2018 has been quiet until now especially for Square Enix due to the lack of new game releases and the low performance of their mobile games. Yesterday, Square Enix released their official financial results for the Q1 of the company which shows some weak results.
The financial report has revealed the results of the three months ended June 20, 2018. Square Enix has earned a total of 45.5 of Yen which is 20% less as compared to the Q1 of 2017 which was 57 billion. Net profit of the company is also declining by falling 30% year on year.
According to the company, this decline was very much expected as they didn’t have any games planned to release in the first quarter though it is not the same case with their catalog of mobile games which underperformed. Net sales and operating profit for the company has also decreased for their multiplayer only games except for Final Fantasy XIV.
This was very likely to happen with the company as Square Enix has also stopped working on the Go games for mobile devices which were quite a hit including Hitman Go and Lara Croft Go.
Now the second quarter can be really positive for the company after the release of Octopath Traveler on Nintendo Switch which brought insane and unexpected success to the company as it is still struggling to maintain the supply of the game in Japan.
As for the big games in the future, Shadow of the Tomb Raider is going to release at the end of this quarter which can fill in all the empty spaces for the company due to its high demand.
Square Enix might be lacking behind currently but with their upcoming games like Shadow of The Tomb Raider, Just Cause 4 and Kingdom Hearts 3 which is going to have 80 hours of content in the game, they can definitely make a comeback and have a very positive result as compared to the Q1.