Capcom Consolidated Financial Results: 6 Months Ended September 30, 2009

Key insights

7 takeaways

01
Capcom achieved significant growth for the six months ending September 30, 2009, with net sales rising 24.5% to 38,892 million yen and net income increasing 58.4% to 2,967 million yen.See it on page 1
02
The home video game segment drove overall performance with a 68.3% increase in net sales to 27,748 million yen, fueled primarily by the release of 'Monster Hunter Tri' for the Wii, which shipped over one million units.See it on page 3
03
Operating income saw a substantial 66.0% increase to 5,574 million yen, despite weaker performance in the arcade and content expansion segments.See it on page 11
04
International market penetration grew significantly, with overseas sales increasing to 30.2% of total net sales, up from 21.8% in the previous year.See it on page 13
05
The arcade games sales segment struggled, recording an operating loss of 334 million yen due to a lack of demand for new products.See it on page 11
06
Management maintained its full-year earnings forecast for the fiscal year ending March 31, 2010, projecting 95,000 million yen in net sales and 8,500 million yen in net income.See it on page 1
07
The company maintained a stable financial position with total assets of 90,102 million yen and a shareholders' equity ratio of 63.9%.See it on page 8

Summary

Capcom’s consolidated financial results for the six-month period ending September 30, 2009, demonstrate significant growth in net sales and profitability compared to the same period in the previous year. The company reported net sales of 38,892 million yen, representing a 24.5% increase. Operating income rose by 66.0% to 5,574 million yen, while net income grew by 58.4% to 2,967 million yen. This performance was largely driven by the strong reception of flagship home video game titles, which offset weaker results in the arcade and contents expansion segments.

The home video game segment served as the primary growth engine, with net sales reaching 27,748 million yen, a 68.3% increase over the prior year. The release of "Monster Hunter Tri" for the Wii was a major contributor, with initial shipments exceeding one million units. Other titles, including "Ace Attorney Investigations: Miles Edgeworth" and "Resident Evil 5," also provided steady contributions. Conversely, the arcade operations segment faced a challenging market environment, resulting in an 8.7% decline in net sales, though operating income saw a slight improvement due to strategic facility management. The arcade games sales segment struggled significantly, recording an operating loss of 334 million yen due to a lack of new product demand.

Geographically, the company saw increased international engagement, with overseas sales accounting for 30.2% of total net sales, up from 21.8% in the previous year. The financial position remained stable, with total assets of 90,102 million yen and a shareholders' equity ratio of 63.9%. Management maintained its full-year earnings forecast, projecting net sales of 95,000 million yen and net income of 8,500 million yen for the fiscal year ending March 31, 2010.