Square Enix is continuing with its multiplatform strategy, despite a drop in sales of its games.
Its latest financial report shows a year-on-year drop in sales of its single player games, although profit was up due to the sales of Dragon Quest 3 HD-2D Remake which were “stronger… than initially assumed”.
The likes of Visions of Mana, Fantasian Neo Dimension, and Life is Strange: Double Exposure, among others, could not compete with previous releases Final Fantasy 7 Rebirth, Final Fantasy 16, or the Final Fantasy Pixel Remasters.
Predictably, sales and profits of the company’s MMOs have increased, notably due to the release of Final Fantasy 14 expansion Dawntrail last summer. Further, sales and profits of mobile games have dropped “sharply” as the company has closed many of its games.
Indeed, it announced today the cancellation of mobile game Kingdom Hearts Missing-Link.
Overall, then, the digital entertainment sector has seen an 18 percent drop in sales, but 28 percent increase in operating income.
However, Square Enix is in the midst of a “three-year reboot for long-term growth”, which began last year when CEO Takashi Kiryu announced the company was “aggressively pursuing” a multiplatform strategy, including “Nintendo platforms, PlayStation, Xbox, and PCs”.
So far, year-on-year sales of PC games have doubled – in the past year, previously console exclusives like Final Fantasy 7 Rebirth and Final Fantasy 16 have been released on PC.
It seems Switch 2 will also be important for the company. Final Fantasy 7 Remake will be out this year (and seemingly the full remake series), while Bravely Default Flying Fairy HD Remaster will be out at launch. Could other games be ported over too?
Dragon Quest 1+2 HD Remake will be the biggest new release of the year, set for release across Switch, PS5, Xbox Series X/S, and PC (Windows, Steam). This will be followed in the next couple of years with “plans to release major titles” and “plans to release multiple titles on multiple platforms”. By the third quarter of 2028, the company plans to “release major titles on a consistent basis”.
The company also plans to release a mobile version of Final Fantasy 14, though curiously it’s listed as “for China” in this report.
What other “major titles” are in the pipeline? There’s the expected third part of the Final Fantasy 7 remake series, but outside of that could the rumoured Final Fantasy 9 remake be a reality? A remake of Chrono Trigger? And when will whatever Final Fantasy 17 turns out to be see the light of day?
Square Enix’s diversifying strategy extends outside of games too. There’s the soon-to-be-released Magic: the Gathering card collection, alongside various pop-up stores, concert events, and anime shows like NieR: Automata.
The company is also collaborating with Japanese TV network TBS on a “new IP based on transmedia expansion” – no further details have been provided.
As a result of all this, Square Enix is forecasting a further drop in sales for the next fiscal year, but an increase in profits. Without a major Final Fantasy release or Final Fantasy 14 expansion, it’s certainly looking like a quieter year for the company.
Earlier this year, Final Fantasy series producer Yoshinori Kitase confirmed the story for the third part of the Final Fantasy 7 Remake trilogy is complete. It remains without a release window.