Sega's losses widen
A good showing at E3, but these are big numbers
Former console hardware manufacturers and current software developers Sega Corporation has announced heavy losses, because of costs related to the scrapping of Dreamcast. The console fell short of the company's expectations and was officially canned as of March 31st, just under two months ago at the end of its fiscal year. Sega's group new loss was 51.7 billion yen, or $421 million. Sales were down 28% to 242.9 billion yen. Shares in the company have been on the up all year though, after the news of its departure from the console business broke and announcements were made of software support for the next next generation consoles, including Xbox, PlayStation 2, GameCube and GameBoy Advance. The company is even still in the process of developing Dreamcast software. The market reaction to Sega's movements since March has been resoundingly good. The losses though, are very wide, in spite of a generous move from the late Sega president Isao Owaka, who pumped 85 million yen's worth of stock back into the company after the Dreamcast was shelved. Speaking to Reuters however, the company reported that it expects a return to profit within the next year. Related Feature - Nightmares and Dreamscapes