Capcom says ‘all business segments outperformed’ in latest results

[John Elden Ring]

Capcom says it’s on track to achieve its earnings forecast for the year, and that all of its business segments outperformed its plan in the most recent quarter.

The Monster Hunter publisher reported its financial results for the three months ended June 30, 2024, and said that it was on track, despite net sales (down 32.5%) and operating income (down 46.4%) both being significantly down year-over-year.

The company attributed the year-over-year decline to the release of Street Fighter 6 last June, and noted that its releases are heavily stacked towards the second half of its financial year, which ends in March 2025.

Currently, the publisher has confirmed Dead Rising Deluxe Remaster for release in September. Monster Hunter Wilds currently has a loose ‘2025’ release window.

Capcom’s Arcade Operations (which includes stores), Amusement Equipments (which includes slot machines), and Other Business (including events and eSports) segments were all up during the quarter.

A slide from Capcom’s latest results presentation.

“During the three months ended June 30, 2024, sales in Capcom’s core Digital Contents business centered on releases of existing titles on additional platforms and catalog sales of major titles released in previous fiscal years because the launch timing of new titles will be concentrated in the second half of the current fiscal year,” the company said.

via VGC

 

[YeezyDude]

Awesome to hear... Especially if they keep making awesome games and remasters/remakes!

 

[Evilms]

Interresting to see SF6 sell more than DD2 in this quarter.

 

[ethomaz]

Interresting to see SF6 sell more than DD2 in this quarter.

We had EVO hype with announcements this quarter... so for me seems natural.

 

[Yurinka]

They are on fire:
"Aiming for 12 consecutive years of operating profit growth"

Interresting to see SF6 sell more than DD2 in this quarter.

The Akuma release and the big season 2 rebalance patch on May 21 caused a huge peak of interest, with a Steam CCU peak almost as high as the release peak. So pretty likely many game sales were made there and many people came back at that point:

To get some context, these are the all time Steam CCU peaks of the other top fighting games in Steam history:

• Tekken 8 49,977 (launch peak, later went to normally sub 10K)
• Dragon Ball FighterZ 44,303 (launch peak, later went to normally sub 5K)
• MK1 38,129 (launch peak, later went to normally sub 5K)
• MK11 35,147 (launch peak, later went to normally sub 5K)
• Tekken 7 18,966 (launch peak, later went to normally sub 10K but is the only one who grew over time)
• SFV 14,783 (launch peak, later went to normally sub 5K with frequent sub 10K peaks)

In the post Akuma+rebalance release there's a mountain/valley, where in June 9 the Season 2 characters were announced and well received, as happened with the M.Bison release on June 26.

 

[voke]

Best company in the industry atm

 

[ethomaz]

Now I see it... they are very optimists even when:

Revenue is down 33%.
Profit is down 48%.

They are probably betting in the next three quarters to recover.

 

[ethomaz]

This is more interesting...

Capcom Physical sales (FY 2023)

01. PLAYSTATION - 2.350.000 <53%> (-37%)
02. NINTENDO - 1.750.000 <40%> (-24%)
03. XBOX - 250.000 <6%> (-50%)
04. PC - 50.000 <1%> (-67%)
00. TOTAL - 4.400.000 <100%> (-45%)

__

Capcom Total PC Software (FY 2023)

Retail - 50.000 <0%> (-67%)
Digital - 17.750.000 <100%> (+63%)
Total - 17.800.000 <100%> (+61%)

Capcom Total Console Software (FY 2023)

Retail - 4.350.000 <18%> (-50%)
Digital - 19.550.000 <82%> (+43%)
Total - 23.900.000 <100%> (+7%)

 

[Evilnemesis8]

Now I see it... they are very optimists even when:

Revenue is down 33%.
Profit is down 48%.

They are probably betting in the next three quarters to recover.

Last FY they had the spillover from RE4R(March, previous FY) and the release of SF6(June) at the same period as well as Capcom Megaman Battle Network Legacy Collection(April).

This year new releases were... Random very late random ports(Monster Hunter Stories on PC, etc)

They are expecting to sell the most software in a FY again(for like the 7th year in a row or something like that).
There's only one game that can allow them to do that, and it's Monster Hunter: Wilds.
It has to come out in Q1 2025 or Capcom will severely under perform compared to their projections.

Next showing for the game is going to be a Gamescom.

 

[PlacidusaX]

Interresting to see SF6 sell more than DD2 in this quarter.

DD2 isn't that good...

 

[Yurinka]

Now I see it... they are very optimists even when:

Revenue is down 33%.
Profit is down 48%.

They are probably betting in the next three quarters to recover.

It's explained in this slide of the OP:

There is also a quote in the OP that says:
"“During the three months ended June 30, 2024, sales in Capcom’s core Digital Contents business centered on releases of existing titles on additional platforms and catalog sales of major titles released in previous fiscal years because the launch timing of new titles will be concentrated in the second half of the current fiscal year,” the company said."

 

[Killer_Sakoman]

That's the result of making great games. My favorite publisher in the late 90s to mid 2000s is finally back to glory.