Capcom saw 43.858 billion yen ($311.703 million) in net sales in the first quarter (April 1 - June 30 2023) of the 2023-2024 financial year, representing a 73.8% increase from 25.232 billion yen ($179.326 million) in the same period of last year, according to its latest quarterly report.
Operating income also rose by a massive 99.4% over the same period, increasing from 12.061 billion yen ($85.718 million) to 24.047 billion ($170.905 million.)
Notably, these sharp increases follow significant year-on-year declines in the same period of 2022. The company saw a 47.9% reduction in net sales compared to Q2 2021, while operating income fell 48.9% in the same period. The company attributes the growth in net sales largely to the release of Resident Evil 4 on March 24, as well as the recent release of Street Fighter 6.
This growth puts Capcom in a favourable position, with the company forecasting net sales of 140 billion yen ($994.259 million) by March 31 2024, representing an 11.2% increase from the previous financial year.
At present, the company reports 172.236 billion yen ($1.223 billion) in assets, representing a 0.5% quarter-on-quarter increase from 171.402 billion ($1.217 billion).
What part does mobile have to play?
As we’ve previously written, mobile continues to play a relatively small role in Capcom’s financial performance - in fact, the report doesn’t specify how much money came from the segment, and both of the company’s biggest releases so far this year were developed for other platforms. However, September will see the release of Monster Hunter Now, being co-developed with AR giant Niantic - which may act as a litmus test for future mobile releases.
The company has already seen success with mobile adaptation of its IPs by third-party IPs, but a successful launch of Monster Hunter Now could result in the company putting an increasing focus on mobile development of its own in the future. The upcoming release and hopes for the game has already boosted the company’s share price, and so it seems that investors are confident in the company’s future success as mobile intention within the company grows.
