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Deeke

Member
Oct 25, 2017
966
United States
EDIT: Updated with more companies, and decided to remove the net income chart because it was pretty messy.

I put together a little square-off to see who's earning the most games revenues. Turns out Sony tops the charts, even beating Tencent in games earnings. Bear in mind CD Projekt RED has yet to release their earnings, so the chart is technically incomplete.

Also note these are game revenues, not total company revenues. Also note that Activision-Blizzard is calendar year 2019, and Xbox is trailing twelve months. The other companies are set in fiscal years (April 1, 2019 - March 31, 2020).

Here's the top earners so far in revenues only:

UIglXn6.png


Here's a numbers breakdown by net revenues:

  1. Sony - $18.19 billion
  2. Tencent - $16.224 billion
  3. Nintendo - $12.010 billion
  4. Xbox - $10.260 billion (trailing 12 months)
  5. NetEase - $6.668 billion
  6. Activision-Blizzard - $6.388 billion
  7. Electronic Arts - $5.537 billion
  8. Take-Two Interactive - $3.089 billion
  9. Bandai Namco - $3.018 billion
  10. Square Enix - $2.396 billion
  11. Nexon - $2.286 billion
  12. Net Marble - $1.883 billion
  13. Ubisoft - $1.446 billion
  14. Konami - $1.303 billion
  15. SEGA - $1.153 billion
  16. Capcom - $767.30 million
  17. Embracer Group - $322.5 million

Interesting tidbits about each company:

  • Sony's total company profits dropped 36%, and digital raked in 51% of total Games & Network Services segment earnings, or $9 billion
  • Tencent only makes 30% of its revenue from games
  • Nintendo profit jumped 30% to $2.37 billion thanks to massive software spikes--software was up 44% to 168.72 million games sold
  • Xbox revenues typically make ~10% of total Microsoft earnings
  • Mobile games accounted for 71% of NetEase's FY19 earnings
  • Activision-Blizzard earned $956 million in mTX in Q1, and $3.36 billion from mTX in Calendar Year 2019
  • EA reported $3 billion in total profits thanks to a huge $1.5 billion tax compensation
  • Take-Two's revenues are up to record $3bn in FY2020 thanks to games like NBA 2K20 and GTAO, which had its best year ever, and it has 93 games in dev (but not all will release)
  • Bandai Namco earned $6.8 billion in FY19, more than EA and Activision, but that includes toys too ($2.3bn was from toys, $3bn from games)
  • Konami is still raking in strong earnings from PES, Yu-gi-oh, and mobile games
  • Square Enix makes 56% of its games revenue from mobile
  • Nexon earned 76% of its yearly earnings from PC, and China made up 45% of its regional earnings
  • Net Marble earns more money from North America than it does from Korea, and Marvel Contest of Champions made up 17% of its yearly earnings
  • Ubisoft plans to ship 5 AAA games this fiscal year and predicts massive operating income of up to 600 million Euros
  • SEGA's physical game sales were up a huge 43% YoY, and digital game sales rose 15%
  • Capcom reported its third consecutive year of record profits in FY19, and plans to ship a record 28m games this FY
  • Embracer Group (THQ Nordic) has 118 games in development across 92 dev teams (3,000+ employees)
Conversions:
(as of March 31,2021)

108.7 yen = 1 USD
1 euro = 1.1028 USD
1 SEK = 0.10092 USD
 
Last edited:

julian

Member
Oct 27, 2017
16,786
When you say "games", do you mean software? Or software and hardware? Does software include digital subscriptions like PS+ and PSNow, etc.?
 

Hellfire

Member
May 26, 2019
99
I put together a little square-off to see who's earning the most games revenues. Turns out Sony tops the charts, even beating Tencent in games earnings. Bear in mind CD Projekt RED has yet to release their earnings, so the chart is technically incomplete.

Also note these are game revenues, not total company revenues. Also note that Activision-Blizzard is calendar year 2019, and Xbox is trailing twelve months. The other companies are set in fiscal years (April 1, 2019 - March 31, 2020).

Here's the top earners so far in revenues only:

KfvQKDN.png

Here's a numbers breakdown by net revenues:

  1. Sony - $18.19 billion
  2. Tencent - $16.224 billion
  3. Nintendo - $12.010 billion
  4. Xbox - $10.260 billion (trailing 12 months)
  5. Activision-Blizzard - $6.388 billion
  6. Electronic Arts - $5.537 billion
  7. Take-Two Interactive - $3.089 billion
  8. Bandai Namco - $3.018 billion
  9. Konami - $2.417 billion
  10. Square Enix - $2.396 billion
  11. Ubisoft - $1.446 billion
  12. Capcom - $767.30 million
  13. Embracer Group - $322.5 million

And here's the top earners in revenues and income mixed.

Some companies don't have net income because it's unfair to compare games revenues to total-year profits. We're charting game earnings here, not total company earnings. Companies like Tencent and Microsoft make a huge portion of cash from other segments besides games. Bandai Namco does, too (it earned over $2bn from toys in FY19).

Ubisoft is missing due to a big loss from its new IFRS reporting standard.

