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Mobile Game Revenue Drops, Impacting Square Enix’s Financial Performance, But Merchandise Sales Improve

Writer's picture: ⚡Xe⚡⚡Xe⚡

Square Enix released its financial results for the first nine months of the fiscal year ending March 31, 2025, reporting a 9.9% decline in operating income for its Digital Entertainment segment. The decrease was due to lower sales of new HD titles and a decline in mobile and browser-based game revenue.

Key Financial Figures:

  • Net Sales: ¥248.5 billion (-3.5% year-on-year)

  • Operating Profit: ¥33.3 billion (-4.4% year-on-year)

  • Game Sector Operating Profit: ¥27.7 billion (-9.9% year-on-year)

  • Mobile Game Revenue: Down over 32%


Despite the decline, Dragon Quest III HD-2D Remake exceeded sales expectations. Revenue from the MMO sub-segment increased by ¥9 billion year-on-year to ¥44 billion, with operating profit rising to ¥17.3 billion (+¥2.9 billion year-on-year), supported by Final Fantasy XIV: Dawntrail. Merchandise revenue also grew, driven by demand for Final Fantasy, Dragon Quest, and NieR products.

While mobile revenue dropped sharply, its profits (¥5.6 billion) remained higher than those from HD games (¥4.6 billion). Square Enix maintains its full-year forecast, expecting ¥310 billion in net sales and ¥40 billion in operating profit by March 2025, a projected 22.9% increase in operating profit compared to the previous fiscal year.


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