Square Enix posts dire forecast: revenue losses, unspecified cancellations

Square Enix has posted dire revisions to financial projections previously posted in early February. The new figures reflect an “extraordinary loss” sustained to Square Enix-owned properties hit hard by March's earthquake and tsunami. In addition to February's projected ¥1 billion ($12.4 million) profit turning to a loss of ¥12 billion ($148 million), the company has announced the cancellation of development on projects as yet unnamed.

However, consumers without a financial stake in the company's futures may also be affected by the as-yet-unspecified cancellations, said to result from a “tightened selection standard regarding title lineup,” with the aim of “strengthen[ing] the revenue base of the Company’s digital entertainment segment” but a more immediate prediction of ¥4.5 billion ($55.7 million) in lost profits.

Above: Don't worry, you're unlikely to lose FFXIV Online (phew, right?)

A company with as diverse a range as Square Enix is hardly likely to be canning, say, Final Fantasy or the new Tomb Raider, but nevertheless it remains to be seen exactly what projects the company is forced to forsake to help recover from such an unusually – and suddenly – dire year.

[Source: Square Enix]

May 12, 2011

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  • nib0rtehGRfan - May 15, 2011 12:41 p.m.

    This better not affect KHDDD or KH3 ReCaptcha: returned trandin I was looking for that...
  • JettheKing - May 13, 2011 3:17 p.m.

    I think its time to release a FF7 remake to make up for the losses and right now im sure it would make up for a good amount of there losses.
  • freakyfro99 - May 13, 2011 1:46 p.m.

    I just want them to release a FF6 DS remake like they did for the other older FF games. KH3 would be good too.
  • crumbdunky - May 13, 2011 11:40 a.m.

    @stabby joe-Doesn't that make sense , though? At least the third party games might be able to be picked up by other publishers and allow SE to focus on their properties and the Eidos ones they bought out. Hitman, Lara, FF and KH should all be pretty safe if they do that, no? Shame this didn't happen BEFORE K&L2, though, maybe they could have scrapped THAT, got everyone at IO working on the new Hitman and TR and we'd have both by now! Just imagine the gnashing of teeth if they now say "Right, Versus is cancelled!". I'm more interested i that game than bloody KH3 or FF13-2 and by a long, long way.
  • Stabby_Joe - May 13, 2011 11:13 a.m.

    Just you watch, they'll no doubt cancel most of the third party developer games and just leave their own games even though I'd say it was those games at fault.
  • ricochetguro - May 13, 2011 10:44 a.m.

    Sorry for bad grammer and spelling, its late. I think I was able to get what I was trying to say across. bug=big sequel=secret
  • ricochetguro - May 13, 2011 10:42 a.m.

    @Redstar Yes, its Louise Brooks @Pimples A lot of people loved it(including me), so it wasn't a disappointment to a lot of people. I'm sure SE is going to listen to the linear complaints for XIII-2 @Kilburn Psp games are much cheaper to produce. And despite piracy issues, all of those titles sold very well so I don't think their in error. People like to act like the psp is a bug failure but its really not. And I'm sure KH 3 work has been started. SE knows its what fans want and that it will be a huge seller. Its better to keep it sequel until after Verses is done, look at how many FF titles they revealed years ago and only 1 has come out.
  • SirNinja - May 13, 2011 9:07 a.m.

    There's at least a 90% chance they haven't even started working on Kingdom Hearts 3 (since the main KH team is making Versus XIII), so wouldn't worry about that being "canceled". Also, it's unlikely that ANY Final Fantasy title was in danger of being canceled (with the exception of FF14 for PS3, given that the PC version still needs 793 more patches before it becomes decent). That said: if they axed a potential Chrono Trigger II, they are officially on my shit list.
  • austincharlesbond - May 13, 2011 8:17 a.m.

    Maybe they would make some money if they stopped totally sucking. I would ask for a new Chrono game, but I'm scared they would just butcher it...
  • Asmodean - May 13, 2011 6:09 a.m.

    I love you guys, but please lay of on FF 14, I play it and love it and know it crap, but really going after it is like making fun of the handy capped (which might include me for playing it).
  • Clovin64 - May 13, 2011 5:40 a.m.

    I wouldnt be too surprised in the PS3 release of FFXIV gets canned, but I really hope XIII-2 will still make it- its one of the games I'm most looking forward to.
  • Letter11 - May 13, 2011 5:31 a.m.

    We'll they've always got an ace in the hole. Even a mediocre remake of FF7 would be a big earner. I know I'd have to buy it.
  • Cloud1Fair3 - May 13, 2011 4:08 a.m.

    @PimplesInYourAsstista True. I heard rumors that releasing FF13 on the Xbox meant cutting a lot of material for the game because a lot of what was planned for FF13 couldn't be done on the 360s engine. Not sure if that's just a sony fanboy rumor or not. Either way, when Final Fantasy Versus 13 ever comes out, it'll be the defining next gen final fantasy if it is as good as it promises to be. Side note- I don't think Final Fantasy 13 was too bad. One of my favorites in the series actually. Better than FF 7, the most over-rated in the series, although Crisis Core kicked ass. Somebody please tell me a good reason at why Final Fantasy 13 was such a disappointment, if you've even played the whole thing or did the side-quests it was amazing. Get over yourselves hyper-critics.
  • FlikNightshade - May 13, 2011 4:02 a.m.

    Actually they might be considering canning FF14. Most of the retail chains, including the one I work at, just got the word that all copies of Final Fantasy 14 were on recall and to send them back to their respective warehouses.
  • bigwill1221 - May 13, 2011 3:24 a.m.

    Maybe ds KH was a cause too?
  • Cyberninja - May 13, 2011 3:05 a.m.

    @aman123 if that happened i would kill everyone @ square-enix bring them back and then tell them for their stupidity you have to make CT3DS and then continue making KH3.
  • Kilburn474 - May 13, 2011 3 a.m.

    @liekmudkipz8 Whoa. Completely forgot about Mindjack. Truthfully, I think they're putting too much into the PSP, a system rampant with piracy. The first few months of this year alone saw the release of Duodecim, 3rd Birthday, Lord of Arcana, Tactics Ogre, and FFIV.
  • aman123 - May 13, 2011 2:41 a.m.

    If they cancelled the development of KH3 IMA KILL A BITCH.
  • g4m3rk1dd - May 13, 2011 2:39 a.m.

    oh god not FF13-2...PLEASE not FF13-2...
  • liekmudkiepz8 - May 13, 2011 2:23 a.m.

    How about SE stop making shit games, Mindjack and FF14, im looking at you!

Showing 1-20 of 29 comments

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