Sega Sammy Holdings Inc. · TSE:6460
Sega Sammy — FY2025/3 Earnings Presentation
71 slides from Sega Sammy's earnings presentation, May 12, 2025
Slide 1: Fiscal Year Ended March 2025 Results Presentation
Fiscal Year Ended March 2025 Results Presentation 2025/5/12 Market forecasts, operating results forecast, and other information contained in this material are based on judgements and projections of the Company‘s managements based on currently available information. Therefore, please understand that
Slide 2: FY2025/3 Full-year Results / FY2026/3 Forecast
01 FY2025/3 Full-year Results /FY2026/3 Forecast -2-
Slide 3: Result Highlights (Consolidated)
Result Highlights (Consolidated) (Billion yen) FY2024/3 FY2025/3 FY2026/3 FY2025/3 Results Full Year Full Year Full Year Results Results Forecast Strong performance in CS* and Animation area (Entertainment*) Sales 468.9 428.9 475.0 Recorded extraordinary income, including the gain on sales of sh
Slide 4: Topics for FY2025/3
Topics for FY2025/3 Review of Business Portfolio Target Company Segment Date of completion of procedure PHOENIX RESORT - May 31, 2024 Transfer Amplitude Studios Entertainment Contents Business Oct. 31, 2024 Stakelogic Gaming Business Apr. 28, 2025 Takeover GAN Gaming Business FY2026/3 Q1 (Plan)
Slide 5: FY2026/3 Topics
FY2026/3 Topics Impact of tariff increases in the U.S. • Impact on consolidation is expected to be minimal at this time (Reference) Taxable Products Entertainment Physical sales of Full Game (Consumer area) Contents Business Game cabinets, prize products, toys (AM&TOY area) Gaming Business Gaming
Slide 6: (Reference) Per Segments Results
(Reference) Per Segments Results (Billion yen) FY2024/3 FY2025/3 FY2026/3 Full Year Full Year Full Year Results Results Forecast Sales 468.9 428.9 475.0 Entertainment Contents 319.8 321.5 336.0 Pachislot and Pachinko Machines 133.2 97.1 130.0 Gaming 1.9 5.4 6.0 Other / Elimination 14.0 4.9 3.0 Ordin
Slide 7: Breakdown of Income (FY2025/3 Full-year Results)
Breakdown of Income (FY2025/3 Full-year Results) (Unit: Billion yen) Breakdown of non-operating income/expenses and Operating income 48.1 extraordinary income/losses Non-operating income 9.7 Non-operating income 9.7 Interest income 3.4 Equity in earnings of affiliates 3.5 Non-operating expenses 4.7
Slide 8: (Reference) EBITDA Adjustment Items (FY2025/3 Results)
(Reference) EBITDA Adjustment Items (FY2025/3 Results) Adjustment (Unit: Billion yen) Items +1.5 Extraordinary +8.4 income of -8.3 business +5.7 +1.8 -0.0 Depreciation and Extraordinary Profit Goodwill, Interest amortization losses of attributable trademark right expenses business to non- amortizati
Slide 9: Impact of Exchange Rate Fluctuations
Impact of Exchange Rate Fluctuations Positive impact of 8.9 billion yen for sales and 2.2 billion yen for operating income in Entertainment Contents Business in FY2025/3 (Billion yen) Full year Net Sales ＋8.5 [Exchange rate for each currency] Consumer Operating Income ＋4.1 • 1 USD: Rate in initial
Slide 10: Various Expenses, etc.
