Sega is reporting that its transition into an platform-agnostic game developer and publisher is paying off sooner that it expected, and that its game business will break even this fiscal year.
Sega has not been profitable on an operating basis since 1998-1999. Chief Operating Officer Tetsu Kayama told CBS MarketWatch that Sega's restructuring is paying off earlier than the company had anticipated. Last year, Sega posted a loss of 69.2 billion yen ($540 million). Since Kayama took over last Spring, he's instituted many cost-cutting measures within the company, including selling off assets and staff reductions. Sega is still expected to post a group net loss of 15 billion yen this fiscal year, primarily due to restructuring charges and a lower valuation of its securities holdings.
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