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October 1, 2020
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 Monster Hunter  and  Resident Evil  driving growth at Capcom

Monster Hunter and Resident Evil driving growth at Capcom

August 3, 2020 | By Chris Kerr




New releases and digital sales are driving growth at Capcom, which just published its financials for the first quarter ended June 30, 2020. 

According to the fiscal report, consolidated net sales rose by 32.2 percent year-on-year to 23.7 billion yen ($222.8 million), while profits increased by 44.2 percent to 7.8 billion yen ($73.3 million) over the same period.

It's a similar story in the company's digital contents segment, which houses its video game operations, with net sales rising by 53.7 percent to 21.4 billion yen ($201.1 million) and operating income increasing by 52.6 percent to 11.8 billion yen ($110.9 million). 

Capcom explained that upswing was due to solid sales in the Resident Evil franchise, and "high-margin catalog sales" of titles like Monster Hunter World: Iceborne and Resident Evil 2

Discussing the impact of the COVID-19 pandemic on its business, Capcom explained the virus had "created a challenging environment" for its arcade operations segment, but noted that its digital contents arm had continued to perform.

"The core digital contents business drove business results through digital sales growth of major new titles and catalog titles, backed by successfully promoting stronger digital sales in recent years," reads the fiscal report. "As a result, Capcom achieved its highest net sales as well as highest levels of all profit items for a first quarter."

Looking ahead, the company's fiscal forecast remains unchanged, and Capcom is still predicting conflated net sales of 85 billion yen ($799.1 million) and profits of 18 billion yen ($169.2 million) by the end of the fiscal year on March 31, 2021.



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