Sega Q1 net sales decline 22.7% to $548m

Sega Sammy published its financial results for its first quarter, reporting a decline in net sales to ¥81 billion ($548 million), and an operating loss of ¥519 million ($3.5 million).

The firm noted that despite “few new titles” in its portfolio for the three months ended June 30, 2025, overall net sales “exceeded expectation” and its Entertainment Contents segment, which includes games, “performed as expected”.

The numbers

For the three months ended June 30, 2025:

• Net sales: ¥81 billion ($548 million, down 22.7%)
• Operating loss: ¥519 million ($3.5 million, compared to operating income of $130 million during same period last year)

The highlights

Sega saw declines in its Entertainment Contents segment, with net sales down 6.7% to ¥67.7 billion ($458 million) and operating income declining 39% to ¥7.1 billion ($480 million).

The firm noted that though there was a limited number of newly released titles, its net sales for this segment “performed largely in line with expectations”. However, the drop in operating income was “narrower than expected”.

Full game catalogue sales and Rovio titles also “performed weaker compared to expectations,” though sales of new titles “remained steady”.

It noted success with its most recent free-to-play release Persona 5: The Phantom X, which launched in June and was “stronger-than-expected”. Sega announced the game exceeded 1.5 million downloads on the first day of launch.

Sales of new titles in the three months ended June 2025 reached 610,000 units, compared to 710,000 during the same period last year. Catalogue titles moved 4.3 million units (down from 5.1 million), and full game sales totalled 4.9 million (down from 5.8 million).

Elsewhere, Sega highlighted its ongoing focus of its transmedia strategy, of which it aims to create “a virtuous cycle of IP value enhancement and revenue expansion”.

The firm is aiming to “diversify [its] IP portfolio globally, including Sonic, as well as engaging in game sales and service provision, animation, production, and character licensing businesses.”

Part of this strategy involved the opening of Sega Store Tokyo last month, the first physical Sega store in Japan.

Looking ahead, Sega announced no changes to the forecast for its fiscal year announced in May 2025.