Tecmo Koei CEO quits as losses mount

Following 27.5% drop in sales, Kenji Matsubara announces plans to step down for personal reasons; Koei cofounder Yoichi Erikawa taking over.

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Today Tecmo Koei reports its earnings for the six months ending September 30, 2010. According to a translation by Japanese gaming blog Andria Sang, the period saw sales fall 27.5% to ¥11.1 billion ($136.3 million). The company's operating loss more than tripled, going from ¥349 million ($4.3 million) to ¥1.1 billion ($13.6 million).

Trinity: Souls of Zill O'll's delay was one reason behind Tecmo Koei's increased losses.

The company's game division was the biggest money loser, reporting a loss of ¥1.6 billion ($19.7 million). That loss took away profits made by the company's other sectors, including amusement facilities and merchandising. Company officials reportedly blamed the shortfall on development costs for future titles and a delay of the action role-playing game Trinity: Souls of Zill O'll.

Tecmo Koei's sharp losses were almost overshadowed by some boardroom drama. Kenji Matsubara, the president and CEO of Tecmo Koei Holdings, announced at a board meeting that he is resigning for personal reasons. Matsubara is also stepping down as president and CEO of the Tecmo Koei Games label. He will reportedly be replaced in all four positions by Yoichi Erikawa, cofounder of Koei.

Discussion

54 comments
digi-demon
digi-demon

Where is DOA5 already?....everyone knows that 'Team Ninja' are/were the only real performers/talent behind this company...Ninja Gaiden Xbox 1 FTW!

nurnberg
nurnberg

I heard they are taking the right steps to correct the situation. They decided to make Ninja Gaiden 3 into a Dynasty Warrior engine. LOL!

Rizion89
Rizion89

Some ideas that may save Tecmo-Koei: 1. a new Dead or Alive. Not a paradise game, but a straight up Dead or Alive. 2. Take Ninja Gaiden back to its roots. Bring back the gore and hardcore gameplay. 3. Really put the polish on Ni-Oh. The Kou Shibusawa story telling is great, but allow the Ninja Gaiden team some access to the actual gameplay. This game should be just as theatrical as it is fun. 4. More DS titles are nice. DS games are cheaper to make, and should it be pretty decent, it could sell very well. 5. Rehash the entire DW franchise. DW6 did not count as a reboot. They should build it from the ground up. Instead of the 3 Kingdoms period, switch it to something like the foundation of the Han or perhaps the expansion of the Ming Empire or even Qin Shi Huang's reign. New characters, new story, new combat system and level progression. They could even fictionalize any era into something more Final Fantasy esque if they wanted to.

Threesixtyci
Threesixtyci

That's what they get for not bringing over Fatal Frame 4 to the states and handing the FaFr series to Nintendo....

Mr_BillGates
Mr_BillGates

Well first, they need redo DW entirely and release it to their hungry fans.

Heartagram_03
Heartagram_03

Maybe another Dynasty Warriors game will save them. :P

gbyd
gbyd

On one hand i'm sad because I love their archaic formula for games like Dynasty Warriors, Dynasty Warriors Gundam, Samurai Warriors, Fist of the North Star, Warriors of Troy. That being said, most of these games, and especially all the newer games, are complete jokes. So it truly was a long time coming, let's hope they pull through it though.

Khalathwyr
Khalathwyr

Would be nice if Koei would make an effort to sell its strategy series of games in the west. All we get are fighting type games. Lines like Nobunaga's Ambition, Bandit Kings of Ancient China and Ghengis Khan need to be updated and pushed west.

Megavideogamer
Megavideogamer

Temco Koei They are a long standing game developer. Hopefully they will be able to turn this around. Not just die in bankruptcy. Itagaki will rebound to greener pastuers.

megakick
megakick

stop making dynasty warriors clones and bad games. make another DEAD OR ALIVE already

majere613
majere613

So, Tecmo part company with their most famous designer (Itagaki), fail to do anything with one of their longest-running and most popular franchises (DOA) and then hook up with a company famous primarily for making the same game over and over again, and sales suffer. Who'd have thought?

