Square-Enix Misses March 2011 Year Forecast, Loses $149m - News
by VGChartz Staff , posted on 13 May 2011 / 4,647 Views
Square-Enix results are in for the March 2011 year and they aren't good. After projecting revenues of 130b Yen ($1.609b) and profit of 1b Yen ($12.4m), actual figures came to 125.271b Yen ($1.550b) in revnenue with a 12.043b Yen loss (-$149m). Despite only missing its revenue forecast by about $60m for the fiscal year, Square-Enix's loss was $161m below its forecast - particularly damning since the profit forecast was upheld in February, when profits were $22m through the first 9 months of the fiscal year. Losses for the March 2011 quarter were clearly much higher than forecast - even with the company saying it lost 600m Yen directly to the Japanese disasters, since the forecast worked out to a projected $10m loss in the final quarter. In reality, given $22m in profit through December, the March quarter was a $171m loss - 17 times greater than the $10m forecast.
For the March 2012 year, Square-Enix projects it generate revenue of 130b Yen ($1.609b), with a profit of 5b Yen ($61.8m). The profit figure would be a massive improvement from the March 2011 year, while the revenue forecast amounts to a $59m increase in sales.
During the March 2011 year, Square-Enix shipped 16.85m games down about 10m games from the previous fiscal year. Even with the project return to profit in the March 2012 year the company intends to ship even fewer games - 14.5m games - to try to refocus on profitable titles. Square-Enix expects Dungeon Siege 2 (X360, PS3, PC), Dragon Quest Collection (Wii), Final Fantasy Type-0 (PSP), Deux Ex (X360, PS3, PC), Final Fantasy XIII-2 (PS3, X360), and Dragon Quest Slime (3DS) to perform well in the March 2012 fiscal year.
Square-Enix says it had two titles ship over 1m units in the fiscal year - Kane & Lynch 2 for the X360 and PS3, and the original Dragon Quest Monsters: Joker 2 game for DS. Other titles that released experienced 'weak sales' according to the company.
A bit more Square-Enix information should come out shortly.
Contact VGChartz at jmazel@vgchartz.com
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Yeah the forecast was probably before they released FF14.
FF14 has sunk. They needed big change. all they doing is little tweaks. Drop that project befor it sink the whole company
And they have Tomb Raider, FFXIII-2,and Deus Ex coming out this year. probably 3/6 of my favorite IP's so personally I'm excited for this year.
Well, if you read it lost money in the march 2011 quarter. Which was probably majorly affected by Deus Ex 3 getting delayed. And FFXIV being a whole year failure and PS3 Delayed. Hopefully they've learned their lesson with certain games (as they cancelled them). And SE has been profitable the past 5 years. This year just compiled to many problems, with no FF or DQ major release.
Truly embarrassing
Dragon Quest 9 not being counted?
So, the (westernize) plan is starting to work SE ?, I hope you get what you really want .. being the only Japanese developer that loses money , follow EA and ubisoft to the end ... or until Wada is gone at least .
You should add that Square Enix cancelled a bunch of games cuz of this D: http://www.kotaku.com.au/2011/05/square-enix-just-cancelled-a-bunch-of-games/
