After much speculation, Square Enix has confirmed that Final Fantasy 7 Rebirth failed to meet its sales expectations, despite impressive critical reviews and positive word of mouth on launch. Per Bloomberg, Square Enix president Takashi Kiryu recently told analysts the game fell short on expected revenue and profit, which comes as a surprise, given the success of Final Fantasy 7 Remake.
Notably, this title was one of the best-selling games of the PlayStation 4 generation, and had sold over 7 million copies worldwide (across its original release, and the Intergrade chapter) as of September 2023. This likely encouraged Square Enix’s sales predictions for Rebirth – although it is worth noting Remake’s sales figures were influenced by a multi-platform release strategy, and the game’s position as one of the first major game release of the pandemic era.
It’s difficult to tell which factors influenced Rebirth‘s seeming sales disappointment, but cost of living expenses and other financial challenges may have played a part. Post pandemic, game sales have slowed significantly, and Square Enix isn’t alone in reporting less-than-average sales.
Read: Final Fantasy 7 Rebirth – Review
Alongside Final Fantasy 7 Rebirth, Square Enix has also reportedly confirmed that Final Fantasy 16 and Foamstars are in a similar boat. All three games have fallen short of revenue and profit expectations, contributing to a drop in operating income. For the year, Square Enix is now anticipating operating income of ¥40 billion, instead of its originally anticipated ¥57 billion figure.
In a breakdown, Kiryu reportedly claimed Final Fantasy 16‘s momentum failed to keep in line with expectations. While it sold well around launch, it fell short of its goal for the financial year.
Final Fantasy 7 Rebirth and Foamstars reportedly fell short at launch, and continued to sell below expectations for the reporting period. While Final Fantasy 16 is expected to achieve its longer-term goals as anticipated, both Rebirth and Foamstars have a significant gap in expectations that will be difficult to make up.
This news follows the release of a major Square Enix overhaul. Recently, the company detailed a three-year plan to revamp its business, with a fresh multi-platform release model being a core focus going forward. As part of this business plan, employees in Square Enix Europe and Square Enix US will be laid off. Some in-development games have also been cancelled.
