Square Enix Details Plan To 'Reboot And Awaken' Its Business
Image: Square EnixSquare Enix has released its financial results for FY2025, detailing a rather middling performance for the company with a distinct lack of major releases.
The good news is that its HD Digital Entertainment sub-segment (i.e.
the big games we're all interested in) turned a profit, but only because a combination of lower development and marketing costs mixed with higher-than-expected sales of Dragon Quest III HD-2D Remake effectively outweighed the higher net sales from the previous year.
So, in short, Dragon Quest saved the day.
Here's a look at the key figures from Square Enix itself:
"Net sales for the fiscal year ended March 31, 2025 totaled ¥324,506 million (a decrease of 8.9% from the prior fiscal year), operating income amounted to ¥40,580 million (an increase of 24.6% from the prior fiscal year), ordinary income amounted to ¥40,939 million (a decrease of 1.4% from the prior fiscal year), and profit attributable to owners of the parent amounted to ¥24,414 million (an increase of 63.7% from the prior fiscal year)."
In a separate document, Square Enix details its mid-term plan to 'Reboot and Awaken' its business operations, which focuses on four core initiatives:
Enhance productivity by optimizing the development footprint in the Digital Entertainment (DE) segment
Diversify earnings opportunities by strengthening customer contact points
Roll out initiatives to create additional foundational stability
Allocate capital giving consideration to the balance between growth investment and shareholder returns
The biggest takeaway in terms of games is that Square Enix is once again reinforcing its plan to focus on multi-platform titles and optimise its development structure to significantly reduce costs; we know, of course, that it's planning to release Final Fantasy VII Remake Intergrade on the Switch 2 later this year, which was previously exclusive to PS4/PS5 and PC.
It's also keen to focus more on quality over quantity, with a view to release major titles in key franchises on a steady basis.
Unfortunately, this likely means that smaller, more experimental titles may fall by the wayside in the years to come.
Elsewhere, Square Enix notes that it plans to improve productivity within its Japanese studios via the use of AI, but it does not elaborate on exactly what this entails.
It's also implementing new HR initiatives, including the introduction of bonus funds directly linked to company performance.
Finally, it's looking to optimise its overseas operations and promote more intra-group collaboration.
As a result of these changes, the company is looking to achieve a consolidated operating profit margin of 15% in the fiscal year ending 31st March 2027.
Going back to Final Fantasy VII Remake Intergrade, a recent Creator's Voice video implied that both Final Fantasy VII Rebirth and the as-yet-untitled third entry would also come to the Switch 2.
Square Enix's 'reboot and awaken' plan only goes toward reinforcing this possibility.
While mobile games seemingly tank
Along with whatever the third game will be called
What do you make of Square Enix's plan going forward? Which of its games would you like to see come to Switch 2? Let us know with a comment.
[source hd.square-enix.com, via hd.square-enix.com]
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Nintendo Life’s resident horror fanatic, when he’s not knee-deep in Resident Evil and Silent Hill lore, Ollie likes to dive into a good horror book while nursing a lovely cup of tea.
He also enjoys long walks and listens to everything from TOOL to Chuck Berry.
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Source: https://www.nintendolife.com/news/2025/05/square-enix-details-plan-to-reboot-and-awaken-its-business" style="color: #0066cc;">https://www.nintendolife.com/news/2025/05/square-enix-details-plan-to-reboot-and-awaken-its-business
#square #enix #details #plan #039reboot #and #awaken039 #its #business
Square Enix Details Plan To 'Reboot And Awaken' Its Business
Image: Square EnixSquare Enix has released its financial results for FY2025, detailing a rather middling performance for the company with a distinct lack of major releases.
The good news is that its HD Digital Entertainment sub-segment (i.e.
the big games we're all interested in) turned a profit, but only because a combination of lower development and marketing costs mixed with higher-than-expected sales of Dragon Quest III HD-2D Remake effectively outweighed the higher net sales from the previous year.
So, in short, Dragon Quest saved the day.
Here's a look at the key figures from Square Enix itself:
"Net sales for the fiscal year ended March 31, 2025 totaled ¥324,506 million (a decrease of 8.9% from the prior fiscal year), operating income amounted to ¥40,580 million (an increase of 24.6% from the prior fiscal year), ordinary income amounted to ¥40,939 million (a decrease of 1.4% from the prior fiscal year), and profit attributable to owners of the parent amounted to ¥24,414 million (an increase of 63.7% from the prior fiscal year)."
In a separate document, Square Enix details its mid-term plan to 'Reboot and Awaken' its business operations, which focuses on four core initiatives:
Enhance productivity by optimizing the development footprint in the Digital Entertainment (DE) segment
Diversify earnings opportunities by strengthening customer contact points
Roll out initiatives to create additional foundational stability
Allocate capital giving consideration to the balance between growth investment and shareholder returns
The biggest takeaway in terms of games is that Square Enix is once again reinforcing its plan to focus on multi-platform titles and optimise its development structure to significantly reduce costs; we know, of course, that it's planning to release Final Fantasy VII Remake Intergrade on the Switch 2 later this year, which was previously exclusive to PS4/PS5 and PC.
It's also keen to focus more on quality over quantity, with a view to release major titles in key franchises on a steady basis.
Unfortunately, this likely means that smaller, more experimental titles may fall by the wayside in the years to come.
Elsewhere, Square Enix notes that it plans to improve productivity within its Japanese studios via the use of AI, but it does not elaborate on exactly what this entails.
It's also implementing new HR initiatives, including the introduction of bonus funds directly linked to company performance.
Finally, it's looking to optimise its overseas operations and promote more intra-group collaboration.
As a result of these changes, the company is looking to achieve a consolidated operating profit margin of 15% in the fiscal year ending 31st March 2027.
Going back to Final Fantasy VII Remake Intergrade, a recent Creator's Voice video implied that both Final Fantasy VII Rebirth and the as-yet-untitled third entry would also come to the Switch 2.
Square Enix's 'reboot and awaken' plan only goes toward reinforcing this possibility.
While mobile games seemingly tank
Along with whatever the third game will be called
What do you make of Square Enix's plan going forward? Which of its games would you like to see come to Switch 2? Let us know with a comment.
[source hd.square-enix.com, via hd.square-enix.com]
Related Games
See Also
Share:0
0
Nintendo Life’s resident horror fanatic, when he’s not knee-deep in Resident Evil and Silent Hill lore, Ollie likes to dive into a good horror book while nursing a lovely cup of tea.
He also enjoys long walks and listens to everything from TOOL to Chuck Berry.
Hold on there, you need to login to post a comment...
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Nintendo Updates Its User Agreement To Crack Down On Emulation
Offenders may find their Switch bricked
Here's A Look At The Back Of Mario Kart World's Switch 2 Box Art
The race begins next month
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"we feel that it is a very Nintendo-like product"
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Source: https://www.nintendolife.com/news/2025/05/square-enix-details-plan-to-reboot-and-awaken-its-business
#square #enix #details #plan #039reboot #and #awaken039 #its #business
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