Sega, the creators of Sonic and owners of popular sagas like Persona is facing some challenges in the gaming industry. The company reported that three of its recent video game releases, Sonic Superstars, Endless Dungeon and Total War: Pharaoh, have not performed well in terms of sales during the Christmas season. This has resulted in losses associated with a reduction in inventory due to weak sales.
The company also noted that sales in Europe and the United States have been affected due to the economic environment, particularly due to inflation. Despite this, Sega remains optimistic about the video game market’s long-term growth potential, as diversification in service delivery creates an environment where content and services can be offered globally regardless of device or platform.
The poor sales of the game Sonic Superstars can be attributed to the game’s release in a busy month for triple-A titles. On the other hand, Total War: Pharaoh faced issues with the developers apologizing for the series’ “missteps”. As a result, some buyers received refunds for the game.
In terms of financials, Sega reported an ordinary income of 19.7 million yen, a 52.5% drop year-on-year, with sales of 219.3 million yen, representing a 4.2% increase compared to the same period last year, although the increase was primarily due to the acquisition of the creators of Angry Birds.
Despite these challenges, Sega is seeing early success in 2024 with the release of two successful titles, Like a Dragon: Infinite Wealth and Persona 3 Reload. Like a Dragon: Infinite Wealth has set records for the number of concurrent players on Steam and has sold over a million units, while Persona 3 Reload has become the fastest-selling game in Atlus’ history.
In a nutshell, while Sega has faced challenges in recent times, the company is hopeful of a brighter future as it continues to release successful gaming titles.