Square Enix have announced 22.1 billion yen (around £112m) in "content abandonment losses" for the fiscal year ending March 2024.
The loss is the result of the publisher being "more selective and focused in the allocation of development resources," suggesting they have cut funding to or cancelled undisclosed projects.
The loss and increased focus come "in light of the myriad changes underway in the environment surrounding" the company, according to the brief statement made to shareholders.
This announcement follows several months of similar rhetoric from the publisher. Earlier this year, Square Enix announced changes in structure designed to reduce its reliance on external resources "and focus more on in-house triple-A games." Those changes included the long-serving producer of Dragon Quest games stepping away from the series.
In other recent financial updates, Square Enix have continued to talk-up their plans for utilising both the blockchain and AI in the development of future games.