In a recent investor's meeting, Square Enix stated that the recently released Final Fantasy XVI game has not met their high-end sales expectations.
Main reason is due to the huge sums of money they spent developing the game that they had expected would have been very quickly recouped. Some of the blame was also put on their year-to-year net sales decline in their MMOs division and also the PS5 since they were expecting a higher PS5 userbase by now and game sales from that platform when they made the decision to release the game only for that console.
There was also some confusion regarding some translation-related issues from Bloomberg over what Square Enix's President Takashi Kiryu had stated with some people and gaming websites being under the assumption that the game failed to hit SE's general sales expectations for it.
Link:
https://www.bloomberg.com/news/artic...mobile-setback ,
https://www.destructoid.com/final-fa...-expectations/