Square Enix lowers financial forecast in wake of slow sales
Square Enix has revised its financial forecast (PDF) for both the six month period ending September 30 and its fiscal year ending March 31, 2013. Expected sales for the six month period have been reduced from ¥76 billion ($952 million) to ¥61 billion ($763 million). Projected net income for the period has been reduced from breaking even to a ¥5.4 billion loss ($67 million).
The fiscal year forecast, meanwhile, has dropped from ¥165 billion ($2 billion) to ¥150 billion ($1.8 billion), with expected net income dropping from ¥9 billion ($112 million) to ¥3.5 billion ($43 million).
The reasons behind the revision in the six month period, according to Square Enix, were "sluggish sales" of new arcade machines and that "sales of a major HD game title have been growing at a slower pace than expected." Presumably, the game in question is Sleeping Dogs, which was released this past August to generally favorable reviews. The notice also cites the "delays of a social game service launch." Fiscal year revisions were made in light of the aforementioned issues and "uncertainties of the business environment."
Square Enix's next major release is Hitman: Absolution. Agent 47 returns on November 20.
