Mothership’s Quarterly Profit Tumbles
Shares of Sega Sammy holdings are hovering near the $5 a share mark, and also closed up on the Japanese stock market for Friday, after the company reported its earnings for the first quarter of fiscal year 2015.
The mothership reported profits so far in FY2015 of $53.4 million on revenue of $858.6 million. The former is down more than 57 percent, while revenue remained fairly flat, down 2.6 percent compared to Q1 2014. The company expects to report a loss of $68 million once Q2 finishes in September. Still, that’s not bad for a business model where more than half the revenue is being generated from pachinko and pachislot games.
In consumer business, the news was a bit more grim. Sega lost $2.7 million for the quarter on revenue of $207.9 million. In Q1 2014, consumer business recorded a slight profit. Only one major title was released by Sega in the quarter, and it was in Japan. In all, 1.7 million physical copies of games were sold in the quarter–an overwhelming majority of that are from the back catalog.
For reference, Sonic Boom will fall in the third fiscal quarter.