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Forums - Gaming Discussion - Sega Sammy posting losses, cutting jobs...despite supporting the Wii?

exindguy on 10 February 2009

Sega owns Guilty Gear:

http://kotaku.com/5130806/who-owns-the-rights-to-guilty-gear




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BengaBenga on 10 February 2009

Strong Yen and a few bombs. That's it I think.

Overall the loss is reasonable.

I think development costs games like MadWorld and Empire: Total War (and other games) are booked in the quarter they release, except when it's developed inhouse, then the OPEX will likely be included, so that can't drop the profits.



theRepublic on 10 February 2009

Interesting chart

http://www.segasammy.co.jp/english/ir/settlement/segment_consumer.html

It looks like their net sales are growing by leaps and bounds, but for some reason they don't profit from it. Part of it is R&D. I couldn't really find anything specific for why costs went up so much.



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Gnizmo on 10 February 2009
disolitude said:
Kasz216 said:

Lets see....


Games that might have lost money.


Golden Axe (was supposed to have a big budget desptite being garbage.) - it jsut isn't possible this game cost more than 10 million. Sega is not bonkers, they would hve stopped the production of one of their beloved franchises in the beta stages if it was to cost that much and have such results.

Some good points above...you forgot Universe at War for PC and 360 which sold nothing. However if you look at the sales of other games, I believe any loses should have been recovered by sales of rehashes, sonic titles and othr successful ventures.

 

 The game was in development for a couple years at least (announced in mid 2006) and there was supposed to be at least one sequel based on developer comments. Secret Level has produced an amazing amount of absolute garbage titles so it would not surpise me to hear they completely dropped the ball despite decent funding. 25-30 million is probably high, but 15 million seems reasonable.



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Bitmap Frogs on 10 February 2009
theRepublic said:
Interesting chart

http://www.segasammy.co.jp/english/ir/settlement/segment_consumer.html

It looks like their net sales are growing by leaps and bounds, but for some reason they don't profit from it. Part of it is R&D. I couldn't really find anything specific for why costs went up so much.

 

They started paying their developers a wage.

Apparently they weren't happy anymore just with the bananas.





Current-gen game collection uploaded on the profile, full of win and good games; also most of my PC games. Lucasfilm Games/LucasArts 1982-2008 (Requiescat In Pace).

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celine on 10 February 2009
theRepublic said:
Interesting chart

http://www.segasammy.co.jp/english/ir/settlement/segment_consumer.html

It looks like their net sales are growing by leaps and bounds, but for some reason they don't profit from it. Part of it is R&D. I couldn't really find anything specific for why costs went up so much.

Seems most of their sales came from abroad ( 24m vs 2m ) so unfavorable exchange rate surely hurt them badly.

Also their R&D more than doubled from  17.7m in 2006/Q3 to 37.2m in 2008/Q3.

 



 “In the entertainment business, there are only heaven and hell, and nothing in between and as soon as our customers bore of our products, we will crash.”  Hiroshi Yamauchi

TAG:  Like a Yamauchi pimp slap delivered by Il Maelstrom; serving it up with style.

celine on 10 February 2009

Even more interesting is this link:
http://www.segasammy.co.jp/english/ir/settlement/segment.html

The consumer segment overall is in the red. Sales went up but also did the costs and expenses.



 “In the entertainment business, there are only heaven and hell, and nothing in between and as soon as our customers bore of our products, we will crash.”  Hiroshi Yamauchi

TAG:  Like a Yamauchi pimp slap delivered by Il Maelstrom; serving it up with style.

theRepublic on 10 February 2009
celine said:
theRepublic said:
Interesting chart

http://www.segasammy.co.jp/english/ir/settlement/segment_consumer.html

It looks like their net sales are growing by leaps and bounds, but for some reason they don't profit from it. Part of it is R&D. I couldn't really find anything specific for why costs went up so much.

Seems most of their sales came from abroad ( 24m vs 2m ) so unfavorable exchange rate surely hurt them badly.

Also their R&D more than doubled from  17.7m in 2006/Q3 to 37.2m in 2008/Q3.

 

http://www.segasammy.co.jp/english/ir/library/pdf/200903_3qe.pdf

On page 7, the exchange loss for the whole company is listed as 1423 million yen.  Considering that the loss for the consumer segment was 5647 million yen, that wouldn't account for everything.

The costs in that link you provided are exploding.  I wish there were specifics though.



Switch Code: SW-7377-9189-3397 -- Nintendo Network ID: theRepublic -- Steam ID: theRepublic

Now Playing
Switch - Super Mario Maker 2 (2019)
Switch - The Legend of Zelda: Link's Awakening (2019)
Switch - Bastion (2011/2018)
3DS - Star Fox 64 3D (2011)
3DS - Phoenix Wright: Ace Attorney (Trilogy) (2005/2014)
Wii U - Darksiders: Warmastered Edition (2010/2017)
Mobile - The Simpson's Tapped Out and Yugioh Duel Links
PC - Deep Rock Galactic (2020)

TWRoO on 10 February 2009

nevermind



Lolcislaw on 10 February 2009

I find it really suprising, especially by looking at Sales especially on the Nintendo system, if they not making profit this year, when they had such hits like Mario Sonic Olympics and Sonic Unleashed, plus publishing games like Football Manager.