[Financial results]Square Enix HD, third quarter working earnings decreased by 18%!Mainstay HD video games, FF14, and smartphone video games decreased in gross sales and income

Square Enix Holdings Co., Ltd.
Summary of Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023[JGAAP](Consolidated)

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 For the third quarter consolidated cumulative interval, web gross sales have been 255,616 million yen (down 6.6% year-on-year) and working earnings was 41,315 million yen (down 17.6% year-on-year). Ordinary earnings was 50,805 million yen (down 6.7% year-on-year) because of international alternate positive aspects of 10,087 million yen because of yen depreciation in comparison with the top of the earlier fiscal 12 months. Net earnings attributable to homeowners of the mother or father was 46,397 million yen because of positive aspects of 9,500 million yen on the sale of affiliated firm shares associated to the conclusion of a inventory switch settlement to promote abroad studios and a few IP of the Group. yen (up 16.4% year-on-year).

The scenario by reportable section for the present third quarter consolidated cumulative interval is as follows.

○ Digital leisure enterprise
We plan, develop, promote and function digital leisure content material centered on video games. Digital leisure content material is suitable with a wide range of utilization environments, resembling client recreation consoles (together with transportable recreation consoles), PCs, sensible gadgets, and so forth., to go well with the life of consumers.
In the 9 months ended December 31, 2018, amongst HD (High-Definition) video games, “CRISIS CORE -FINAL FANTASY VII- REUNION,” “Dragon Quest Treasures: Blue Eyes and the Sky Rashinban,” Tsunoshuzoku Offline”, and so forth., however in comparison with the earlier 12 months when “OUTRIDERS”, “NieR Replicant ver.1.22474487139…” and “Marvel’s Guardians of the Galaxy” have been launched, income from new titles decreased As a end result, gross sales decreased 12 months on 12 months.
In MMOs (massively multiplayer on-line role-playing video games), gross sales decreased in comparison with the identical interval of the earlier fiscal 12 months because of elements resembling the dearth of growth packages for FINAL FANTASY XIV.
Sales of content material for platforms resembling sensible gadgets and PC browsers declined year-on-year because of weak gross sales of current titles.
Net gross sales on this enterprise for the present third quarter consolidated cumulative interval have been 184,380 million yen (down 12.9% year-on-year), and working earnings was 38,735 million yen (down 21.6% year-on-year).

○ Amusement enterprise
We function amusement services, and plan, develop and promote arcade recreation machines and associated merchandise for amusement services.
In the third quarter of the fiscal 12 months ending March 31, 2018, gross sales and income elevated 12 months on 12 months as current retailer gross sales significantly exceeded these of the earlier 12 months.
Net gross sales on this enterprise for the third quarter consolidated cumulative interval have been 40,883 million yen (up 23.3% year-on-year), and working earnings was 4,100 million yen (up 206.5% year-on-year).

○Publishing enterprise
We publish and license comedian magazines, comedian books, and game-related books.
In the third quarter of the fiscal 12 months ending March 31, 2019, though digital gross sales and paper media gross sales have been robust, working earnings decreased 12 months on 12 months because of a rise in value of gross sales because of value will increase for printing paper, and so forth., and a rise in promoting bills. have develop into.
Net gross sales on this enterprise for the present third quarter consolidated cumulative interval have been 21,071 million yen (up 0.0% year-on-year), and working earnings was 8,360 million yen (down 6.1% year-on-year).

○ Business resembling rights and properties
We primarily plan, produce, promote, and license secondary works associated to our group’s content material.
In the present third quarter consolidated cumulative interval, though gross sales of latest character items associated to highly effective IP have been robust, gross sales elevated however income decreased in comparison with the identical interval of the earlier 12 months because of modifications in gross sales composition ratios by product.
Net gross sales on this enterprise for the present third quarter consolidated cumulative interval have been 11,905 million yen (up 13.8% year-on-year), and working earnings was 2,899 million yen (down 8.5% year-on-year).

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