Recently, Marvelous, which owns well-known IPs such as "Rune Workshop" and "Harvest Moon", announced its interim financial report for fiscal year 2025.Data show that despite its core game business sales soaring 98.1% year-on-year, the division still recorded an operating loss of approximately 700 million yen (approximately US$7 million).

During the reporting period, the company launched two new works that have attracted much attention: "Rune Atelier: Dragon World" opens a new chapter in the series with a mythical and Japanese world view, and "Harvest Story: Come on!"Bustling Bazaar of Winds is a modern reimagining of the 2008 classic farming simulator.Both works have received favorable reviews from the media, and according to official confirmation, each has sold more than 500,000 copies.In comparison, the market performance of the mecha action game "Mecha War Demon: Descendants of Myth" released in the same period was slightly flat.

Why is revenue growing but losses are occurring?The financial report shows that the cost of sales (i.e. development expenses) during the same period soared 114.8% year-on-year, significantly compressing profit margins and ultimately causing the game department to fail to break even.Looking to the future, Marvelous plans to promote "Rune Workshop: Dragon World" and "Harvest Moon" through continuous updates and DLC content.The subsequent sales growth of "The Bustling Bazaar of the Wind" and "Mecha War Demon: Descendants of Myth".

What do you think about this? Do you think game development does not require so much investment?Welcome to discuss in the comment area.