Overview of Strategies and Plans: Fiscal Year Ending March 31, 2009

Key insights

6 takeaways

01
Capcom targets 18 million unit sales for the fiscal year ending March 31, 2009, by focusing on core franchises like Resident Evil and Monster Hunter.See it on page 5
02
The company is implementing a 'Single Content Multiple Usage' strategy supported by the proprietary MT Framework to streamline multi-platform development and expand its global footprint.See it on page 11
03
Arcade operations are being restructured through a 'scrap and build' program and a strategic shift toward large-scale shopping center locations to improve profitability.See it on page 21
04
Revenue diversification efforts include increasing content development for mobile platforms, as well as the pachinko and pachislo markets.See it on page 28
05
Financial performance is heavily dependent on the consistent production of hit titles, international sales success, and fluctuations in foreign exchange rates.See it on page 36
06
The organization maintains a cautious outlook, citing the inherent volatility of hardware platform popularity and global market risks as primary threats to its growth objectives.See it on page 36

Summary

Capcom’s strategic roadmap for the fiscal year ending March 31, 2009, centers on maximizing the commercial potential of its intellectual property through a Single Content Multiple Usage model. By leveraging the proprietary MT Framework, the company aims to streamline multi-platform development and bolster its global footprint. This approach prioritizes the expansion of core franchises, such as Resident Evil and Monster Hunter, to achieve a target of 18 million unit sales. The strategy emphasizes a transition toward international markets, supported by a robust development pipeline designed to ensure consistent growth across the home video game sector.

Beyond home console software, the company is actively restructuring its arcade operations to enhance profitability. This involves a strategic shift toward large-scale shopping center locations and the implementation of a scrap and build program to optimize existing facilities. Simultaneously, the organization is diversifying its revenue streams by increasing content development for mobile platforms and the pachinko and pachislo markets. These efforts are intended to stabilize performance and ensure that arcade game development remains aligned with evolving consumer quality expectations.

Future performance remains contingent upon several volatile market variables, including the ability to consistently produce hit titles and the shifting popularity of hardware platforms. Success is further influenced by international sales performance and fluctuations in foreign exchange rates. While the company projects steady growth across all business segments, these forward-looking objectives are subject to the inherent unpredictability of the global gaming industry. Consequently, the organization maintains a cautious outlook, acknowledging that its financial trajectory depends on navigating these complex market risks while maintaining operational efficiency.