Various Expenses, etc. (Billion yen) FY2024/3 FY2025/3 FY2026/3 Full Year Full Year Full Year FY2025/3 Results Results Results Forecast R&D / Content production expenses: R&D / Content production 83.1 68.9 70.4 • Decreased from FY2024/3 due to a decrease in write-downs Entertainment Advertising 31
Slide 11: Consolidated Balance Sheet Summary
Consolidated Balance Sheet Summary (Billion yen) 【Assets】 【Liabilities and Net Assets】 As of the end As of the end Increase As of the end As of the end Increase Account Account of Mar. 2024 of Mar. 2025 /Decrease of Mar. 2024 of Mar. 2025 /Decrease Cash and Deposits 211.7 200.3 -11.4 Accounts Payabl
Slide 12: (Reference) Trend of Balance of Content Production Expenses in B/S
(Reference) Trend of Balance of Content Production Expenses in B/S (Consumer area) (Unit: Billion yen) *Depreciation in progress: Unamortized portion of title assets that have been released and begun to be depreciated -12-
Slide 13: Consolidated Cash Flows
Consolidated Cash Flows (Unit: Billion yen) Cash and cash equivalents Cash Flows from Operating +20.8 EndEnd of of 219.8 Activities FY2024/3 2019/3 Income before income taxes +54.8 C/F Depreciation and amortization +13.0 from Operating Increase in inventories -12.7 Activities Income taxes paid -19.1
Slide 14: Per Segments Results / Forecast
02 Per Segments Results / Forecast -14-
Slide 15: Entertainment Contents Business
Entertainment Contents Business (Billion yen) FY2024/3 FY2025/3 FY2026/3 Full Year Full Year Full Year FY2025/3 Results Results Results Forecast Significant increase in profit compared to FY2024/3 as a result of Sales 319.8 321.5 336.0 Consumer 224.0 216.8 230.0 strong performance in CS* and Anima
Slide 16: (Reference) Entertainment Content Business Sub-segment
(Reference) Entertainment Content Business Sub-segment FY2025/3 Results FY2026/3 Forecast • Mainstay new titles have been performed well • Repeat sales went strong • Release Sonic Racing: CrossWorlds and other new titles Full Game • Cancelled the development of Football Manager 25 • New titles in th
Slide 17: (Reference) Consumer Area / Full Game: Sales Trend
(Reference) Consumer Area / Full Game: Sales Trend (Unit: Billion yen) -17-
Slide 18: Roll-out Schedule (CS)
Roll-out Schedule (CS) Title Launch Region Platform Full Game In or Shin Megami Tensei Ⅴ Vengeance Jun. 14, 2024 Global Multi-platform before FY2025/3 Super Monkey Ball Banana Rumble Jun. 25, 2024 Global Nintendo SwitchTM Metaphor: ReFantazio Oct. 11, 2024 Global Multi-platform Nintendo SwitchTM 2 v
Slide 19: Roll-out Schedule (Animation)
Roll-out Schedule (Animation) Title Launch Region Platform TMS In or Detective Conan : The Million-dollar Pentagram Apr. 12, 2024 - - before ENTERTAINMENT FY2025/3 Baki Hanma On streaming Global Netflix *1 Blue Box Oct. 3, 2024 - - A work for UNLIMITED PRODUCE project *1 Four Knights of the Apocalyp
Slide 20: Roll-out Schedule (AM & TOY)
Roll-out Schedule (AM*1&TOY) Title Launch Region Platform AM In or GIMMI Jul. 4, 2024 - - Print Sticker machine before 25/3 UFO CATCHER TRIPLE TWIN Compact Jul. 11, 2024 - - MONOPOLY THE MEDAL AMERICAN DREAM Mar. 4, 2025 - - In or PAW PATROL Be with Chase Apr. 17, 2025 - - after26/3 TOY In or SONIC
Slide 21: Pachislot & Pachinko Machines Business
Pachislot & Pachinko Machines Business (Billion yen) FY2024/3 FY2025/3 FY2026/3 Full Year Full Year Full Year FY2025/3 Results Results Results Forecast Decrease in sales and profits compared to FY2024/3 Sales 133.2 97.1 130.0 • Reactionary decline of Smart Pachislot Hokuto No Ken, which performed
Slide 22: Sales Schedule
Sales Schedule [Main titles sold in FY2025/3 and titles planned to be sold in or after FY2026/3] Title Installation Unit Sales Specification Range*1 Type Pachislot FY2025/3 Smart Pachislot Golden Kamuy Apr. 2024 12,865 units Medium New Series Smart Pachislot Psalms of Planets Eureka Seven 4 May 2024
Slide 23: Gaming Business
Gaming Business (Billion yen) FY2024/3 FY2025/3 FY2026/3 Full Year Full Year Full Year FY2025/3 Results Results Results Forecast Sales increased compared to FY2024/3 and achieved profitability Sales 1.9 5.4 6.0 at the ordinary income level Operating Income -1.7 -0.7 -1.5 Gaming machine sales: No
Slide 24: (Reference) Gaming Business
