Capcom's sales and profits drop ahead of major releases
Company declares SFIV arcade version a hit.
Capcom issued today its earnings results for the nine month period through December 31, 2008. The company attributed sluggish sales and decreased profits to a transition period as it waits for major titles to hit during the current quarter.
Sales for the nine month period were at 472,230 million yen, down 8.6% from the same period the year before. Operating profit took a 57.2% dive from last year to 26,107 million yen.
Looking just at the company's core video game business, sales for the nine month period were at 308,520 million yen, a 13.4% drop from last year. Operating profit dropped 27.1% to 44,040 million yen.
The company pointed to the budget version of Monster Hunter Portable 2nd G as having shown strong growth. It also said that Grand Theft Auto IV and Mega Man Star Force 3 met sales goals. Capcom publishes the GTA series in Japan.
However, the company described sales for this division as weak, explaining that it's currently in a transition period as its flagship titles ready for release this quarter. While the Capcom statement did not give specific names, these flagship titles likely include Resident Evil 5 and Street Fighter IV, both of which are due for worldwide release on the PS3 and Xbox 360 over the next two months..
The company's arcade game sales business saw major gains from last year, with sales up 120.6% to 48,480 million yen and profits up to 3,810 million yen from last year's loss of 6,920 million yen. The company referred to Street Fighter IV as a hit, and cited Tatsunoko VS Capcom as an example of its use of aggressive sales activities to tie its home software business into its arcade business. Although announced first for arcades, Tatsunoko was released first on the Wii.