also cites the outlook for its video game segment of Sega’therefore company. Interestingly, talking about packed games (which in Japanese market lingo signifies console games) people hear that Sega aims to continue strengthening international releases of Japanese games and also to create new IPs.

“With regard to the Entertainment Contents Business, focusing on the subject of electronic game applications, multiple new names including mainstay titles will soon be established, with the intention of additional growth in profitability.

In the area of electronic game software, the Group plans to establish 12 new titles including the brand new series for smartphone devices “kotodaman,” along with the soccer club management simulation game “Pro Soccer Club wo Tsukurou! Road to World.”

In the packed game software area, on top of further strengthening the global development of national titles, the Group will continue aiming for growth in profitability through producing new IPs and earnings of catalog names. ”

Earnings were marginally higher, but working income highlighted solid expansion. The outlook for the present fiscal year shows much higher earnings, but marginally lower income.

Interestingly, the company plans to launch 22 game SKUs following year, of which 22 in the west and 9 at Japan. The reason the amount is a lot greater for the west is that in this kind of report distinct platforms are counted separately, and also North America and Europe often acquire extra platforms.

As stated previously, Sega marketed  17,330,000 units of its games in financial year 2018, which can be considerably greater compared to the preceding calendar year. In the present fiscal year, they forecast further development of merchandise sales, which are predicted to reach 20 million.

Sega Aims to Expand Sales of its Japanese Games in the West; Plans to Create New IPs

This article was originally published by DualShockers. Read the original article.

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