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EnricoPallazzo on 07 July 2020
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PAOerfulone said:
EnricoPallazzo said:
I wonder how successful from a financial point of view final fantasy is.
A lot of those 9 million units sold for FFXV were under promotion prices and considering the game took almost 10 years to be released makes me wonder if they were able to have a profit with the game at the end of the day. Probably yes much much less than FF7-FF10 when the time to develop the games was much shorter and the teams much smaller.
Maybe this was one of the reasons to go with FF7 remake? Guaranteed sales?
Anyway considering how we expect excellence and graphical fidelity from a main FF game, it seems to me the cost to develop it will be really high and will demand sales of at least 10 million units to be a success.
It definitely must be a difficult decision when planning FF16. Lets wait and see.

The game shipped 5 million units at launch weekend, which was enough to "break even" on development costs. It was the fastest selling launch in franchise history at the time.

So yeah, I think they were able to make a little profit off the game. Juuuust a little.

Thats not how it works, I work in Finance and I can tell you that financial news releases from companies will do everything they can to be vague and paint a good picture since most of the people do not have a proper knowledge of how it works.

For example, what exactly covers the development costs? The total revenue generated by the sales or juts the portion that stays with square? The number already exclude taxes? The development costs includes the other products related to FFXV that may not had good sales, like to 2 hour movie and the other related games? Does it include all the marketing expenses? Was there any write off of costs when the game was still called FF Vs? What about the development costs post launch? Also, development costs does include overhead costs, what about the net final profitability after all overhead costs?

We will never know the answer to those questions and believe me, they will never tell us in their financial statements.

Im not saying the game had a loss, just saying the probably the net final % profitability of the game was probably lower than the good old FF7-FF10 times.