Japanese gaming group Sega Sammy saw its gaming segment fall to a loss in the quarter ended 30 June 2026, despite a significant turnaround in its pachinko and pachislot division.
According to the company’s most recent results release, the gaming division recorded a segment loss of JYP1.79 billion (US$11.3 million), compared to a profit of JYP180 million (US$1.14 million) in 2Q25. This comes despite a 491.5% increase in net sales, which rose from JYP1.36 billion (US$8.62 million) in 2Q25 to JYP8.03 billion (US$50.9 million) in the second quarter of this year.
The group noted that the loss also encompasses a goodwill impairment of JYP14.24 billion (US$90.2 million), following the addition of GAN Ltd and its 23 subsidiaries, as well as goodwill of JPY18 billion (US$114 million) following the inclusion of Stakelogic and its 12 subsidiaries in the scope of consolidation starting from the quarter ending 30 June 2025.
Sega Sammy highlighted that “going forward, the Group will build the foundation for achieving the ‘omnichannel strategy’ set forth in the Gaming Business.”
It further noted that gaming machine sales are “showing strong performance mainly the North American market” and that “efforts will be made to launch highly competitive new titles.”
The group is also further pursuing a “business revitalization program” at both GAN and Stakelogic, migrating GAN to “the new platform V2” and also “withdrawing from unprofitable businesses and streamlining the product lineup” for Stakelogic, focusing on adapting “proven gaming machine Iine-ups for online offerings to establish a new revenue base.”
Looking to the group’s second-highest performing segment – pachislot and pachinko machines – for the quarter ended 30 June 2026, the group registered segment income of JPY2.96 billion (US$18.8 million), up significantly from the JPY3.63 billion (US$23.0 million) loss in the same period of last year, as net sales increased to JPY17.56 billion (US$111 million), up by 58.5% year-on-year.
Net sales for the company overall in the second quarter of this year rose by 17.3% year-on-year to JPY95.03 billion (US$602 million), with profit reaching JPY2.17 billion (US$13.75 million), reversing a JPY3.39 billion (US$21.5 million) loss in 2Q25. Adjusted EBITDA for the period was up 437% yearly to JPY7.85 billion (US$49.7 million).
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