(Reference) Gaming Business High utilization rate continued for Railroad Riches series compatible with Genesis Atmos® Ranking Ranking Ranking Ranking *”Top Indexing Games-Core (Overall) Ranking”, ”Top Indexing Games-Core (Low Denom, Video Reel)Ranking” and “Top Indexing Games-Core, Parent Theme Ra
Slide 25: (Reference) PARADISE SEGASAMMY
(Reference) PARADISE SEGASAMMY (KRW Billion) FY2024/3 FY2025/3 Full year Full year FY2025/3 Results Results Results Sales 448.7 539.3 Recorded highest level of sales ever in both casino and hotel Casino 327.9 415.0 • Casino sales remained strong, centered on Japanese VIP customers, and Hotel 100.3
Slide 26: Financial Strategy
03 Financial Strategy SEGASammy -26-
Slide 27: Equity Spread Expansion: FY2025/3 Results
Equity Spread Expansion: FY2025/3 Results [Trend of ROE, COE, and Equity Spreads] Recent equity spread has been positive ROE improved from FY2024/3 due to an increase in net income *ROE: Return on equity *COE: Cost of Equity (Source: Bloomberg) *Equity spread: ROE-COE -27-
Slide 28: ROIC by Business Segment: FY2025/3 Results
ROIC by Business Segment: FY2025/3 Results [Trend of ROIC by business segment] Entertainment Contents Business Despite an increase of work in progress as development proceeds, adjusted profit increased Pachislot & Pachinko Machines Business ROIC declined sharply due to a decrease in adjusted profit
Slide 29: Invested Capital and Adjusted Profits per Business: FY2025/3 Results
Invested Capital and Adjusted Profits per Business: FY2025/3 Results [Trend of invested capital by business segment] [Trend of adjusted profits by business segment] (Unit: Billion yen) (Unit: Billion yen) *Investment Capital per business: investment capital at the end of each business period (total
Slide 30: Repost: To Maximize the Corporate Value: Medium-term Plan
Repost: To Maximize the Corporate Value: Medium-term Plan Management focusing on capital efficiency Focused investment in Consumer area Stable growth in Pachislot & Pachinko Growth of profit business Expansion of Establishment of Gaming business equity spread Adjusted EBITDA over 230.0 billi
Slide 31: Capital allocation policy: Progress of FY2025/3
Capital allocation policy: Progress of FY2025/3 (Unit: Yen) Balance as of the Source of cash Main cash allocation end of FY2025/3 ＜Mid-term plan＞ ＜FY2025/3 Results＞ ＜Mid-term plan＞ ＜FY2025/3 Results＞ Generation of ・Development investment to Development Investment in growth Operating CF* (Cumulative
Slide 32: Shareholder Returns: FY2025/3 Results and FY2026/3 Forecast
Shareholder Returns: FY2025/3 Results and FY2026/3 Forecast [Trend of shareholder return amounts] (Billion yen) (Yen) FY2018/3 FY2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 FY2025/3 FY2026/3 (Forecast) Shareholder return Approx. 9.37 billion 9.38 billion 9.39 billion 7.05 billion 39.15 billi
Slide 33: Progress of the Medium-Term Plan (FY2025/3~FY2027/3)
04 Progress of the Medium-Term Plan (FY2025/3~FY2027/3)
Slide 34: Group Mission Pyramid
Group Mission Pyramid Value (Mindset and DNA) Group Mission/Purpose (Raison d’être) Constantly Creating, Forever Captivating Creativity is Genesis —Making Life More Colorful— x Always Proactive, Group Vision (Ideal self) Be a Game Changer Always Pioneering Sustainability Pachislot & Entertainment Ga
Slide 35: Value Maximization Cycle
Value Maximization Cycle Cycle of Four Strengths for Value Maximization Ability to create Ability to develop captivating experience captivating experience (1) Versatile Game Changers Unique business (human capital) portfolio/financial base Common values (mindset and DNA) for value creation Creativit
Slide 36: Value Creation Process
Value Creation Process Offering the Group’s contents and services as entertainment suited to the times Common values (mindset and DNA) for value creation Creativity is Genesis Expansion of business areas x and geographic expansion Enhancement of Always Proactive, Always Pioneering corporate value Co
Slide 37: Initiatives for Sustainability (Investment in Human Resources)
Initiatives for Sustainability (Investment in Human Resources) [Target Company] 4 key indicators for human resources 1), 2), 3) : SEGA SAMMY HOLDINGS, SEGA (Japan), Sammy 4): Major Group Companies in Japan 1) Development of culturally diverse human resources* 2) Active career opportunities for wom
Slide 38: WELCOME TO THE NEXT LEVEL!
