Capcom Consolidated Financial Results: Q1 Fiscal Year Ending March 31, 2018

Capcom’s consolidated financial results for the first quarter of the fiscal year ending March 31, 2018, demonstrate a return to profitability compared to the same period in the previous year. The company reported net sales of 11,746 million yen, representing a 7.5% increase year-over-year. Operating income reached 784 million yen, a significant turnaround from the 726 million yen operating loss recorded in the first quarter of 2017. Similarly, net income attributable to owners of the parent rose to 521 million yen, contrasting with a net loss of 1,411 million yen in the prior year.

The Digital Contents segment served as the primary driver of this growth, generating 7,688 million yen in sales and 1,676 million yen in operating income. This performance was bolstered by the successful release of Ultra Street Fighter II for the Nintendo Switch, alongside ongoing contributions from Resident Evil 7 biohazard and Monster Hunter XX. Conversely, the Amusement Equipments business faced challenges, recording an operating loss of 229 million yen due to a weak market for arcade game sales and mixed performance in the pachinko and pachislo sub-segment. The Arcade Operations segment remained stable, contributing 2,245 million yen in sales and 128 million yen in operating income.

These results reflect a strategic focus on cost management and the leveraging of established intellectual property. While the first quarter is traditionally an off-season for major title launches, the company positioned itself for stronger performance in the latter half of the fiscal year. Consequently, management maintained its full-year earnings forecast, projecting net sales of 93,000 million yen and operating income of 14,500 million yen for the fiscal year ending March 31, 2018.