Profit attributable to owners of the parent fell sharply from ¥49,264 million in 2023 to ¥14,912 million in 2024, causing earnings per share to drop from ¥411.62 to ¥124.37.
Operating income declined to ¥32,558 million in 2024, resulting in a 9.1% operating margin, the lowest level recorded in the five-year period analyzed.
Return on equity (ROE) fell to 4.7% in 2024, breaking a three-year streak of double-digit performance.
Despite earnings volatility, Square Enix maintained a strong balance sheet with total assets of ¥410,876 million and an equity ratio of 77.0%.
Net sales remained relatively stable at ¥356,344 million in 2024, down only slightly from the 2022 peak of ¥365,275 million.
Projections for fiscal year 2025 prioritize margin recovery, with an expected increase in operating income to ¥40,580 million despite a forecasted decline in net sales to ¥324,506 million.
Square Enix Holdings Co., Ltd. experienced a period of fluctuating financial performance between the fiscal years ending March 2021 and March 2024, with projections extending into 2025. While net sales reached a peak of ¥365,275 million in 2022, they remained relatively stable through 2024 at ¥356,344 million. However, profitability metrics showed a notable decline during the 2024 fiscal year. Operating income dropped to ¥32,558 million, down from a high of ¥59,261 million in 2022, resulting in an operating income margin of 9.1%, the lowest in the five-year period analyzed.
The most significant contraction occurred in profit attributable to owners of the parent, which fell sharply from ¥49,264 million in 2023 to ¥14,912 million in 2024. This decline is reflected in the earnings per share, which plummeted from ¥411.62 to ¥124.37 year-over-year. Consequently, the return on equity saw a substantial reduction, falling to 4.7% in 2024 after maintaining double-digit percentages in the preceding three years. Despite these pressures on earnings, the consolidated balance sheet remained robust, with total assets growing to ¥410,876 million and the equity ratio maintaining a strong position at 77.0%.
Looking forward to the 2025 fiscal year, projections suggest a strategic recovery in profitability despite an anticipated decrease in net sales to ¥324,506 million. Operating income is expected to rebound to ¥40,580 million, improving the operating margin to 12.5%. This forecast indicates a focus on operational efficiency and margin recovery. The data, presented in both Japanese yen and U.S. dollars, covers the global operations of the parent company and its consolidated subsidiaries, providing a comprehensive view of the firm’s financial health and its trajectory toward improved capital efficiency and shareholder returns.