Square Enix lost $200 million from its two Marvel games

Crystal Dynamics' Avengers and Eidos-Montreal's Guardians of the Galaxy Marvel games cost Square Enix $200 million in losses.

@DeekeTweak
Published Tue, May 3 2022 11:40 AM CDT   |   Updated Tue, May 24 2022 8:54 PM CDT

Square Enix's two Marvel games have led to hundreds of millions of dollars in losses, reports indicate.

Square Enix lost $200 million from its two Marvel games 96 | TweakTown.com

Square Enix is cutting its losses and selling Crystal Dynamics, Eidos Montreal, and a bunch of IPs including Tomb Raider and Deus Ex to Embracer Group in a deal worth $300 million. We've talked in length on why Square Enix is selling, but one word summarizes it all: losses.

According to MST Financial senior analyst David Gibson, Square Enix lost a whopping $200 million from Marvel games Avengers and Guardians of the Galaxy: "In a little under two years, Square Enix lost $200 million on two Marvel games."

Crystal Dynamics' failed live game Avengers actually did so poorly that Square Enix changed how it reported its revenues to investors.

The game's performance was unpredictable and volatile, leading to two straight quarters in operating income losses in its HD Games sub-segment. Square Enix took a write-down worth roughly $10.6 million in Q2.

Shortly following declaring these losses, Square Enix decided not to report operating profit for HD Games any longer.

Avengers, Guardians of the Galaxy, and the two studios that made them will soon be owned by Embracer Group.

Buy at Amazon

Deus Ex: Mankind Divided - Xbox One

TodayYesterday7 days ago30 days ago
$9.50$9.50-
* Prices last scanned on 5/25/2022 at 3:40 pm CDT - prices may not be accurate, click links above for the latest price. We may earn an affiliate commission.
NEWS SOURCE:twitter.com

Derek joined the TweakTown team in 2015 and has since reviewed and played 1000s of hours of new games. Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

Newsletter Subscription

Related Tags

Newsletter Subscription
Latest News
View More News
Latest Reviews
View More Reviews
Latest Articles
View More Articles