Updated Mar 21, 2026 by Square Enix
Square Enix achieved a 24.6% increase in operating income to ¥40,580 million for the fiscal year ending March 31, 2025, despite an 8.9% decline in net sales to ¥324,506 million.
The Digital Entertainment segment, representing 63.6% of total sales, grew operating income by 33.0% through cost-optimization, reduced advertising, and lower development amortization, even as segment revenue fell 16.8%.
Key intellectual property performance, specifically the 'Dragon Quest III HD-2D Remake' and 'Final Fantasy XIV: Dawntrail' expansion, served as the primary drivers for the company's improved profitability.
The Amusement segment recorded a 15.7% increase in sales and a 3.7% rise in operating income, bolstered by strong arcade machine distribution and same-store performance.
The smart device sub-segment underperformed due to the weakening of existing titles and the normalization of royalty revenues.
The Merchandising segment delivered a 7.2% increase in operating income, while the Publication segment saw a slight decline compared to the previous year's high baseline set by 'The Apothecary Diaries'.
Square Enix achieved a 24.6% increase in operating income to ¥40,580 million for the fiscal year ending March 31, 2025, despite an 8.9% decline in net sales to ¥324,506 million.
The Digital Entertainment segment, representing 63.6% of total sales, grew operating income by 33.0% through cost-optimization, reduced advertising, and lower development amortization, even as segment revenue fell 16.8%.
Key intellectual property performance, specifically the 'Dragon Quest III HD-2D Remake' and 'Final Fantasy XIV: Dawntrail' expansion, served as the primary drivers for the company's improved profitability.
The Amusement segment recorded a 15.7% increase in sales and a 3.7% rise in operating income, bolstered by strong arcade machine distribution and same-store performance.
The smart device sub-segment underperformed due to the weakening of existing titles and the normalization of royalty revenues.
The Merchandising segment delivered a 7.2% increase in operating income, while the Publication segment saw a slight decline compared to the previous year's high baseline set by 'The Apothecary Diaries'.