Square Enix admits Final Fantasy 7 Rebirth and Final Fantasy 16 profits “did not meet expectations”

Square Enix has acknowledged that the financial performance of Final Fantasy 7 Rebirth and Final Fantasy 16 “did not meet expectations.” This revelation was part of their financial results briefing held earlier this year, which was made public recently.

During the briefing, Square Enix president Takashi Kiryu addressed the company’s performance in the HD Games sub-segment. He remarked, “We released multiple new titles, including major releases like Final Fantasy 16 and Final Fantasy 7 Rebirth, but profits unfortunately did not meet our expectations.”

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Kiryu also noted that the initial sales of both Foamstars and Final Fantasy 7 Rebirth, which launched in the last quarter of the previous financial year, were “not as strong as expected.”

These comments were made amid Square Enix’s announcement of an “aggressive” shift towards a multiplatform strategy. Shortly thereafter, reports surfaced regarding layoffs across its US and European offices.

At the time of the announcement, Final Fantasy 16 had been available for a year, while Final Fantasy 7 Rebirth had only been released for a few months.

Speculation surrounding the sales performance of Final Fantasy 7 Rebirth has been rampant, with industry analysts suggesting that the title has underperformed. Sales tracking data previously indicated that while Final Fantasy 7 Rebirth was the fourth top-selling game in the US, it lagged significantly behind the sales figures of its predecessor, Final Fantasy 7 Remake.

This acknowledgment from Square Enix represents the first official recognition of the game’s sales challenges. However, the specifics of how much the game “underperformed” remain unclear, as Square Enix is known for its high expectations.

In the time since this financial report, several notable developments occurred. The expansion of Final Fantasy 14, titled Dawntrail, was launched in July, likely contributing positively to the company’s overall profits. The next financial briefing will provide further insight into this impact.

Additionally, Final Fantasy 16 has recently made its debut on PC, marking an important step in the company’s strategy to broaden its platform reach.

While Final Fantasy 7 Rebirth currently remains a PlayStation 5 exclusive, a future release for PC is anticipated, following the pattern established by Final Fantasy 7 Remake.

Furthermore, discussions have arisen about the potential for these games to be made available on Xbox. The producer and director of Final Fantasy 14 expressed a desire to “deepen the relationship with Xbox gamers” following the MMORPG’s successful launch on Microsoft’s console.