You win some you lose some right? That's the case with Square Enix's financial forecast. The company has lowered its earning forecast for the first half of this fiscal year. In short, this means bad news for shareholders, but potentially good news for gamers. Why? Think about this: When a company has high earnings there really is no reason to see price cuts on games. But when things are suddenly no so rosy, as here, there is the potential to see lower prices which of course get passed on to consumers.The hard numbers: Square Enix has reduced new sales expectations by 10.5 percent to$846 million, below what they took in during the same period last year.Net income projections were also lowered to USD $21 million. Reason? "challenging operating environment" and "slow growth" in new games is the official line. Translation: the economy is still shaky, and we didn't make as much as we projected. Oops.This is not to say that the company is in any financial straits (it IS Square Enix!), but so much for the video game industry being recession proof! Source: JoystiqADD ARTICLE:
View the Original article
0 comments:
Post a Comment