Not that a terrible earthquake and nuclear crisis didn't have an impact, but veteran gamers will point to other reasons for the massive downturn.
Back in February, Square Enix issued its projected net income of only 1 billion yen ($12.35 million), which was down 90% in a year-over-year comparison. But just before the publisher presents its full-year financial numbers, they've issued a depressing update : for the 12-month period ending March 31, 2011, the company now expects "extraordinary losses" of 12 billion yen ($148.33 million) on revenue of 125 billion yen ($1.53 billion). This is in stark comparison to the 9.5 billion yen ($117.4 million) in profit the company made on 192.25 billion yen ($2.37 billion) revenue the year prior.
Many of the losses are attributed to "a reassessment of unspecified previous acquisitions now worth about 8.8 billion yen ($108.78 million) less due to "a rapidly changing operating environment." Plus, the publisher expects to can a bunch of projects, although we don't have targeted titles just yet. It isn't good news for investors and long-time gamers will wistfully remember the days of Squaresoft, when it seemed most everything the company touched turned to gold. My, how times have changed.
Hmmm, what could we do to get back in the green? Hmmm, wait, I have it, FFVII remake! DING DING DING DING! Idiots! This is what happens when you mess with a proven formula.
I wonder, considering the losses. Can they even afford to produce a proper remake? Can they afford not to?
I'm starting to think that there is a reason as to why they won't remake final fantasy 7. I'm not too sure what it is but there MUST be a reason. I doubt Square is THAT oblivious.
the reasin is it will be the card played when the company is in huge trouble, like now
Its true, FF7 has the potential to not only sell massive numbers to the millions of FF fans around the world, but i honestly believe that it is EXACTLY what the industry needs right now, a killer RPG.
Modern western gamers have never played a game like that before, and if they did it right, they could re-ignite the RPG passion.
FF7 is Squares chance to re-introduce the RPG formula, just like it was 10 years ago. There hasn't been ANY true RPG games since FFX, its no wonder that western gamers dont care about rpgs anymore, they havnt seen or played ANY good ones.
whoa@akuma07 …lol… am I the only one who played Demon Soul's here…we have played a great one…unless you mean turn-based rpg's …and i think V.C. was pretty decent…
@Akuma07
Not to start *another* debate about the definition of "RPG", but that's complete BS.
The truth is that there haven't EVER been ANY true RPG games [sic] on computers or consoles or handhelds.
Last edited by Fane1024 on 5/13/2011 3:39:31 AM
They didn't see the writings on the wall and they are now seeing their profits through the floor. They just may need to produce that FFVII remake if only to survive. But be careful Square, you mess that up and you are finished. It's a shame really, they are not a bad company. They just lost their mojo.
Last edited by FatherSun on 5/12/2011 3:58:49 PM
Quick SE! RE-re-re-re-release some more games!
GOOD! Money talks!
Now give us real jrpgs
A final fantasy 7 remake will most likely be their pheonix down.
if not a FF7 remake then at least give us an HD update to the PS2 FFs
whats a truck fighter?
We don't talk about Truck Fighting… Its rule 1 and 2.
.
.
.
.
Wait… Damnit!
Truckfighters is a swedish desert/fuzz rock band
what the hell is a desert rock band? =S
ever hear of Kyuss? they are the pioneers of desert rock
its pretty much easier to show than tell
http://youtu.be/KcY3UF6_IaM
Qwarktast1c
Just beKyuss you gave us that link, I gave you 1 thumbs up
maybe it's just the sony fan in me speaking, but i don't think square getting in bed with ms has helped them any. i know they would strongly disagree with me, though.
they still have a lot of talent, and i did enjoy ff13 despite its flaws. i'm actually looking forward to ff13-2 a lot.
It was a nice, quick payoff, but ultimately (as I pointed out at the start of this generation) it would not be profitable in the long run.
You couldn't find a better example of a company reaping the negative results from literally "selling out"
My thinking is that it's mostly due to Wada severely misjudged exactly how many commercial truck drivers he'd actually need to get all of M$ Armored trucks over to SE's "Bank of Immoral Deposits".
Last edited by BikerSaint on 5/12/2011 6:28:42 PM
You guys DO realise what this means.
FFvXIII has just been turned into a multiplatform title…..
let me be the first to say …FF 13 was terrible plus 1…it needs and x-potion just to become and 6 on the scale of gaming…boring ass game ..simply put…10-2 was better lmaooo
I guess the M$ money all counted toward the budget of S-E's *previous* fiscal year.
p.s. Once again, beaten to the draw (this time by Highlander).
