Sega Financial Report: H1 2024

Sega’s financial results for the first half of fiscal year 2025 demonstrate a resilient video game business despite a broader decline in total company revenue and operating profit. While total corporate revenue fell 4.5% to ¥211.6 billion, the consumer video game segment achieved a 22% year-over-year increase, reaching ¥95.6 billion. This growth was primarily fueled by strong performance in downloadable content (DLC), the integration of Rovio’s revenue, and a robust back catalog, which accounted for nearly 80% of total full-game sales.

The company sold 12.39 million units during this period, a 17% increase compared to the previous year. However, the performance of new releases remained modest, contributing just over 1 million units to the total. Key franchises driving these figures included Persona, which led with 1.81 million copies sold, followed by Sonic, Like a Dragon, and Total War. Geographically, the business maintains a strong international presence, with 61.5% of video game sales generated outside of Japan.

Strategic shifts also defined the period, most notably the divestment of Amplitude Studios via a management buyout as part of a broader restructuring of Sega’s European operations, which resulted in a ¥5.9 billion loss. Looking ahead, the company is focusing on the upcoming winter launch of Sonic Rumble, a project that leverages the combined development capabilities of Sega and the marketing expertise of the recently acquired Rovio. Overall, the results highlight a transition toward long-tail revenue models, as the company navigates a period characterized by sluggish new title performance and a strategic pivot in its international studio portfolio.