At Ando Money, we take a closer look at Sega Sammy Holdings net worth and financial performance in 2024.
Known for its pachinko and video game businesses, Sega Sammy Holdings’ success relies heavily on its various revenue streams.
This article delves into its financial overview, discussing how its gaming and entertainment sectors contribute to the company’s growth.
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | Sega Sammy Holdings Inc. |
| Full Name | Sega Sammy Holdings Inc. |
| Website | segasammy.co.jp/en/ |
| Industry | Entertainment (Gaming, Pachinko, Resorts) |
| Traded as | Tokyo Stock Exchange Prime (Code: 6460) |
| ISIN | N/A |
| Founded | October 1, 2004 |
| Founders | N/A |
| Country/Territory | Japan |
| Headquarters | Tokyo, Japan |
| Chief Executive Officer | Haruki Satomi |
| Number of Employees | N/A |
| Market Cap | $4.30 Billion USD |
| Total Assets | ¥665,210 million (approx. $4.4 billion) |
| Total Equity | ¥390,988 million (approx. $2.6 billion) |
| Revenue | ¥104,755 million (approx. $692 million) |
| Net Income | ¥24,525 million (approx. $162 million) |
What is the Net Worth/Market Cap of Sega Sammy Holdings in 2024?
As of October 2024, Sega Sammy Holdings boasts a market cap of $4.30 billion USD. This positions it as one of the notable players in the entertainment and gaming sectors.
Compared to other companies, its value reflects the diverse business model Sega Sammy has built across pachinko, video games, and global expansion.
Here are some related companies that share the stage with Sega Sammy in the entertainment and gaming world:
- Nintendo
- Konami
- Bandai Namco
- Square Enix
- Capcom
- Sony Interactive Entertainment
- Phoenix Resort Co., Ltd.
- Rovio Entertainment Corporation
- Paradise Co., Ltd.
- Stakelogic B.V.
To explore more details about the largest companies globally, check out top companies’ financial data.
Sega Sammy Holdings Financial Performance Overview
Key Financial Performance Overview
In 2024, Sega Sammy Holdings generated ¥104,755 million (approx. $692 million) in revenue, reflecting a 3.2% decrease from the previous year.
Despite this slight dip, the company demonstrated resilience, with net income growing by 42.1%, reaching ¥24,525 million (approx. $162 million).
The financial strength stems from its diverse operations in gaming, pachinko machines, and overseas investments.
Main Revenue Streams
Sega Sammy Holdings draws its revenue from three core segments: Entertainment Contents, Pachinko Machines, and Gaming Business.
While pachinko machines saw a decrease in sales compared to the prior year, the Entertainment Contents Business showed substantial growth, contributing ¥72,585 million (approx. $479 million), up 34.0% from the previous year.
Growth in Entertainment Content
The entertainment division, which encompasses video games and digital content, played a crucial role in boosting the company’s revenue.
Hits like Shin Megami Tensei V Vengeance sold 500,000 copies in just three days, driving strong sales.
This segment saw ordinary income rise to ¥12,509 million (approx. $82 million), a remarkable 181.5% increase from the prior period.
Contribution of Pachinko and Gaming Businesses
Sega Sammy’s Pachislot and Pachinko Machines Business generated ¥28,891 million (approx. $191 million), though this marks a decline of 42.8% due to fewer blockbuster titles compared to the prior fiscal year.
On the other hand, the Gaming Business, driven by video slot machines like Railroad Riches™ and the Genesis Atmos™ cabinet, saw growth, recording sales of ¥680 million (approx. $4.5 million), an 87.3% increase.
Key Acquisitions and Investments Driving Revenue
Acquisitions have played a vital role in Sega Sammy’s growth strategy. The company acquired Rovio Entertainment Corporation in 2023, which contributed to the revenue of the entertainment content division.
Further investments, such as the acquisition of Stakelogic B.V., aim to bolster Sega Sammy’s footprint in the iGaming sector.
Additionally, the divestiture of Phoenix Resort Co., Ltd. added ¥8.4 billion to the company’s extraordinary income.
International Expansion and Revenue Impact
Sega Sammy’s international ventures, including its joint ownership of Paradise City in South Korea with Paradise Co., Ltd., have also added value to the company.
The resort’s casino division, in particular, has seen steady growth, primarily fueled by Japanese VIP customers, further contributing to Sega Sammy’s overall revenue.
Non-Core Businesses and Their Financial Impact
While not the primary focus, Sega Sammy’s involvement in resorts, such as its former stake in Phoenix Resort Co., Ltd., has previously added to its financial portfolio.
The company’s strategy to divest from this business area and focus more on gaming and digital entertainment highlights its aim to streamline operations and concentrate on higher-profit sectors.
Financial Forecast and Future Revenue Drivers
Looking ahead, Sega Sammy expects its full-year revenue for the fiscal year ending in March 2025 to reach ¥445,000 million (approx. $2.94 billion).
This forecast includes anticipated strong sales from new game releases, including Metaphor: ReFantazio and the highly awaited SONIC X SHADOW GENERATIONS.
These releases, combined with a push into the global F2P market, are expected to be key drivers of growth.
FAQs About Sega Sammy Holdings
How does Sega Sammy generate revenue from its gaming division?
Its gaming revenue primarily comes from sales of video games, gaming cabinets, and content distribution. Popular titles like Persona 5 Royal (Remaster) and Sonic franchises have been key drivers.
What recent acquisitions have impacted Sega Sammy’s financials?
Recent acquisitions like Rovio Entertainment and Stakelogic B.V. have boosted the company’s digital gaming and iGaming presence, adding new revenue streams and strengthening its portfolio.
What role does the pachinko business play in Sega Sammy’s financial performance?
Pachinko machines remain a significant contributor to Sega Sammy’s revenue, although sales have recently seen a decline. Despite this, popular titles like Smart Pachislot Psalms of Planets Eureka Seven 4 continue to perform well.
How has Sega Sammy expanded internationally?
The company has invested in international markets through ventures like Paradise City in South Korea, where its casino operations have shown consistent growth.
What future products are expected to drive revenue?
Upcoming game releases, including SONIC X SHADOW GENERATIONS, are anticipated to drive significant revenue in the latter half of the fiscal year, along with ongoing developments in the free-to-play market.
Conclusion
Sega Sammy Holdings is poised for continued growth with its diverse business portfolio and strategic acquisitions. For more in-depth financial analysis and updates, visit Ando Money. We welcome your comments, shares, and interaction on our platform.
