Square Enix (9684) Q3 2026 earnings summary

Executive summary

• Net sales for the nine months ended December 31, 2025, were ¥215.4B, down 13.3% year-over-year, while operating income rose 39% to ¥46.4B and ordinary income increased 40.8% to ¥53.2B.

• Profit attributable to owners of parent was ¥25.6B, up 3.6% year-over-year, despite ¥11.95B in reorganization costs.

• Operating income and margins rose significantly year-over-year, driven by improved profitability in Digital Entertainment and higher income from Merchandising and Amusement.

• Foreign exchange gains of ¥5.54B contributed to higher ordinary income.

Financial highlights

• Gross profit for the period was ¥93.4B, with a gross margin of 43.3%.

• Earnings per share (basic) were ¥71.03, reflecting a stock split.

• Comprehensive income was ¥23.8B, down 4.5% year-over-year.

• Total assets increased to ¥423.4B, and net assets rose to ¥342.2B.

• Cash and deposits increased to ¥251.0B as of December 31, 2025.

Outlook and guidance

• Full-year net sales forecast is ¥280.0B, unchanged from previous guidance.

• Full-year operating income forecast raised to ¥49.0B (up ¥8.0B from prior guidance).

• Full-year profit attributable to owners of parent forecast increased to ¥27.0B (up ¥10.1B from prior guidance).

• Earnings per share (basic) forecast at ¥74.90, reflecting the stock split.

• Dividend per share maintained at ¥129 (pre-split) or ¥43 (post-split), with year-end projection at ¥25.00 per share post-split.