(Repost) Medium-term Plan (3 years from FY2025/3 to FY2027/3) WELCOME TO THE NEXT LEVEL! Goal FY2025/3-FY2027/3 three-year cumulative FY2025/3-FY2027/3 three-year average Adjusted EBITDA over 230.0 billion yen ROE over 10% [Gaming] [Entertainment Contents] [Pachislot & Pachinko] Strategy Expansion o
Slide 39: FY2025/3 Achievements and Challenges: Group-wide, Entertainment
FY2025/3 Achievements and Challenges Business portfolio optimization (Transfer of PHOENIX RESORT) Group-wide Shareholder return through share buybacks Redefine the Company's strengths (Value Creation Process) Strong sales of new mainstay titles and repeat titles Significant increase in rev
Slide 40: FY2025/3 Achievements and Challenges: Pachislot & Pachinko, Gaming
FY2025/3 Achievements and Challenges e Hokuto No Ken 10 recorded 35,000 units sales Pachislot & Pachinko Weak trend in sales of titles in the second half Machines Business Postpone the launch of some titles to improve product competitiveness Announced the acquision of Stakelogic following GA
Slide 41: Entertainment Contents Business
Entertainment Contents Business Entertainment Contents Business -41-
Slide 42: Medium-Term Management Plan Focus Points
Medium-Term Management Plan Focus Points Further expansion of • Transmedia major pillars • Global GaaS (Rovio, etc.) • Pillars Investments to strengthen • Legacy IPs (medium- to long-term initiatives) development and product • Super Game (medium- to long-term initiatives) capabilities • Animation IP
Slide 43: Further Expansion of Major Pillars
Further Expansion of Major Pillars FY2025/3 Steady expansion of IP value through transmedia development • Strong sales of SONIC X SHADOW GENERATIONS • Strong repeat sales • Sonic the Hedgehog 3 movie box office surpassed $490 million worldwide • Distribution of the live-action original drama series
Slide 44: Further Expansion of Major Pillars
Further Expansion of Major Pillars FY2025/3 In addition to the launch of new game, the distribution of live-action drama started • Steady sales of Like a Dragon: Pirate Yakuza in Hawaii • Release of Amazon Original Drama Like a Dragon: Yakuza • Strong repeat sales 2 From FY2026/3 onward Multi-platfo
Slide 45: Further Expansion of Major Pillars
Further Expansion of Major Pillars FY2025/3 In addition to strong repeat sales, a new IP, Metaphor: ReFantazio was created • Sales of Metaphor: ReFantazio went strong, and the title won various game-related awards in various countries 3 categories including "BEST RPG” at The “Game Awards 2024" (U.