Last edited by Fane1024 on 5/13/2011 3:47:14 AM
FFXIII was a terrible FF, but it was far from a terrible game, tayizfire. Additionally, although I hated FFX-2's dialogue and music, the battle system was perfect.
I join you all in saying "I told you so," but now I'm worried. I get the feeling SE will, instead of going back to what works and makes money, try even HARDER to make faster dumber games that destroy goodness and appeal to some non-existant "Western" gamer who wants to play RPGs polluted with incompatible influences.
haha entertaining post
Good god, what were they trying to swallow that was such a poison pill? Or was it just that in previous years their slush fund check from MS offset their losses?
And there are people out there who believe MS was an over net good for the gaming industry.
Hey, any time you get happy you got a platinum trophy, you just send that Thank You card right on to Redmond.
@High
Poison pill probably = Eidos.
Last edited by Fane1024 on 5/13/2011 3:49:53 AM
That's entirely possible, they bought Eidos for round about $140-$150 million, and the purchase was finalized in April 2009, which puts it into FY10. They just reported FY11 and if Eidos turned out to be much less valuable than the purchase price indicated, this is the first year that the losses could be written down on the balance sheet. I don't think that Eidos was as valuable as their ownership of Lara Croft would have indicated. Also, taking an extraordinary loss on an acquisition is useful in two ways, the first is it provides cover for a year with poor revenue, and the second is that it provides a lot of scope for tax breaks because the asset value of the acquisition has dramatically declined allowing the extraordinary loss to be written to the books.
Given the fact the japanese portion of the industry have been on a massive downturn and certain titles(The 3rd Birthday) bombed at retail it doesn't suprise me as to why SE is currently in this shape
But japanese deevelopers cant expect to succeed just because they are making their games more western.
The western market is already overcrowded with games as it is, at least 50% of the games that hit the market these days don't sell high numbers, they are simply saturating the market at a time when most people can't afford it.
Japanese developers should be making their games more unique, we need something different, im getting bored with all the games that come out these days, because they are all exactly the same. Havn't played ANYTHING of FF quality in years.
I wonder how much of it is natural disaster, and how much of it is due to them alienating their fan base. FF XIII was one of the most beautiful games I'd ever seen, but they failed to make me want to finish it. You can't just call it Final Fantasy because you own the rights to the name. How hard is it to cater to your fans and make millions? Instead they want to try to get some of the COD crowd.
Newsflash to SE: The hardcore CODheads will never care about your RPG's if they didn't before FF XIII. The once faithful would have continued to line your pockets, bad business move anyone?
Can't make games for the stockholders.
Wonder if Final Fantasy XIII Versus will go multiplat now.
As long as Nomura doesn't let Square take it to the chopping block like they did with XIII, I couldn't care less. I just want the damn game to come out at this point.
It will. This is pretty much an unofficial announcement in my eyes.
I hope this doesn't affect FF Versus XIII or XIII-2, or the PSP FF.
If this added info below is correct, then even more bad news for $E, and gamers….
According to Kotaku….
Square Enix has cancelled multiple in-development titles, according to the company's latest financial forecast.
These games were binned as the company is "introducing a tightened selection standard regarding title lineup to strengthen the revenue base of the Company's digital entertainment segment".
The name/franchise of the cancelled titles was not disclosed.
But, but, but, they're just trying to adapt to the environment and do their best to survive in a western market.
/
I giggle every time I hear this because of how patently ridiculous the assertion is and the fact that the people who spout this nonsense have an inability and/or simply refuse to acknowledge that this is the exact reason they are failing this generation.
it was a convenient excuse for people to use in discussing why it was okay to chop up FFXIII for 360.
Heeeeeeey, I said that one time…..
Well, at least you giggled instead of guffawed. Guffaws really sting….
Ahh, let me see, a triple a game is released on both consoles, ff13, and unimpressive games there after.
Oh well.
This is off topic, but has anyone seen the "make your own apology" article on ign? …..Ridiculous.
'No more exclusives from square' thats all i heard.
"If you want everything, you'll end up with nothing". Lulu to Tidus. Final Fantasy X
You know what is hilarious, that is the MOST RELEVANT quote I have ever seen, in regards to squares current predicament…..AND THEY ARE THE ONES WHO PUT IT IN THEIR OWN GAME!!
That comment alone should be mail and/or shown to everyone at Square-enix. Brilliant!