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SEGA SAMMY Report Strong Nine Month Period News

By Chris Leyton on 07/02/2006 Pachinko and pachislot continues to do the business atop strong arcade and consumer sales...

SEGA SAMMY today released its fiscal report for the nine-month period ending on December 31st 2005, representing an increase in net sales, operating income and net income compared to the same period in the previous year.

For the nine-month period net sales stood at 421 billion yen (£2 billion) representing an increase of 399 billion yen (£1.9 billion); operating income for the period rose from 92 billion yen (£446 million) to 101 billion yen (£490 million) whilst net income saw a dramatic increase of 37.3% from 46 billion yen (£223 million) to 63 billion yen (£306 million).

The success was largely attributed to strong sales for its core Pachinko and Pachislot business, although favourable sales were also noted in the arcade business for Star Horse 2 NEW GENERATION and MJ3.

During the period SEGA SAMMY shifted 11.47 million titles worldwide in the consumer business; 3.19 million across Japan and Asia, 3.95 million across North America and 4.33 million throughout Europe. This was attributed to sales of The King of Beetle MUSHIKING: Road to Greatest Champion, Ryu Ga Gotoku and Noryoku Trainer Portable throughout Japan, whilst Shadow the Hedgehog and other Sonic titles saw strong sales overseas.

For the year ending March 31st 2006, SEGA SAMMY expects net sales to stand at 570 billion yen (£2.8 billion), an increase of 3 billion yen from previous expectations, due largely to the success of Sammy branded pachislot machines, arcade titles and bumper Christmas sales in the consumer business. As a result of cost-cutting measures in the pachislot and pachinko business, SEGA SAMMY expects profits to increase for the full year, and as a result expects operating income and net income to increase by 20.5 billion yen and 12 billion yen in comparison to previous forecasts to amount to 120.5 billion yen (£584 million) and 68 billion yen (£330 million), respectively.

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