Shadows Hearts returns with a bigger budget (as well as other things).
Gameplay: The whole presentation, mechanics and interface are very much improved. The battle system is even better and more fresh than the originals and the dungeons are also fun to play thorough. The story is written well, although it has a different feel from the original.
Sound: As with the first game the sound is nothing to brag about. That doesn't mean it's horrible either. Sound effects are great. The voice acting is also done very well.
Extras/Unlockables: The value in this game is astounding. I spend at least 40 hours just going through the regular game and doing a few sidquests. There are a ton of them (sidequests), two endings and even a new game+ feature. Again, lots to do.
So if your a SH fan, this game is a must for your library. Other rpg fans should also check this out. It might have lost some of the atmosphere of the first game, but everything else is very much improved.