Final Fantasy

Square Enix Holdings 2Q FY2018/3 Financial Results Briefing

Square Enix Holdings reported strong financial growth for the first half of the fiscal year ending March 31, 2018.

• Square Enix reported strong 1H FY2018/3 financial growth, with net sales reaching ¥132.0 billion (+24.2% YoY) and operating income rising 132.3% to ¥25.8 billion.
• The Digital Entertainment segment drove performance through the launch of 'DRAGON QUEST XI,' increased paying subscribers for 'FINAL FANTASY XIV,' and strong catalog title downloads.
• Digital sales in the Publication segment exceeded 20% of total revenue in 1H FY2018/3, largely attributed to the success of the 'MANGA UP!' distribution app.

Square Enix Holdings Financial Results: Six-Month Period Ended September 30, 2017

Square Enix Holdings reported strong financial growth for the six-month period ending September 30, 2017, characterized by significant increases in both net sales and operating income compared to the same period in the previous fiscal year.

• Square Enix reported strong growth for the six-month period ending September 30, 2017, with net sales rising to 132.0 billion yen, a 25.7 billion yen increase over the same period in 2016.
• Operating income surged to 25.8 billion yen, more than doubling the 11.1 billion yen recorded in the prior year's first half, driven primarily by blockbuster HD game releases.
• The Digital Entertainment segment remains the primary revenue driver, contributing 102.1 billion yen in net sales and achieving an operating income margin of 26.0%.

Square Enix Holdings 1Q FY2018/3 Financial Results Briefing

Square Enix Holdings reported strong financial growth for the first quarter of the fiscal year ending March 31, 2018.

• Square Enix reported strong 1Q FY2018/3 results with net sales of ¥57.0 billion (+11.3% YoY) and operating income of ¥12.8 billion (+43.9% YoY).
• The Digital Entertainment segment drove performance with ¥44.1 billion in sales (+17.7% YoY) and ¥13.7 billion in operating income (+44.9% YoY).
• Growth in the Games for Smart Devices/PC Browsers sub-segment was bolstered by license fees from Machine Zone, Inc. for 'FINAL FANTASY XV: A NEW EMPIRE' and the full amortization of development costs for existing titles.

Square Enix Holdings Three-Month Period Ended June 30, 2017: Reference Materials

Square Enix Holdings reported strong financial growth for the first quarter of the fiscal year ending March 31, 2018, covering the period from April 1 to June 30, 2017.

Square Enix Holdings Consolidated Financial Results: Three-Month Period Ended June 30, 2017

Square Enix Holdings reported strong financial growth for the three-month period ending June 30, 2017, driven primarily by robust performance in its Digital Entertainment segment.

• Square Enix reported strong growth for the three-month period ended June 30, 2017, with net sales rising 11.3% to ¥57,000 million and operating income increasing 43.9% to ¥12,874 million compared to the same period in 2016.
• The Digital Entertainment segment was the primary growth driver, achieving ¥44,168 million in net sales and ¥13,724 million in operating income, representing year-on-year increases of 17.7% and 44.9% respectively.
• Digital Entertainment performance was bolstered by strong download sales of catalogue titles like 'NieR:Automata,' consistent success from smart device games such as 'FINAL FANTASY BRAVE EXVIUS,' and increased revenue from 'FINAL FANTASY XIV' following its latest expansion.

Financial Results Briefing: Square Enix Holdings FY2017/3

Square Enix Holdings achieved record-breaking financial performance for the fiscal year ended March 31, 2017, reporting net sales of ¥256.8 billion and operating income of ¥31.2 billion.

• Square Enix achieved record financial results for FY2017/3, reporting net sales of ¥256.8 billion and operating income of ¥31.2 billion, representing year-over-year growth of 20% and 20.3% respectively.
• The Digital Entertainment segment drove performance through the successful launches of Final Fantasy XV and NieR:Automata, while the company strategically divested from IO Interactive A/S to focus on core franchises.
• Management set a medium-term growth target for approximately 2020 of ¥300–400 billion in net sales and ¥40–50 billion in operating income.

Square Enix Holdings Financial Results: Fiscal Year Ended March 31, 2017

Square Enix Holdings reported strong financial growth for the fiscal year ended March 31, 2017, driven primarily by the successful launch of major blockbuster titles.

