Sales Data Square Enix Q1FY2024 - Revenue Up, Profits Down

[Waluijob]

Squeenix just had their quarterly earnings report. Aside from publication sales, revenue is up in most sectors: Net gaming sales, HD Games, Amusements, and Merchandising.

Despite all of this, their development costs led to a decrease of nearly 80% in operating income.

 

[shoptroll]

There’s good discussion about this over at IB and one of my main takeaways is that S-E typically dumps the development expenses for their titles into the quarter they release in (that’s the amortization referenced in the tweet). So basically XVI is now officially paid for but that’s a big contribution to income being down this quarter. Next quarter will probably have better income reporting unless FF7R2 is released during that time.

Square-Enix Q1 FY2024/3 Financial results (Net Sales: +14.4%; OI: -78.5%)

The Group The Square Enix group (the “Group”) is continuing determined efforts to strengthen the competitiveness and profitability of its Digital Entertainment, Amusement, Publication and Merchandising business segments. Net sales for the three-month period ended June 30, 2023 totaled ¥85,669...

www.installbaseforum.com

Edit: Newer posts are pointing out that historically they only dump 70% of the development expenses into the release quarter with the remainder covered down the road. So it’s unclear if XVI has broken even or not at this point.