IsVT9TH.png


Interesting tidbits about each company:

  • Sony's profits dropped 36%, and digital raked in 51% of total segment earnings, or $9 billion
  • Tencent only makes 30% of its revenue from games
  • Nintendo profit jumped 30% to $2.37 billion thanks to massive software spikes--software was up 44% to 168.72 million games sold
  • Xbox revenues typically make ~10% of total Microsoft earnings
  • Activision-Blizzard earned $956 million in mTX in Q1, and $3.36 billion from mTX in Calendar Year 2019
  • EA reported $3 billion in total profits thanks to a huge $1.5 billion tax compensation
  • Take-Two's revenues are up to record $3bn in FY2020 thanks to games like NBA 2K20 and GTAO, which had its best year ever, and it has 93 games in dev (but not all will release)
  • Bandai Namco earned $6.8 billion in FY19, more than EA and Activision, but that includes toys too ($2.3bn was from toys, $3bn from games)
  • Konami is still raking in strong earnings from PES, Yu-gi-oh, and mobile games
  • Square Enix makes 56% of its games revenue from mobile
  • Ubisoft plans to ship 5 AAA games this fiscal year and predicts massive operating income of up to 600 million Euros
  • Capcom reported its third consecutive year of record profits in FY19, and plans to ship a record 28m games this FY
  • Embracer Group (THQ Nordic) has 118 games in development across 92 dev teams (3,000+ employees)
Conversions:
(as of March 31,2021)

108.7 yen = 1 USD
1 euro = 1.1028 USD
1 SEK = 0.10092 USD
The number and size of the bar on the charts for Bandai-Namco ($3,108) doesn't match the number in the list ($3,018). I assume the charts are in error due to the Bandai-Namco being listed behind a company that it would otherwise have higher revenue than. Looks like you transposed the 0 and 1.

This is quite a cool project.
 
OP
OP
Deeke

Deeke

Member
Oct 25, 2017
966
United States
The number and size of the bar on the charts for Bandai-Namco ($3,108) doesn't match the number in the list ($3,018). I assume the charts are in error due to the Bandai-Namco being listed behind a company that it would otherwise have higher revenue than. Looks like you transposed the 0 and 1.

This is quite a cool project.

Thanks a ton for spotting this! Fixing now :D
 

Oregano

One Winged Slayer
Member
Oct 25, 2017
22,878
I was gonna comment on how Nintendo runs lean and then I saw EA's profit margin. That's kind of disgustingly high.😂
 
OP
OP
Deeke

Deeke

Member
Oct 25, 2017
966
United States
Do they have many mobile games? Or do those numbers include pachinkos and stuff? I mean they earned more than Ubisoft, it sounds crazy to me.
Now that you mention it, I made a mistake. Konami earned $1.3 bn from games in FY2019. I went by the total revenues lol. This is my first time making a mega compilation like this, so bear with me please. Updating now!
 

HaremKing

Banned
Dec 20, 2018
2,416
So do we have any actual numbers from Xbox or is this done just by dividing Microsoft's revenue by 10?
 
Oct 25, 2017
6,033
Milwaukee, WI
And that's why Sony can't afford to do GamePass. There money is in games.
Fortunately they have enough prestige to confidently sell their games at retail.
Really curious to see how next gen shakes out.
 

shark97

Banned
Nov 7, 2017
5,327
Xbox doing pretty good for itself, considering One was a hardware engineering disaster IMO. XSX looking ABSURDLY better on that front.
 

Deleted member 32005

User requested account closure
Banned
Nov 8, 2017
1,853
awesome info thanks. crazy how huge tencent is. nintendo is looking good considering their services revenue must be way lower than sony
 
OP
OP
Deeke

Deeke

Member
Oct 25, 2017
966
United States
Do you have any better numbers for Sega? The best I found is total revenue minus patchislot, pachinko, and resort business was 219,631 million yen in 2019 and 247,749 in 2020. That still includes all kinds of things like toys.

www.segasammy.co.jp

Sales by segment|Financial and ESG Information|Investor Relations|SEGA SAMMY HOLDINGS

Sales by segment of SEGA SAMMY HOLDINGS INC. are described.
Oh lord I forgot SEGA! Looks like I pulled the trigger too fast on this thing. Updating for the 100th time haha.
 

nib95

Contains No Misinformation on Philly Cheesesteaks
Banned
Oct 28, 2017
18,498
Holy crap at EA's profit to revenue margin. Why would they change lol.
 

Hellfire

Member
May 26, 2019
99
Oh lord I forgot SEGA! Looks like I pulled the trigger too fast on this thing. Updating for the 100th time haha.
That's not just their game revenues. It includes all kinds of other entertainment products. That includes stuff like bowling allies, toys, music, animation, and a tv/film production company joint venture, if that made any money.
 
Last edited:
Oct 25, 2017
6,033
Milwaukee, WI
I wish we knew how much profit Xbox division generates.

I know. I guess everything is fine. But I don't like the feeling of inferring data

They absolutely could if they wanted to. Just be like Netflix.