• Square Enix reported consolidated net sales of 256.8 billion yen and operating income of 31.2 billion yen for the fiscal year ended March 31, 2017, representing a year-over-year increase of 42.7 billion yen in sales and 5.2 billion yen in operating income.
• The Digital Entertainment segment remains the primary revenue driver, contributing 199.0 billion yen in net sales and 33.3 billion yen in operating income for FY2017/3.
• Revenue from games for smart devices and PC browsers saw significant growth, reaching 83.3 billion yen in FY2017/3 compared to 44.2 billion yen in FY2015/3.

Square Enix Holdings 3Q FY2017/3 Financial Results Briefing

Square Enix Holdings reported financial results for the nine-month period ending December 31, 2016, reflecting a period of high-profile releases balanced by significant development cost amortization.

• Square Enix reported 1-3Q FY2017/3 net sales of ¥190.1 billion and operating income of ¥21.5 billion, with operating income declining year-over-year despite a sharp rise in Digital Entertainment sales.
• Final Fantasy XV reached 6 million units in shipments by early 4Q, with development costs fully amortized in 3Q, allowing future downloads and repeat sales to contribute directly to earnings.
• The Digital Entertainment segment experienced a ¥1.4 billion decline in operating income due to lower MMO expansion disk sales compared to the previous year and the heavy amortization of FFXV development costs.

Square Enix Holdings Financial Results Briefing: 1H FY2017/3

Square Enix Holdings reported financial results for the first half of fiscal year 2017, ending September 30, 2016. The company achieved net sales of ¥106.3 billion, representing a year-over-year increase of ¥20 billion.

• Square Enix reported 1H FY2017 net sales of ¥106.3 billion, a year-over-year increase of ¥20 billion, despite a decline in net income to ¥5.5 billion.
• Operating income fell by ¥1.5 billion to ¥11.1 billion, driven by high development cost amortization for major titles and underperforming smart device games.
• Digital Entertainment revenue growth was fueled by the overseas launches of Deus Ex: Mankind Divided, Hitman, and the PlayStation 4 version of Rise of the Tomb Raider.

Square Enix Holdings Financial Results: Six-Month Period Ended September 30, 2016

Square Enix Holdings reported financial results for the six-month period ending September 30, 2016, highlighting a period of significant top-line growth alongside a contraction in operating profitability.

• Square Enix reported net sales of 106.3 billion yen for the six-month period ended September 30, 2016, a significant increase from 86.4 billion yen in the same period of the previous year.
• Operating income for the first half of FY2017/3 was 11.1 billion yen, a decrease from 12.6 billion yen in the prior year, driven by higher amortization costs for new AAA titles and underperformance of new smart device and PC browser games.
• The Digital Entertainment segment remains the primary revenue driver, contributing 78.3 billion yen in net sales, though its operating margin compressed from 21.5% to 15.5% year-over-year.

DeNA Q1 FY2016 Operating Results

DeNA’s operating results for the first quarter of fiscal year 2016 demonstrate a period of solid progress toward profit growth, characterized by a 9% quarter-over-quarter revenue increase to 38.3 billion yen and an 83% year-over-year surge in operating profit to 7.4 billion yen.

• DeNA reported a 9% quarter-over-quarter revenue increase to 38.3 billion yen and an 83% year-over-year surge in operating profit to 7.4 billion yen for Q1 FY2016.
• The gaming segment remains the primary profit driver, focusing on long-term in-game operations for titles like Final Fantasy Record Keeper and Kinniku-man Muscle Shot.
• The strategic partnership with Nintendo is set to expand in late 2016 with the launch of new mobile titles based on the Fire Emblem and Animal Crossing franchises.

Square Enix Holdings Consolidated Financial Results: Three-Month Period Ended June 30, 2016

Square Enix Holdings reported its consolidated financial results for the three-month period ending June 30, 2016, demonstrating strong top-line growth despite a decline in bottom-line profitability.

• Square Enix reported consolidated net sales of ¥51,193 million for the quarter ended June 30, 2016, a 21.1% increase year-on-year, while operating income rose 13.1% to ¥8,949 million.
• The Digital Entertainment segment, the company's primary revenue driver, saw net sales grow 23.9% to ¥37,541 million and operating income rise 15.6% to ¥9,472 million, fueled by strong performance in smart device, PC browser, and console titles.
• Ordinary income fell by 32.5% to ¥6,446 million, largely impacted by ¥2,520 million in foreign exchange losses compared to the prior year's gains.