The Japan-headquartered Sega Sammy, composed of two video game/amusement companies which officially merged in October 2004
, saw something of a fiscal downturn in 2004 but expects better results in the coming year, according to combined financial results showing a net profit of 50.3 billion yen ($467.3 million USD) for the company.
The Sammy branch of the company continues to be successful with its pachinko machines, sold throughout Japan to pachinko parlors. Sales were such that Sammy's profit grew by 50.9 percent, helping the combined company to reach the afore-mentioned net profit of 50.3 billion yen ($467.3 million USD) in the financial year just past, despite Sega's 79.8 percent drop in net profit. Sammy predicts its profits in the current fiscal year to reach 56 billion yen ($520 million USD) by March 2006.
Sega, for its part, hopes to turn its fortunes around in Western territories such as Europe and America in the current financial year, bolstered by titles the company is preparing for the Xbox 360, which will launch in time for the holiday season. Condemned
and Full Auto
are both intended as launch titles for Microsoft's new platform, with which Sega hopes to establish themselves as one of the foremost next-generation software developers. "We're going to be a different company in two to three years," said Naoya Tsurumi of Sega of America.