Capcom Sales and Profits Fall Due to Lack of Major Releases

Sales were generated mainly by minor releases.


Capcom has released its financial results for the three month period spanning April 1 to June 30, reporting a decline in both sales and profits.

Sales for the period were cited as $104 million, which is a 24 percent decline when compared to the same period in 2015. Operating income also fell, and as a result Capcom took a $6.9 million loss.

This operating income loss was "due to foreign exchange losses caused by the rapidly rising yen," according to Capcom. This was also cited by Nintendo as an issue in its latest financial report.

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Capcom highlighted "increased development" as a contributing factor to the decline in profits.

In its statements, Phoenix Wright: Ace Attorney - Spirit of Justice was said to be selling "largely as planned." Although Umbrella Corps for PS4 and PC was mentioned as launched, details on its performance were not provided.

With a lack of major releases, Capcom's sales generated mostly by "minor titles." Sales of previously released catalog titles also "did not grow substantially."

Looking ahead, Capcom emphasised the attention Resident Evil 7 received during E3 2016. It also recommitted to its strategy of releasing its major titles in the second half of the fiscal year, which it says generates "sizeable sales in December and into the next calendar year."

Interest in Resident Evil 7 certainly seems high. Capcom previously announced the demo, called Resident Evil 7 Teaser: Beginning Hour, has set the record as the most downloaded single-player PS4 demo in the first week of its release for North America. The demo has over 2 million downloads globally, despite it only being available to PlayStation Plus subscribers.

Resident Evil 7 producer Masachika Kawata confirmed that the game represents a "return to horror" for the series, although combat and gun-play will also be present. The game will be playable from start to finish using PlayStation VR.

It will be set after Resident Evil 6, and takes place in a modern day setting. The story centers on a "foreboding, derelict plantation mansion in rural America. Players must explore and survive the horrors within the mysterious, sprawling estate."

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