Square Enix Holdings Co., Ltd. Announces Financial Results for the Six-Month Period Ended September 30, 2022

Rhea-AI Summary

Square Enix Holdings Co., Ltd. reported consolidated results for the six months ending September 30, 2022. Net sales were ¥163,392 million, down 3.3% year-over-year. Operating income decreased by 10.6% to ¥26,044 million. However, ordinary income rose significantly by 43.4% to ¥45,133 million, and profit attributable to owners increased by 71.7% to ¥39,473 million. Basic EPS improved to ¥329.91 from ¥192.48. The report highlights mixed performance across segments: declines in Digital Entertainment due to lower new title earnings, while MMO and Amusement segments saw growth.

Positive

• Ordinary income increased by 43.4% to ¥45,133 million.
• Profit attributable to owners rose by 71.7% to ¥39,473 million.
• Basic EPS improved to ¥329.91 from ¥192.48.
• Amusement segment saw higher net sales and operating income.

Negative

• Net sales declined by 3.3% to ¥163,392 million.
• Operating income decreased by 10.6% to ¥26,044 million.
• Digital Entertainment segment experienced lower earnings from new releases.

TOKYO--(BUSINESS WIRE)-- SQUARE ENIX HOLDINGS CO., LTD. (the “Company”) today announced consolidated results for the six-month period ended September 30, 2022 (the “Period”). 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)
6 months actual		6 mos. ended 9/22		6 mos. ended 9/21		YoY change
Net sales		163,392		168,917		-3.3%
Operating income		26,044		29,146		-10.6%
Ordinary income		45,133		31,483		43.4%
Profit attributable to owners of parent		39,473		22,991		71.7%
EPS, basic		329.91 yen		192.48 yen		-
For additional information, please refer to the full-length Consolidated Financial Results document at: https://www.hd.square-enix.com/eng/23q2earnings.pdf, or the Company’s IR website: https://www.hd.square-enix.com/eng/ir/.

At the HD (High-Definition) Game sub-segment in the Digital Entertainment segment, the sixth-month period ended September 30, 2022 saw the release of such titles as “LIVE A LIVE” and “Dragon Quest X.” However, because of lower earnings from the new titles, the sub-segment’s net sales declined compared to the same period of the previous fiscal year, which had seen the release of “OUTRIDERS” and “NieR Replicant ver.1.22474487139...”

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

At the Games for Smart Devices/PC Browser sub-segment, “FULLMETAL ALCHEMIST MOBILE,” which was launched in August, got off to a brisk start, but partly because that was not enough to compensate for weak performances from existing titles, the sub-segment’s net sales declined compared to the same period of the previous fiscal year.

At the Amusement segment, the six-month period ended September 30, 2022 saw net sales and operating income rise compared to the same period of the previous fiscal year due to a substantial year-on-year increase in sales at existing arcades.

At the Publication segment, the sixth-month period ended September 30, 2022 saw net sales and operating income rise compared to the same period of the previous fiscal year as the major success of “My Dress-Up Darling” helped drive brisk comic book sales, and sales of both digital and printed media grew.

At the Merchandising segment, the sixth-month period ended September 30, 2022 saw brisk sales of such products as new character merchandise based on the Group’s own key content, resulting in higher net sales for the segment than in the same period of the previous year. However, the segment’s operating income declined, partly due to changes in the sales mix by product.

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® 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 173 million units worldwide; DRAGON QUEST®, which has sold over 85 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, FINAL FANTASY, SPACE INVADERS, SQUARE ENIX, the SQUARE ENIX logo and TAITO 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/20221107005485/en/

Kazuka NOHARA - Corporate Communications, SQUARE ENIX

PR-HD@square-enix.com

Source: Square Enix Holdings Co., Ltd.

FAQ

What were Square Enix's net sales for the six months ending September 30, 2022?

Square Enix reported net sales of ¥163,392 million for the six months ending September 30, 2022.

How did Square Enix's ordinary income change in the recent report?

Ordinary income increased by 43.4% to ¥45,133 million.

What was the EPS for Square Enix for the six months ending September 30, 2022?

The basic EPS for Square Enix was ¥329.91.

What segments contributed to Square Enix's recent financial performance?

The Amusement segment contributed to higher net sales, while the MMO segment saw an increase in monthly paying subscribers.