Square-Enix’s quarterly financial report shows a marked improvement from last year. In 2012, Square-Enix reported a ¥2.01 billion ($21 million) loss in the April-May-June quarter, while this year their losses were only ¥493 million ($5 million).
This is purely speculation, but the company’s economic upturn may have to do with a shift in expectations. Hitman: Absolution and Tomb Raider both sold well, but Square-Enix expected them to sell way better. Perhaps they saw the sales they were capable of and scaled back production costs to match.
Squeenix is still in the red, but hopefully their financial improvement will continue until they’re profitable again. Final Fantasy IV‘s relaunch is right around the corner, and if it lives up to the hype currently surrounding it it could become quite the cash cow.