Capcom Profits Up 865% Despite Darkside Chronicles
Disappointing Darkside Chronicles sales doesn't dampen the occasion.
Capcom announced healthy earnings numbers this week, revealing that from 1st April to 31st December 2009 the company had an increase in sales and profits over last year's levels.
This was achieved with the success of Monster Hunter Tri, Resident Evil 5 and Ace Attorney Investigations: Miles Edgeworth among others, which saw “steady” sales. Resident Evil: The Darkside Chronicles and Okami had “slow sales” however, and the state of the arcade culture hit Capcom in Japan.
But overall it's great news, with sales up 5.9 per cent at 50 billion yen (or $550.8 million) over the last year, and overall profit up 865.9% at 1.7 billion yen ($18.7 million). Next round of drinks are on Capcom, then!
via GamePro
This was achieved with the success of Monster Hunter Tri, Resident Evil 5 and Ace Attorney Investigations: Miles Edgeworth among others, which saw “steady” sales. Resident Evil: The Darkside Chronicles and Okami had “slow sales” however, and the state of the arcade culture hit Capcom in Japan.
But overall it's great news, with sales up 5.9 per cent at 50 billion yen (or $550.8 million) over the last year, and overall profit up 865.9% at 1.7 billion yen ($18.7 million). Next round of drinks are on Capcom, then!
via GamePro
Companies:
Capcom
Games: Ace Attorney Investigations: Miles Edgeworth Monster Hunter Tri Okami Resident Evil 5 Resident Evil: The Darkside Chronicles
Games: Ace Attorney Investigations: Miles Edgeworth Monster Hunter Tri Okami Resident Evil 5 Resident Evil: The Darkside Chronicles
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Comments
NiktheGreek 3 Feb 2010 01:14
1/2
the state of the arcade culture hit Capcom in Japan
That's interesting! I wonder if you could elaborate upon this? Actually, don't worry because, erm, I'm reading the company's financial report now.
The full story is more like this: arcade operating sales fell by 11%, but the company had implemented a strategy to improve profitability and as such operating income rose to 448 million yen (compared to a loss of 113 million yen last year). Meanwhile, arcade machine sales fell dramatically (58.5%!) and that division made a loss of 63 million yen, compared to an income of 381 million yen last year. In total, Capcom's arcade operations netted 385 million yen for the company in this accounting period.
So, what do we learn? Capcom runs arcades profitably (which it wasn't doing last year), but is losing money on selling arcade machines (which it wasn't doing last year). This time last year, Capcom's combined operating income across these sectors was 268 million yen, so this year it appears that the company is making more money despite falling sales.
Now, why might sales be falling? Well, I can't speak for the state of arcade attendance in Japan, but last year's machine sales figures included Street Fighter IV and Tatsunoko vs. Capcom - a large temporary sales boost, considering the lack of meaningful Capcom arcade releases these days. The lack of anything to follow them up could well be the cause...
Dreadknux 3 Feb 2010 09:00
2/2
Yeah, it very much seems like Capcom are suffering on one hand, but more than making up for it on the other - both in terms of the home and arcade market.
It's been no secret that the arcade scene is starting dwindle in Japan - it was really made clear when I visited Tokyo last year. I don't think it will ever die out, it's just that when faced with falling sales due to a lack of arcade demand, companies like Capcom have to think outside of the box to survive in that field.
It's been no secret that the arcade scene is starting dwindle in Japan - it was really made clear when I visited Tokyo last year. I don't think it will ever die out, it's just that when faced with falling sales due to a lack of arcade demand, companies like Capcom have to think outside of the box to survive in that field.