DanBal76
DanBal76

The awful Gears of War clone called Quantum Theory didn't help either. I miss the good old Tecmo of Ninja Gaiden, Fatal Frame, Dead or Alive, etc.

XxFulgrimxX
XxFulgrimxX

F' that, Fist of the North Star: Ken's Rage (aka Hokuto Musou) is an amazing game.

wolfyrabbit
wolfyrabbit

I can just imagine the smile on the creator of DOA's face

shabulia
shabulia

Well, I guess Koei should have gone with SquareEnix whenthey wanted to buy them out. Seems to me that always making Dynasty Warriors games has drawbacks.

mcsaten6669
mcsaten6669

to add insult, the tab to the right says Blizzard reported $745 million. i guess people like world of warcraft over dynasty warriors lol

FinalDuo1886
FinalDuo1886

I hate too be that "jerk", but this was a long time coming.

Hanzoadam
Hanzoadam

Make some more DOA or Dynasty warriors that isn't strikeforce then, Then I'll start giving you money again, actually make a new samurai warriors for PS3 and DOA 5

Kratos_OMEGA
Kratos_OMEGA

Stop making **** games like Quantum Theory then.

drangel_jam
drangel_jam

Well, as we see, in the end it's all about the games. Hopefully the next Ninja Gaiden and DoA games will be groundbreaking, because if they use the same old engines, they will feel like cash-ins, and people won't buy them, which will be final blow for Team Ninja.

thisranks
thisranks

This is a shame. I'd personally love to see a new Deception, Romance of the Three Kingdoms, and Nobunaga's Ambition for my PS3.

Phil-teh-Pirate
Phil-teh-Pirate

I'd hate to see Koei go before they release a truely awesome Dynasty Warriors game, I still jump back to Dynasty Warriors 4 + Xtreme Legends and Empires for a good time. And Kessen! Where is the new Kessen game? 2 and 3 were truely awe inspiring, and even more than that...wheres a new Samurai Warriors on a next gen console (i.e PS3, 360). AND WHAT ABOUT GITAROO MAN! MY GOD!

kavadias1981
kavadias1981

If you look at their catalogue of games you can see how their designers have stalled. Gameplay which belongs on the PS2, lack of innovation, even character design is still the same, as well as all their games. It is time for the company to wake up, expand their horizons a little and reignite that creative spark, because if they carry on down this road, they are sunk.

KnightsBlazing
KnightsBlazing

@Ranma_X_basic Fist of the North Star: Kens Rage is amazing game dont trust reveiws Iv put 60 hours already in still havnt gotten tired of it They Dynasty Warriors games also arnt enterly the same becides diffrent chars tho I perfer Empires and Samurai Warriors more

MJ12-Conspiracy
MJ12-Conspiracy

Dynasty Warriors was fun up to DW5, DW6 was horrible, I liked Samurai Warriors 2 on PS2 but never really wanted to go back to it now that I have the 360. The DW Gundam games are laughable. I was a big NES Ninja Gaiden player back in the day, defeated Bloody Malth once, Played through most of Ninja Gaiden II, I love those games but the new ones I don't. They are a kind of difficult I can't do. I'm playing Demon's Souls at the moment so I do play difficult games on occasion but to me ninja Gaiden get's it's attention because it looks pretty.

jhcho2
jhcho2

[This message was deleted at the request of a moderator or administrator]

Ranma_X_basic
Ranma_X_basic

people still buy or rent Koei games? personally i've never played a single Dynasty warriors game or the countless spinoffs cause each game is identical to the last. just they put new playable characters in each game. And i've seen the reviews of fist of the north star and they're not positive reviews either.

DevilD2005
DevilD2005

I think the problem is they are focused on too many spin off games. I buy them, I wont lie. I love them, but they need a new flaship series. Gundam Musou will find its fans, but I think rather than shelling out other titles like Fist of the North Star, I think they need to focus on something orignal and would apeal to a broad audiace.