So if you roll back and look at the original Netflix shows, you can see how they would spend money on short order runs of shows for the first couple years. They were very cautious about what kind of shows would define them and wanted to see the results before they moved forward with more productions.

Netflix could do that because they were a immensely popular service brand that not only pioneered and popularized streaming, they were in the lead! So their budget slowly evolved to include money to make shows rather than just licence other people's material.

Sony, as far as I understand, can't commission God of War 2 and bank on it recouping potentially lost sales with extra PlayStation Now subscriptions. They can not afford to do that. Their money is in video games and movies. Meanwhile Microsoft is so fucking huge they can completely change the profit system of Xbox.

Now I'm not talking shit on either company, it's just a totally different philosophy because one company is very much anchored in video games and the other simply treats it as a subdivision.
 
Oct 27, 2017
1,297
They absolutely could if they wanted to. Just be like Netflix.
They could but I don't think Sony wants to operate their gaming software division on a negative cash flow structure. Sony and especially the gaming division have put themselves back in a strong position over the last decade or so, I doubt they want to make any lateral moves to how they handle revenue. Services are now big in gaming and everywhere else but going fully serviced based brings its own risks.
 

nib95

Contains No Misinformation on Philly Cheesesteaks
Banned
Oct 28, 2017
18,498
By the way Deeke appreciate the thread. Fascinating to see it laid out like this. Hopefully you can make this an annual thing if you have the time!
 
OP
OP
Deeke

Deeke

Member
Oct 25, 2017
966
United States
That's not just their game revenues. It includes all kinds of other entertainment products. That includes stuff like bowling allies, toys, music, animation, and a tv/film production company joint venture, if that made any money.

Yeah, I updated it by combining physical+digital sales. Even their games segment includes amusement and pachinko stuff.
W4Vf2Hi.png
 

tutomos

Banned
Oct 27, 2017
2,612
Sony, as far as I understand, can't commission God of War 2 and bank on it recouping potentially lost sales with extra PlayStation Now subscriptions. They can not afford to do that. Their money is in video games and movies. Meanwhile Microsoft is so fucking huge they can completely change the profit system of Xbox.

Not really sure that's true seeing Playstation accounted for 25% of Sony's revenue last year. It's a big part of their business but they are not just a gaming company.

Sony is not at the same level of profit as Microsoft but there's maybe only 30 companies in the entire world that have more cash than them. Sony can spend whatever they want in the gaming space.
 

Hellfire

Member
May 26, 2019
99
Yeah, I updated it by combining physical+digital sales. Even their games segment includes amusement and pachinko stuff.
...
Thanks, I thought I had seen a better breakdown somewhere.

It's a pity their arcade business is difficult to separate out into video games only. Prize machines (UFO catchers for example) frequently(?) aren't video games. Arcade video games (not including pachislot or pachinko) sales and operation revenue is just as much video game revenue as anything else is. The original video game microtransactions should still count.
 
Oct 25, 2017
6,033
Milwaukee, WI
Not really sure that's true seeing Playstation accounted for 25% of Sony's revenue last year. It's a big part of their business but they are not just a gaming company.

Sony is not at the same level of profit as Microsoft but there's maybe only 30 companies in the entire world that have more cash than them. Sony can spend whatever they want in the gaming space.

I suppose the question becomes, does Sony see Game Pass as a threat. And if so, will they match Microsoft the same way Games With Gold had to match PlayStation Plus
 
Oct 27, 2017
9,429
Konami did not make over a billion in sales in video games did it? How? Are their results tied to other gaming items too?
 

Raigor

Member
May 14, 2020
15,147
Sony is not at the same level of profit as Microsoft but there's maybe only 30 companies in the entire world that have more cash than them. Sony can spend whatever they want in the gaming space.

Sony has only $14 billion in reserve cash (if they are not wrong on here) https://www.gurufocus.com/term/CashAndCashEquivalents/SNE/Cash-And-Cash-Equivalents/Sony-Corp.

Pretty sure there are more than 30 companies with more reserve cash and Sony can't spend whatever they want in the gaming space, not when they have other business and they have other priorities like this

www.theguardian.com

Sony buys EMI Music Publishing for $2.3bn

Deal will create world’s biggest music publisher with a catalogue of more than 4m songs
 

tutomos

Banned
Oct 27, 2017
2,612
Sony has only $14 billion in reserve cash (if they are not wrong on here) https://www.gurufocus.com/term/CashAndCashEquivalents/SNE/Cash-And-Cash-Equivalents/Sony-Corp.

Pretty sure there are more than 30 companies with more reserve cash and Sony can't spend whatever they want in the gaming space, not when they have other business and they have other priorities like this

www.theguardian.com

Sony buys EMI Music Publishing for $2.3bn

Deal will create world’s biggest music publisher with a catalogue of more than 4m songs

They were at $27 billion in 2018. They spent a lot on purchasing shares and fixed assets last year. Even if they weren't in the top 30 this year, the point kinda is they are willing to spend big to become the number 1 in the world like they did with the EMI purchase which cost them 2 billion plus 1 billion to pay off EMI's debt.