After perhaps finding some missing accounts behind the fridge, Square Enix has upped its predicted financial losses for the year by twelve times.
Square had initially predicted a loss of around 1 billion yen (around $12.3 million USD) for the financial year ending 31 March, but now revised this total to what the company itself refers to as an ‘extraordinary’ 12 billion yen ($148.6 million). Which is … quite a bit different.
“A tightened selection standard regarding title lineup” in the digital realm, as well as cancellation of multiple unnamed digital projects, were fingered as the reason for around 4.5 billion yen in losses.
Another 8.8 billion yen was accounted for by “a rapidly changing operating environment and more prudent estimates of future cash flows.” In addition, damages from the Tohoku Pacific Ocean Earthquakes and Tsunami were estimated at 0.6 billion yen.
Skilled mathematicians will have realised that this adds up to around 13.9 billion yen, which is even more than the newly estimated 12 billion – but perhaps this is offset by other profits.
Either way, Square will be hoping that August’s release of can start them off on a stronger financial footing this year.