By Sagar V. Mankar 
Square Enix‘s latest remake, Dragon Quest 3 HD-2D, has emerged as a remarkable success story, shipping over 2 million copies through digital downloads and physical sales. The game’s performance has surpassed the company’s initial sales projections, marking a bright spot in an otherwise challenging financial period.
The game’s success in Japan has been particularly noteworthy. Here, the remake sold more than 1 million physical copies. According to Famitsu, it became the top-selling game in the country for the entirety of 2024 within just one week of its release.
However, the broader financial picture for Square Enix shows some concerning trends. The company’s latest earnings report for the last 9 months [April to December 2024] reveals a 10.7% decrease in overall gaming net sales compared to the previous year, accompanied by a 9.9% drop in profits.
This downturn is partly attributed to a decrease in performance from its HD games segment. Titles such as “Visions of Mana,” “Life is Strange: Double Exposure,” and “Fantasian Neo Dimension” did not match the previous year’s successes like “Final Fantasy XVI” and the “Final Fantasy Pixel Remasters.”
The mobile gaming sector has experienced the most significant setback, with net sales plummeting by over 32%. This decline follows Square Enix’s decision to shut down several mobile titles, including popular games like Final Fantasy: Brave Exvius and Final Fantasy 7 battle royale The First Soldier. Despite these closures, mobile gaming still generates substantial revenue, contributing 5.6 billion yen in profits.
On a more positive note, the MMO division has shown growth in both sales and profits, primarily driven by the successful launch of Final Fantasy 14’s latest expansion, Dawntrail. This segment generated 17.3 billion yen profit, outperforming both mobile and HD game divisions.
Looking ahead, Square Enix is developing a mobile version of “Final Fantasy XIV.” While a release date has not been announced, the game is expected to be free-to-play without gacha mechanics.
In terms of future projects, the third installment of the “Final Fantasy VII” remake trilogy is still in development. Additionally, “Final Fantasy XVI” and “Final Fantasy VII Rebirth” were recently released on PC as part of the company’s new multiplatform strategy. Xbox ports of these games are anticipated, and there is speculation about “Final Fantasy” titles coming to the potential “Switch 2.”
Furthermore, HD remakes of “Dragon Quest I” and “II” are scheduled for release this year, with expectations of strong sales.