Slide 46: Further Expansion of Major Pillars
Further Expansion of Major Pillars FY2025/3 Expansion centered on Angry Birds IP • Release of Angry Birds Mystery Island Animated Series • Providing content through Angry Birds games From FY2026/3 onward To bring group synergy through accumulated expertise • Participating in global marketing for Son
Slide 47: Regrowth of the European Business
Regrowth of the European Business Moving towards a business structure prioritizing core strengths, through selection and focus on tentpole titles FY2025/3 Completion of structural reforms and resurrection of Total War brand • MBO of Amplitude Studios（Oct. 2024） • Turnaround of catalogue sales in Tot
Slide 48: Investments to Strengthen Development and Product Capabilities
Investments to Strengthen Development and Product Capabilities Revival of Legacy IP is underway Announced the initiatives for VIRTUA FIGHTER series title (Dec. 2024) • Crazy Taxi • Golden Axe • Jet Set Radio • SHINOBI • Streets of Rage New • New VIRTUA FIGHTER Project 2 Announced the release of
Slide 49: Growth of Major Pillars: Sales Trend of Major IPs (CS)
Growth of Major Pillars: Sales Trend of Major IPs (CS) (Unit: Billion yen) • Increase and decrease can be seen depending on the presence of new titles, but the overall trend is toward expansion • Diverse IPs are growing including Sonic *Atlus: Includes both the "Persona" and "Megami Tensei" series a
Slide 50: Major Pillar Growth: Licensing Revenue (CS)
Major Pillar Growth: Licensing Revenue (CS) (Unit: Billion yen) • Licensing revenues continue to grow, centered on Sonic • Strengthen transmedia development and expand stable earnings *Not including income related to Sonic’s cinematic releases -50-
Slide 51: Planned Figures for Consumer Area
Planned Figures for Consumer Area FY2025/3 FY2026/3 （Results） （Plan） Full Game 6,570 K units 6,070 K units New title 33.5 billion yen 33.5 billion yen 2 Full Game 24,870 K units 24,010 K units Repeat 42.8 billion yen 44.5 billion yen F2P 47.1 billion yen 67.0 billion yen -51-
Slide 52: (Reference) Consumer Area/F2P: New Titles for FY2026/3
(Reference) Consumer Area/F2P: New Titles for FY2026/3 ⒸSEGA 🄫🄫 Perfect World Adapted from Persona5 🄫🄫ATLUS. 🄫🄫SEGA. Sonic Rumble Persona5: The Phantom X （Service launch: 2025） （Service launch: this summer *Launch timing of Japanese version） -52-
Slide 53: (Reference) Consumer Area/Full Game: New Titles for FY2026/3
(Reference) Consumer Area/Full Game: New Titles for FY2026/3 ⒸSEGA ⒸSEGA Sonic Racing: CrossWorlds SHINOBI: Art of Vengeance （Release: 2025） （Release: Aug. 29, 2025） -53-
Slide 54: Pachislot and Pachinko Machines Business
Pachislot & Pachinko Machines Business Pachislot and Pachinko Machines Business -54-
Slide 55: Market Trends: Utilization Trend
Market Trends: Utilization Trend Pachislot and Pachinko Utilization Trend Pachislot Pachinko Beginning of Out* installation of Smart Pachislot Out* Pachislot Hokuto No Ken • Steady utilization continues, centered on smart pachislot Beginning of Pachinko installation of Beginning of machines installa
Slide 56: Market Trends: Unit Sales Trend
Market Trends: Unit Sales Trend Pachislot & Pachinko Unit Sales Trend FY2025/3 (Thousand unit) Pachislot: Decreased compared to FY2024/3 • Due to reactionary decline from FY2024/3, when the transition to smart pachislot machines was progressing Pachinko: Same level as FY2024/3 • Sales progress
Slide 57: Market Trends: Regulatory Environment
Market Trends: Regulatory Environment The following features can be equipped going forward Bonus Trigger (Pachislot) • Overview : Contributes to expanding the range of gameplay of Normal Type* • Applicable Model : Normal Type Only • Installation Date : From Jun. 2, 2025 Lucky Trigger 3.0 Plus
Slide 58: Total Utilization Share
