Record results for Square Enix

Publisher Square Enix has posted its best annual financial results since the merger of Square Co and Enix Corporation in 2003.

For the 12 months ending March 31st 2010 operating income was up 130 per cent at YEN 28,235m. Net income was up 50.1 per cent at YEN 9,5m and recurring income shot up 147.1 per cent to reach YEN 27,822m.

Net sales increased 41.7 per cent to YEN 192.257m.

Taking the company’s games operations in isolation, net sales jumped 128.4 per cent to YEN 109,949m and operating income jumped 254 per cent to YEN 23,814m.

Throughout the period the publisher released three titles that sold over 3m – Final Fantasy XIII, Dragon Quest IX and Dragon Quest VI. In addition, two more sold over a million copies – Batman: Arkham Asylum and Kingdom Hearts 358/2 Days.
Europe was also a star performer finishing just behind the US in raw value terms, with net sales in the region jumping by 320.1 per cent to YEN 28,229m, though an overall operating loss of YEN 1,369m was suffered at the unit.

US sales were up 112.7 per cent at YEN 28,551m and net income grew by 17.9 per cent to YEN 3,216m. Japanese sales were up 24.2 per cent at YEN 151,067m and operating income hit YEN 1,827m, up 124.2 per cent.

There was a fall in net sales of mobile phone content, dropping 6.9 per cent to YEN 10,171m. Operating income increased by 8.1 per cent to YEN 4,593m.

We are pleased to achieve the highest net sales, operating income and recurring income since the merger in April 2003,” Square Enix president Yoichi Wada stated.

During the year we also successfully acquired and integrated UK based Eidos with a goal of expanding our own powerful IP line-up and strengthening our business platform in North America and Europe. Furthermore, we were able to raise our ability to meet the rapidly changing operating environment by our streamlining of the Group’s headcount and asset levels.”

For fiscal 2011 net sales of YEN 160,000m are predicted with an expected operating income of YEN 20,000m and net income of YEN 12,000m.