Marvel’s Avengers haven’t recovered development costs yet

Marvel’s Avengers sales were lower than expected, games haven’t recovered development costs yet, with an estimated operating loss of JPY7bn in Square Enix’s HD games segment last quarter. Brought. “Marvel’s Avengers sales were lower than expected and we couldn’t completely offset the amortization of game development costs,” Yosuke Matsude said in a newly translated results briefing.

Game analyst David Gibson previously explained: The company sold 60% of the planned units, And that number shows that the cost of producing the game is about $ 100 million.In response to an investor question on the matter, Matsuda stated that the company would have been profitable if the Avengers hadn’t been released that quarter. It comes down to both development and marketing costs.

“In addition to amortizing the development costs of the game, another key factor related to the title was the fact that we launched a large advertising campaign to make up for delays in marketing activity at launch. COVID-19 From the pandemic. We still have some development costs amortized in the third quarter, but we hope to grow sales and recover in the future. “

Matsuda hasn’t made any specific plans, but said he hopes the update will help drive new sales. Last week, developer Crystal Dynamics announced the December release date of the first hero and campaign after launch, announcing another hero, and potentially making fun of other heroes.
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