Total Utilization Share Trend of total utilization share of our Group & competitors Ranking of total utilization share*1 FY2024/3 FY2025/3 1st S Company 21% 1st S Company 19% 2nd K Company 15% 2nd K Company 16% 3rd Sammy 14% 3rd S Company 13% 4th S Company 13% 4th Sammy 12% Company S Continuous cr
Slide 59: Titles to be Launched
Titles to be Launched Other titles *All of the below are for pachislot, scheduled to be launched in or after FY2026/3 e Tokyo Revengers (Installation: Jul. 2025 (Plan)) • New use of popular IP • Plan to introduce machine equipped with Lucky Trigger 3.0 Plus, the fastest in the market ©Buronson & T
Slide 60: New Pachislot Cabinet
New Pachislot Cabinet Image of new pachislot cabinet Revitalize the industry by launching new cabinet • When replacing products in pachinko halls, the process completes by replacing some parts only instead of the entire cabinet Pachinko halls: Cost reduction at the replacement The Group: Maintain
Slide 61: Gaming Business
Gaming Business Gaming Business -61-
Slide 62: Gaming Business
Gaming Business Top Performing New Core Top Performing Game from an Cabinet category Emerging Supplier category Genesis Atmos® Railroad Riches Won awards in two categories at 2025 EKG Slot Awards* © SEGA SAMMY CREATION INC. © SEGA SAMMY CREATION INC. *The EKG Slot Awards is presented by Eilers & Kre
Slide 63: Incorporation of Stakelogic as a Group Company
Incorporation of Stakelogic as a Group Company Acquisition Approx. 20.93 billion yen cost*１ Goodwill scale 14.0 billion yen Amortization period 7 years Goodwill*2 Straight-line Amortization method method To enter the North American online gaming market expected to grow in the future Expected • Becom
Slide 64: (Reference) Overview of Stakelogic
(Reference) Overview of Stakelogic Company About UsOverview Name Stakelogic B.V. Establishment Aug. 15, 2013 Location Dr Holtroplaan 9, 5652 XR Eindhoven, Netherland Business overview iGaming content supplier business for B2B Consolidated Performance and Financials of Stakelogic (Unit: thousand Euro
Slide 65: Gaming Business
Gaming Business Strengthen the customer base of land-based casino operators and aim for full-scale entry into the US online gaming market, which is expected to see continued growth -65-
Slide 66: Key Indicators in the Medium-Term Plan_Consolidated
Key Indicators in the Medium-Term Plan_Consolidated (Unit: Billion yen) Net sales Ordinary income Adjusted EBITDA -66- *Dashed lines indicate guidelines for medium-term plan
Slide 67: Appendix
05 Appendix SEGASammy
Slide 68: Repost: Business Portfolio
Repost: Business Portfolio Market Growth Rate Implementation of aggressive Entertain investment and significant growth ment FY2022- FY2025- FY2025 Contents FY2022- FY2025- Over 180.0 2024/3 2027/3 -2027/3 2024/3 113.2 billion yen 2027/3 billion yen FY2022- 2024/3 Pachislot Stable contribution to pro
Slide 69: Repost: Business Portfolio
Repost: Business Portfolio ROIC ［Circle size］ Investment Improve ROIC further through FY2025- Aiming for significant growth in sales and Capital expansion of market share, etc. while 2027/3 profit despite a temporary decline in maintain efficient 40%business structure average ROIC due to the increas
Slide 70: ESG Ratings, Evaluations and etc.
ESG Ratings, Evaluations and etc. MSCI ESG RATINGS Adoption Status in Major ESG Indices A component of the “Morningstar Japan ex- CDP REIT Gender Diversity Tilt Index” Climate Change：B Water：C THE INCLUSION OF SEGA SAMMY HOLDINGS INC. IN ANY MSCI INDEX, AND THE USE OF MSCI LOGOS, TRADEMARKS, SER
Slide 71: https://www.segasammy.co.jp/en/ir/
https://www.segasammy.co.jp/en/ir/ Cautionary Statement for Investors and Shareholders with Respect to Gaming Statutes and Regulations Please visit below website for more information of products and services of SEGASAMMY. SEGA SAMMY HOLDINGS INC. ("the Company") is registered with the Nevada Commiss