Other Square Enix Reports A $33 Million Loss From Square Enix’s Subsidiary Luminous Productions.

Discussion in 'Gaming News Discussion' started by cm2, Nov 7, 2018.

  1. cm2

    cm2 Well-Known Member Full GL Member

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    Just read from Siliconera, gamesindustry biz and Kitguru, looks like FF 15 is not doing good enough income despite the great sales numbers:

    The loss that amounts to 3,733 million yen (about $33 million) comes from Square Enix’s subsidiary Luminous Productions, led by Final Fantasy XV director Hajime Tabata and staff, which was established back in March of this year with the purpose of developing new AAA titles and innovating game content to a global audience.

    1. The cause and nature of the extraordinary loss

    Having conducted an in-depth review of the business strategy for Luminous Productions Co., Ltd., a wholly-owned subsidiary (the “Subsidiary”), the Company had decided to focus the Subsidiary’s development efforts on large-scale, high-quality AAA game titles, which best leverages the Subsidiary’s strengths. This decision has resulted in the booking of an extraordinary loss amounting to 3,733 million yen, including the disposition of the portion of the content production account related to the game titles under development at the Subsidiary and impairment losses on intangible assets, in the Company’s financial results for the six-month period ended September 30, 2018.


    2. Impact on financial results

    The aforementioned extraordinary loss has been fully reflected in the financial results announced today as the “Consolidated Financial Results for the Six-Month Period Ended September 30, 2018 (Japan GAAP).”


    Square Enix remains somewhat hopeful for the full financial year in terms of net sales, forecasting ¥270 billion ($2.39 billion) which would be a 7.8 per cent increase over the previous fiscal year.

    However, it expects to take a hit in operating and ordinary income, as well as profits, which are forecast at ¥21 billion ($185.7 million) - 18.7 per cent down on last year.
     
  2. cm2

    cm2 Well-Known Member Full GL Member

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    Just read tabata is leaving square enix and the luna dlc is cancled . Looks like no more ff 15 stuff in development.
     
  3. Demon_Skeith

    Demon_Skeith Administrator Staff Member Administrator

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    Meh, if they pull off the FF 7 remake right they will be printing money.
     
  4. cm2

    cm2 Well-Known Member Full GL Member

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    Indeed. Now nomura better be swift with some new info on ff7 remake.
     
  5. Demon_Skeith

    Demon_Skeith Administrator Staff Member Administrator

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    you mean the same guy who learned of the remake the same time as we did? :p
     
  6. NameGervin

    NameGervin Well-Known Member Full GL Member

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    They must be losing their heads now
     
  7. Demon_Skeith

    Demon_Skeith Administrator Staff Member Administrator

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    nope, just those who lost SE their money.
     

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