Marvelous, the developer of Rune Factory and Story of Seasons, recently released an earnings report covering the first three quarters of the 2024 fiscal year. Unfortunately, the company’s sales and revenue declined compared to 2023. According to GameBiz, President and CEO Suminobu Sato decided to step down on March 31 and continue working as a director. On the other hand, current director and executive officer Shinichi Terui will step up on April 1.
In addition to Sato’s resignation, the Rune Factory developer also plans to reduce the executive compensation of the two full-time directors by 10 percent. This reduction will last for two months, from February to March. According to Marvelous, the move is intended to demonstrate management’s responsibility for the company’s poor sales.
Marvelous attributed the decline to a limited number of core IP releases and weak sales of new titles. Last year, the Rune Factory developer released only Farmagia and the Story of Seasons: Friends of Mineral Town remake. Farmagia underperformed, while the Story of Seasons remake only achieved decent sales. The company reported a 4.8 percent decrease in sales and a 12.4 percent drop in 2024. Additionally, the developer adjusted its full-year earnings forecast, anticipating that both net profit and sales would fall short of its targets.
The next major release from Marvelous is Rune Factory: Guardians of Azuma, scheduled for release on May 30, placing it outside the 2024 fiscal year. Compared to Farmagia, Rune Factory has an established fanbase, which is expected to boost sales. While the company’s performance in 2025 remains uncertain, the new game will likely contribute to its earnings this year.
Leadership taking pay cuts or even stepping down is not uncommon for Japanese companies. Even so, many fans responded positively to the news, viewing Sato’s resignation as a responsible decision. “Why is it you’ll never see a Western company’s leadership take any form of responsibility like this in light of poor performance?” one fan commented. “Really refreshing to see and be reminded that there are some leadership teams with a moral compass left in this industry.”
Some Redditors even poked fun at Western game developers, who often lay off lower-ranking employees to cut costs rather than reducing the CEO’s salary. “Why is the company’s leadership taking the fall for these problems? Shouldn’t it be the rank-and-file developers and support staff who suffer for the company’s performance, rather than the people most responsible?” one Redditor joked.
Others remarked that Marvelous games have been quite disappointing in recent years. Many feel the company has lost its identity and that its games lack substance. Fans hope the developer will begin releasing quality titles beyond just Rune Factory.
