Japan’s Sega Sammy Holdings reported a net loss attributable to owners of parent of JPY 5.76 billion (US$36.5 million) in the year ended 31 March 2026, reversing the JPY45.0 billion profit made a year earlier due to consolidation of the financial results of acquired companies Rovio and Stakelogic B.V.
The loss was, however, narrowed significantly from the JPY 16.9 billion (US$110 million) loss recorded through the first nine months of the financial year.
The FY26 loss was a direct result of impairment losses on goodwill and other intangible assets related to video game entity Rovio as well as on goodwill and property, plant and equipment related to Stakelogic. Rovio – acquired in 2023 – is the developer of smash hit mobile game “Angry Birds”.
Sega Sammy stated in its earlier financial results for the nine months to 31 December 2025 that it would “suspend large-scale M&A for the time being” as a direct result of the underperformance of Rovio.
The inclusion of GAN Ltd and Stakelogic in Sega Sammy’s financials saw segment revenue grow 369% to JPY 25.3 billion (US$160 million) in FY26, albeit with the segment falling to a JPY 18.4 billion (US$117 million) loss.
This was despite gaming equipment sales through Sega Sammy Creation – particularly those associated with smash hit US-centric slot game “Railroad Riches” – reaching record highs.
Korean integrated resort Paradise City in Incheon, of which Sega Sammy holds a 45% stake, also saw all-time highs thanks to a “high level of drop amounts, particularly from Japanese VIP customers.
“As a result, for the period from January to December 2025, both net sales and each stage of profit reached all-time highs since its opening,” the company explained.
Group-wide, Sega Sammy – whose core business is centered around video and arcade games – reported sales of JPY 487.5 billion (US$3.09 billion), up 13.7% year-on-year.
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