KamuiFei
KamuiFei

I used to like Dynasty Warriors, but they stopped being good after 4. Then the spin-offs started and...yea... this news isn't too surprising. Ninja Gaiden 3 is probably the only thing that can save them at this point.

angelbless
angelbless

Another HUGE mistake : Not bringing Fatal Frame IV to America and Europe

OmegaGear
OmegaGear

Well, when your whole gameplan is more and more Dynasty Warrior games and themed spin offs, what did you expect? That game was never a winning formula. I hope this trend the company is in doesn't make them pressure the NG3 development. Although, maybe now they'll look into more DoA games, because its been years since they've seriously dipped into that franchise. No, I don't count that beach volleyball/paradise BS.

SDBusDriver1979
SDBusDriver1979

Regret not letting Square buy you out yet Tecmo? Regret losing the only person who gave your company an identity? I hope you die Koei for that abominable Dynasty Warriors Gundam 2.

OJ_the_LION
OJ_the_LION

I can't really think of anything really big they've released since the merger. I used to be a big Dynasty/Samurai Warriors fan. However, since DW6 was a disappointment and they apparently refuse to actually develop more games on the consoles people have (like a good new Ninja Gaiden, DoA or DW game on PS3 and 360) of course they're in bad shape. I think Tecmo Koei is a good example of what happens to Japanese companies that refuse to evolve with the times and develop more quality original IPs for the two major consoles as opposed to endless spinoffs/remakes on portables and Wii. Capcom has seemingly learned the lesson with a hiccup in Loss Planet 2, but Square Enix needs to shape up or they will quickly end up in the same boat.

clqtte
clqtte

New Romance Of The Three Kingdoms,please.......

clqtte
clqtte

Trinity: Souls of Zill O'll's delay was one reason behind Tecmo Koei's increased losses.Delay is meant money lost,seriously...

godzillavskong
godzillavskong

@Hillsv, I agree. They really haven't released anything solid in a while. Plain and simple. Another Dead or Alive could help them out, or maybe a true next gen Tecmo Bowl!

Hillsy_
Hillsy_

Might help if they brought out a decent game, one that is actually worth buying.. Oh well..expect another Ninja Gaiden or Dead or Alive then soon.

godzillavskong
godzillavskong

@vixingtpot, What? Microsoft bribing the Japanese devs to make easy PC game engines? Are you serious? You sound crazy! Microsoft being in the console market only intensifies the competition.So you must think that Sony bribed those same devs to make easy PS3 game engines, and ignore the Dreamcast? Silly.......

yixingtpot
yixingtpot

Microsoft has ruined console gaming as it once was, about consoles... not PC gaming/Microsoft. Now it's all bribed to support XBROKE dvd level over even PC which M$ controls via Windows. The Japanese in turn have either been bribed to make easy PC game engine games or just give up since they don't have the courage to make full on Blu-ray level game engines. M$ gives them money up front to NOT MAKE Blu-ray games but poop them out at DVD level using PC game engines... the easy way out.

dw9872
dw9872

Dynasty Warriors is the Nickelback of video games. It's the same crap over and over again.

IdolConverge
IdolConverge

That'll show them not to make games like Quantom Theory *shudders* It seems like Japanese developers are leaving left and right, first Kenji Inafune, now this. Quite the sad year for Japanese developers :(

advocacy
advocacy

All they need to do is release another Dynasty Warriors game and the entire Japanese nation will buy.

deth420
deth420

...Damn alot of hate rolling out here! They are both decent companies, yes they need to update the game engines for DW, and basically remake it. the game sells every time they put one out. but yes the need to refresh the series with something spectacular! dunno theres 2 cents....

The_Wild_Tiger
The_Wild_Tiger

As much as I love Dynasty Warriors........you've really got to try something new now Koei. Dynasty Warriors games have just been getting worse in every release and no a DW MMO wont bring me back, I used to be a HUGE DW fan but now i'm starting to outgrow them because they just keep getting worse and never offer anything new. You've had a decade to remake DW3 over and over again.....it's time to start fresh.

Animatronic64
Animatronic64

Uh, I'm not surprised. A majority of Koei's games are either complete **** or mediocre.