TOKYO--Capcom today reported positive financial news for the first six months of its fiscal year. The company said it made a 919 million yen ($8.5 million) profit during the first half of its fiscal year (between April and September, 2003).
Last year, the company reported a 17.3 billion yen ($159 million) loss for the same period.
In spite of the profit, Capcom's sales fell 13 percent to 22.5 billion ($208 million) yen for the first half. The consumer sector, the core component the company, saw profits drop by 69 percent, compared to last year. The company said the consumer sector suffered due to a lack of any blockbuster titles, and that sales of games such as Mega Man X7 for the PS2 did not meet sales targets.
Capcom's arcade group did well, based on its coin-chomping Gundam arcade cabinets. Also, Capcom has begun closing arcades in both Japan and America, with such closings increasing the sector's profitability by 15 percent.
"We didn't release many home console games during the first half, but that was our plan," commented Capcom vice president Heiji Oshima. "It has to do with the restructuring of our development divisions in the first half."
Capcom plans a number of major releases during its second half. In particular, Resident Evil Outbreak, due out by year's end in both Japan and America. Then, Onimusha 3 is scheduled to be released in March in Japan. The company is targeting sales of 700,000 units before the end of the full fiscal year.
By the end of the full fiscal year, Capcom expects sales to tally 63 billion yen ($582 million), and profits to reach 4.2 billion yen ($39 million).