{"id":43971,"date":"2025-02-07T18:41:43","date_gmt":"2025-02-07T09:41:43","guid":{"rendered":"https:\/\/automaton-media.com\/en\/?p=43971"},"modified":"2025-02-07T18:41:46","modified_gmt":"2025-02-07T09:41:46","slug":"square-enix-reports-9-percent-drop-in-game-sector-operating-profit-despite-strong-sales-of-final-fantasy-xiv-dawntrail-and-dragon-quest-iii-hd-2d-remake","status":"publish","type":"post","link":"https:\/\/automaton-media.com\/en\/news\/square-enix-reports-9-percent-drop-in-game-sector-operating-profit-despite-strong-sales-of-final-fantasy-xiv-dawntrail-and-dragon-quest-iii-hd-2d-remake\/","title":{"rendered":"Square Enix reports 9.9% drop in game sector operating profit despite strong sales of Final Fantasy XIV Dawntrail and Dragon Quest III HD-2D\u00a0Remake"},"content":{"rendered":"\n<p>On February 7, Square Enix published its <a href=\"https:\/\/www.hd.square-enix.com\/eng\/ir\/pdf\/25q3slides.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">consolidated financial results<\/a> for the first nine months of the fiscal year ending March 31, 2025. Revenue-making highlights were the Final Fantasy XIV Dawntrail expansion and the higher-than-expected sales of Dragon Quest III 2D-HD Remake.&nbsp;&nbsp;<\/p>\n\n\n\n<p>In Square Enix\u2019s Digital Entertainment sector (video games), net sales declined 10.7% to 160,386 million yen and operating income fell 9.9% to 27,689 million yen. This decline was due to the weak performance of mobile and browser-based games, as well as new titles failing to achieve the same sales levels that Final Fantasy XVI, Final Fantasy Pixel Remaster, and Dragon Quest Monsters: The Dark Prince did in the previous year.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1200\" height=\"674\" sizes=\"auto, (max-width: 1200px) 100vw, 1200px\" src=\"https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-002.png\" alt=\"Square Enix game sales figures 2025 fiscal year\" class=\"wp-image-43981\" srcset=\"https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-002.png 1200w, https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-002-380x213.png 380w, https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-002-768x431.png 768w\" \/><figcaption class=\"wp-element-caption\"><em>Digital Entertainment sector profits (source: <a href=\"https:\/\/www.hd.square-enix.com\/eng\/ir\/pdf\/25q3slides.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Square Enix Results Briefing Session for the Nine Month Period Ended December 2024<\/a>)<\/em><\/figcaption><\/figure>\n\n\n\n<p>However, unexpectedly high sales of November 2024 release Dragon Quest III HD-2D Remake were credited as one of the main drivers of the sub-section&#8217;s operating income.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"900\" height=\"506\" sizes=\"auto, (max-width: 900px) 100vw, 900px\" src=\"https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-001.jpeg\" alt=\"Dragon Quest III HD 2D Remake\" class=\"wp-image-43979\" srcset=\"https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-001.jpeg 900w, https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-001-380x214.jpeg 380w, https:\/\/automaton-media.com\/en\/wp-content\/uploads\/2025\/02\/20250207-43971-001-768x432.jpeg 768w\" \/><\/figure>\n\n\n\n<p>MMO profits increased year-on-year thanks mostly to the strong performance of Final Fantasy XIV Dawntrail. Net Sales for MMOs increased by over 9 billion to 44 billion yen, and operating income was up 2.9 billion to 17.3 billion yen.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Square Enix\u2019s publishing sector remained stable but saw a dip in profits. This was due to preparations for new releases and The Apothecary Diaries\u2019 sales declining compared to last year, when the anime was hugely popular (it also worth noting that the mangaka was involved in a <a href=\"https:\/\/automaton-media.com\/en\/nongaming-news\/the-apothecary-diaries-artist-posts-first-update-after-tax-evasion-conviction\/\" target=\"_blank\" rel=\"noreferrer noopener\">well-publicized tax evasion scandal<\/a> in April 2024).&nbsp;&nbsp;<\/p>\n\n\n\n<p>Sales and operating profit for Square Enix\u2019s merchandise rose thanks to brisk sales of new products from popular series like Final Fantasy, Dragon Quest and NieR.&nbsp;<\/p>\n\n\n\n<p>Square Enix\u2019s overall financial results for the first nine months of the fiscal year ending March 31, 2025 were as follows:&nbsp;<\/p>\n\n\n\n<p class=\"has-palette-color-5-background-color has-background\">Net sales: 248,519 million yen (down 3.5% year-on-year).\u00a0<br>Operating profit: 33,381 million yen (down 4.4% year-on-year).\u00a0<br>Recurring profit: 37,759 million yen (down 7.7% year-on-year).\u00a0<br>Net profit: 24,718 million yen (down 7.7% year-on-year)\u00a0<\/p>\n\n\n\n<p>The full-year forecast remains unchanged:&nbsp;<\/p>\n\n\n\n<p class=\"has-palette-color-5-background-color has-background\">Net sales: 310 million yen (down 13.0% year-on-year)&nbsp;<br>Operating profit: 40 million yen (up 22.9% year-on-year)&nbsp;<br>Recurring profit: 40 million yen (down 3.7% year-on-year)&nbsp;<br>Net profit: 28 million yen (up 87.8% year-on-year)&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Square Enix&#8217;s results for the first 9 months of FY2025 revealed a decline in profits despite Dawntrail and Dragon Quest III success &#8211; here&#8217;s why.<\/p>\n","protected":false},"author":61,"featured_media":43978,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_gspb_post_css":"","footnotes":""},"categories":[3],"tags":[261,17],"class_list":["post-43971","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-financial-news","tag-japan-related-news"],"blocksy_meta":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Square Enix reports 9.9% drop in game sector operating profit despite strong sales of Final Fantasy XIV Dawntrail and Dragon Quest III HD-2D\u00a0Remake - AUTOMATON WEST<\/title>\n<meta name=\"description\" content=\"Square Enix&#039;s results for the first 9 months of FY2025 revealed a decline in profits despite Dawntrail and Dragon Quest III success- here&#039;s why.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/automaton-media.com\/en\/news\/square-enix-reports-9-percent-drop-in-game-sector-operating-profit-despite-strong-sales-of-final-fantasy-xiv-dawntrail-and-dragon-quest-iii-hd-2d-remake\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Square Enix reports 9.9% drop in game sector operating profit despite strong sales of Final Fantasy XIV Dawntrail and Dragon Quest III HD-2D\u00a0Remake - 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