Square Enix Holdings Co., Ltd. Announces Financial Results for the Three-month Period Ended June 30, 2022

Rhea-AI Summary

Square Enix Holdings reported financial results for the three-month period ended June 30, 2022. Net sales decreased by 15.5% to 74,876 million yen compared to 88,604 million yen in the same period last year, while operating income fell 16.7% to 14,430 million yen. However, ordinary income surged by 48.7% to 26,255 million yen, and profit attributable to owners rose 45.0% to 18,355 million yen. EPS increased to 153.45 yen from 105.98 yen.

Positive

• Ordinary income increased by 48.7% to 26,255 million yen.
• Profit attributable to owners rose by 45.0% to 18,355 million yen.
• Basic EPS improved to 153.45 yen from 105.98 yen.

Negative

• Net sales declined by 15.5% to 74,876 million yen.
• Operating income decreased by 16.7% to 14,430 million yen.
• Net sales in the Games for Smart Devices/PC Browser sub-segment fell due to weak performances from existing titles.

TOKYO--(BUSINESS WIRE)-- SQUARE ENIX HOLDINGS CO., LTD. (the “Company”) today announced consolidated financial results for the three-month period ended June 30, 2022. The Company is listed on the First Section of the Tokyo Stock Exchange, with the stock code “9684,” and prepares its financial statements according to the Japan GAAP.

Key Figures
(millions of yen, except percentages and per share data)
		3 mos. ended 6/22		3 mos. ended 6/21		YoY change
Net sales		74,876		88,604		-15.5	%
Operating income		14,430		17,316		-16.7	%
Ordinary income		26,255		17,661		+48.7	%
Profit attributable to owners of parent		18,355		12,655		+45.0	%
EPS, basic		153.45 yen		105.98 yen		－

For additional information, please refer to the full-length Consolidated Financial Results document at: https://www.hd.square-enix.com/eng/23q1earnings.pdf, or the Company’s IR website: https://www.hd.square-enix.com/eng/ir/.

Due to decreased earnings from new titles, the HD (High-Definition) Game sub-segment’s net sales for the three-month period ended June 30, 2022 declined compared to the same period of the previous fiscal year, which had included the release of “OUTRIDERS” and “NieR Replicant ver.1.22474487139...”

In the MMO (Massively Multiplayer Online) Game sub-segment, net sales rose versus the same period of the previous fiscal year due to growth in the number of monthly paying subscribers for “FINAL FANTASY XIV.”

While “ECHOES of MANA” got off to a solid start following its April launch, net sales in the Games for Smart Devices/PC Browser sub-segment declined compared to the same period of the previous fiscal year, in part because of weak performances from existing titles.

In the Amusement segment, net sales and operating income for the three-month period ended June 30, 2022 rose compared to the same period of the previous fiscal year due to a significant year-on-year increase in same-store sales.

In the Publication segment, net sales and operating income for the three-month period ended June 30, 2022 declined compared to the same period of the previous fiscal year due to year-on-year declines in both digital and print sales.

In the Merchandising segment, sales of new merchandise based on key intellectual properties were brisk, but the sales mix changed. This and other factors resulted in a year-on-year rise in net sales but a decline in operating income.

About Square Enix Holdings Co., Ltd.

Square Enix Holdings Co., Ltd. with headquarters in Tokyo, Japan, is the holding company leading the group of Square Enix companies (the "Square Enix Group") with a diverse range of content and service businesses. The Square Enix Group publishes, distributes and licenses entertainment content around the world under its internationally renowned brands including SQUARE ENIX®, EIDOS® and TAITO®. The Square Enix Group includes a global network of leading development studios located in North America, Europe and Japan. The Square Enix Group also boasts a valuable portfolio of intellectual property including: FINAL FANTASY®, which has sold over 168 million units worldwide; DRAGON QUEST®, which has sold over 84 million units worldwide; TOMB RAIDER®, which has sold over 88 million units worldwide; and the legendary SPACE INVADERS®.

More information on Square Enix Holdings Co., Ltd. can be found at https://www.hd.square-enix.com/eng/

*Unit sales are the total number of cumulative package shipment and digital sales. Digital sales are the cumulative unit number in and after April 2015, and include full-game downloads of packaged games and download-only games for console and PC.

Disclaimer

The forward-looking statements in this document are based upon the information currently available, and necessarily include elements that are not entirely predictable. Actual results may differ from the forward-looking statements in this document.

DRAGON QUEST, EIDOS, FINAL FANTASY, SPACE INVADERS, SQUARE ENIX, the SQUARE ENIX logo, TAITO and TOMB RAIDER are registered trademarks or trademarks of the Square Enix Group. All other trademarks are the property of their respective owners.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220804005455/en/

Kiyono MARIKO - Corporate Communications, SQUARE ENIX

PR-HD@square-enix.com

Source: Square Enix Holdings Co.

FAQ

What were Square Enix's net sales for the period ended June 30, 2022?

Square Enix's net sales for the three months ended June 30, 2022, were 74,876 million yen.

How did Square Enix's ordinary income change in Q1 2022?

Square Enix's ordinary income increased by 48.7% to 26,255 million yen compared to the previous year.

What is the EPS reported by Square Enix for Q1 2022?

The earnings per share (EPS) reported by Square Enix for the three months ended June 30, 2022, is 153.45 yen.

What contributed to the decline in Square Enix's net sales for Q1 2022?

The decline in net sales was mainly due to decreased earnings from new titles and weak performances from existing games.

How did the MMO game segment perform for Square Enix?

The MMO game segment saw an increase in net sales due to growth in monthly paying subscribers for Final Fantasy XIV.