10. Sega Sammy

FY08 Revenue: $1,429M, +41% (Rank: 11)
FY08 Profit/Loss: -$60M (Rank: 14)
FY09 Revenue Expectations: $1,500, +5%
Titles in Global Top 100: 2 (Rank: 11)
Units in Global Top 100: 4.5M (Rank: 10)
Review Average: 66% (Rank: 13)
 

Explanation of Ranking: Sega's revenues grew tremendously during FY08 to over $1.4 billion, a year-on-year increase of 41%. Despite this growth, Sega's consumer business posted an operating loss of $60M. Note that Sega's consumer business segment includes videogames but also toys.

Sega's biggest title in the past year was clearly Mario & Sonic at the Olympic Games, which sold very strongly in the North American and European markets. Sega also acquired the Marvel Comics license in April 2007 and the first fruits have come to market as Iron Man and The Incredible Hulk, both tying in with major motion pictures released in the same timeframe. Sega has published other licensed titles like The Golden Compass, also based on a movie.

While Sonic the Hedgehog is arguably Sega's strongest property, it has continued to exploit other icons from its past including Sega Rally, Alien Syndrome, Afterburner, Phantasy Star, NiGHTS and House of the Dead. Specifically, Sega has made a strong push on the Nintendo Wii with several games based on its older properties and the exclusive Ghost Squad.

Sega's Consumer Business section has increased its revenue significantly in the past two years (and in fact was the only section to increase revenue in the past year) and with its strong portfolio should continue to be a force in publishing through FY09. The section has slim operating profits prior to the past year, and its games and toys division will no doubt work to return to profitability soon.