Capcom Consolidated Financial Results: Year Ended March 31, 2024

Key insights

7 takeaways

01
Capcom achieved its eleventh consecutive year of operating income growth, with net sales rising 21.0% to 152,410 million yen and operating income increasing 12.3% to 57,081 million yen for the fiscal year ended March 31, 2024.See it on page 4
02
The Digital Contents segment drove performance by moving 45.89 million units, bolstered by the releases of Street Fighter 6 and Dragon’s Dogma 2 alongside strong back-catalog demand.See it on page 4
03
Shareholder value improved significantly, with earnings per share rising to 103.71 yen and net assets per share increasing to 466.44 yen.See it on page 20
04
To increase stock liquidity and broaden the investor base, Capcom implemented a 2-for-1 stock split on April 1, 2024.See it on page 21
05
The company maintains a robust financial position with 109,091 million yen in cash and cash equivalents and has divested all strategic holdings of publicly listed shares.See it on page 6
06
Management is targeting a 10% annual increase in operating income and is currently evaluating a transition from Japanese accounting standards to International Financial Reporting Standards.See it on page 7
07
Strategic priorities for the upcoming year include global expansion of core intellectual properties and the use of a Stock Grant ESOP trust to align employee interests with corporate performance.See it on page 8

Summary

Capcom achieved significant financial growth during the fiscal year ended March 31, 2024, marking its eleventh consecutive year of increased operating income. Net sales rose by 21.0% to 152,410 million yen, while operating income grew by 12.3% to 57,081 million yen. This performance was primarily fueled by the Digital Contents segment, which moved 45.89 million units, supported by the successful launches of major titles such as Street Fighter 6 and Dragon’s Dogma 2, alongside consistent demand for the company’s extensive back catalog.

The company’s financial health remains robust, characterized by a strong liquidity position with 109,091 million yen in cash and cash equivalents and a notable increase in net assets. Shareholder value improved as earnings per share rose from 87.36 to 103.71 yen, and net assets per share increased from 385.27 to 466.44 yen. To enhance stock liquidity and broaden its investor base, a 2-for-1 stock split was implemented on April 1, 2024. Furthermore, the company successfully divested all strategic holdings of publicly listed shares and is currently evaluating the transition from Japanese accounting standards to International Financial Reporting Standards.

Looking ahead, the organization maintains a positive growth trajectory, targeting a 10% annual increase in operating income. Strategic priorities include the continued development of high-quality digital content, the global expansion of core intellectual properties, and sustained investment in human capital and information security. By leveraging a Stock Grant ESOP trust to align employee interests with corporate performance, the company aims to sustain its momentum and capitalize on global market opportunities in the coming fiscal year.