Street Fighter

Tencent Games Strategy 2019

Tencent’s strategic pivot in 2019 marks a recovery from the previous year’s regulatory freeze on game licenses, which had triggered the company’s first-ever profit decline.

• Tencent successfully recovered from a 2018 regulatory freeze by migrating 150 million monthly active users from PUBG Mobile to the compliant, self-developed title Peacekeeper Elite, resulting in $5.2 billion in quarterly gaming revenue.
• The company is mitigating domestic regulatory risks through aggressive international expansion, including the acquisition of Western studios like Sharkmob and licensing major IP such as Call of Duty and Street Fighter.
• Tencent is diversifying beyond mobile free-to-play models by growing its WeGame platform to 70 million monthly active users and securing an exclusive partnership to distribute the Nintendo Switch in China.

Capcom Consolidated Financial Results for the 6 Months of the Fiscal Year Ending March 31, 2018

Capcom’s consolidated financial results for the six-month period ending September 30, 2017, reflect a period of significant growth and operational recovery.

• Capcom achieved net sales of 33,729 million yen for the six-month period ending September 30, 2017, marking a 17.6% increase year-over-year.
• Profitability surged significantly, with operating income rising 191.5% to 5,001 million yen and net income attributable to owners of the parent increasing 757.5% to 3,481 million yen.
• The Digital Contents segment acted as the primary growth driver, generating 20,138 million yen in sales behind the performance of 'Monster Hunter XX Nintendo Switch Ver.' and 'Ultra Street Fighter II'.

Capcom 1st Quarter Report: Fiscal Year Ending March 31, 2018

The first quarter report for the fiscal year ending March 31, 2018, outlines Capcom’s financial performance and strategic outlook, emphasizing a trajectory of sustained growth driven by its Digital Contents business.

• Capcom achieved a financial turnaround in Q1 2017, reporting 11.7 billion JPY in net sales and 784 million JPY in operating income, reversing the operating loss recorded in the same period of the previous year.
• The Digital Contents segment is the primary driver of growth, fueled by increased profitability in mobile operations, PC online titles, and robust consumer game sales.
• Catalog titles contributed significantly to the quarter's performance, accounting for 1.85 million units sold.

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.

• Capcom returned to profitability in Q1 FY2018, reporting 521 million yen in net income compared to a 1,411 million yen net loss during the same period in 2017.
• Net sales grew 7.5% year-over-year to 11,746 million yen, while operating income reached 784 million yen, reversing the 726 million yen operating loss recorded in Q1 2017.
• The Digital Contents segment was the primary growth driver, generating 7,688 million yen in sales and 1,676 million yen in operating income behind titles like Ultra Street Fighter II, Resident Evil 7 biohazard, and Monster Hunter XX.

Capcom Consolidated Financial Results: Year Ended March 31, 2017

Capcom achieved significant financial growth during the fiscal year ending March 31, 2017, characterized by a 13.2 percent increase in net sales to 87,170 million yen and a 13.5 percent rise in operating income to 13,650 million yen.

Capcom FY2016 Q2 Financial Results: Business Divisional Strategies and Projections

The Capcom fiscal year 2016 second-quarter financial results outline the company’s performance for the six-month period ending September 30, 2015, and detail strategic projections for the remainder of the fiscal year.

• Capcom experienced a decline in operating profit from 4.4 billion yen to 2.8 billion yen for the six-month period ending September 30, 2015, despite revenue increasing to 31.6 billion yen.
• The company's operating margin dropped significantly from 16.9% to 9.0% due to rising development costs, underperforming pachislot machines, and higher cost-of-sales ratios.
• Digital content remains the primary revenue driver, highlighted by Monster Hunter 4G reaching 4 million global units and Dragon’s Dogma Online surpassing 1 million downloads within five days of its August 2015 launch.

Capcom Financial Highlights: Fiscal Year Ended March 31, 2016

Capcom’s financial results for the fiscal year ended March 31, 2016, demonstrate a period of growth driven primarily by the strong performance of its Digital Contents business.

• Capcom achieved net sales of ¥77.02 billion and an operating income of ¥12.03 billion for the fiscal year ended March 31, 2016, marking year-over-year growth of approximately 20% and 14% respectively.
• The Consumer sub-segment drove growth with 15 million total unit sales, led by Monster Hunter X (3.3 million units) and Street Fighter V (1.4 million units).
• Digital downloads accounted for 26% of total consumer unit sales, highlighting the increasing importance of digital distribution to the company's revenue mix.

Capcom Overview of Strategies and Plans: Fiscal Year Ending March 31, 2017

Capcom’s strategy for the fiscal year ending March 31, 2017, focuses on achieving sustained growth through the global expansion of major franchises and the aggressive utilization of intellectual property across multiple platforms.

• Capcom targets a 20% operating margin by the end of fiscal year 2018 as part of a five-year plan to achieve 70 billion yen in cumulative operating income.
• Financial projections for fiscal year 2017 include 85 billion yen in net sales and 13.6 billion yen in operating income.
• The company plans to ship 16.5 million units of consumer software, with digital downloads projected to account for 29% of total consumer segment sales.

FY2015 Third-Quarter Earnings Result Briefing Session

The fiscal year 2015 third-quarter earnings results for mixi, Inc. demonstrate significant financial growth driven primarily by the robust performance of the company’s Entertainment Business.

• Mixi, Inc. reported strong Q3 FY2015 growth with net sales of 54.9 billion yen, a 64.9% year-over-year increase, and operating income of 23.6 billion yen, up 51.7%.
• The mobile game Monster Strike served as the primary revenue driver, bolstered by a Nintendo 3DS release and high-profile collaborations with Evangelion and Street Fighter V.
• The Entertainment segment’s operating income (EBITDA) grew by 135.9% during the nine-month period ending December 2015.

Capcom 3rd Quarter Report: Fiscal Year Ending March 31, 2016

Capcom’s third-quarter report for the fiscal year ending March 31, 2016, details a period of growth driven primarily by strong performance in the Digital Contents segment.

Capcom: Results of Operations and Strategies (First Half of Fiscal Year Ending March 31, 2016)

Capcom’s financial results for the first half of the fiscal year ending March 31, 2016, reflect a period of revenue growth accompanied by a decline in profitability.

• Capcom reported a net sales increase to 31.6 billion yen for the first half of the fiscal year ending March 31, 2016, though operating income declined to 2.8 billion yen due to rising development costs and weak pachislo performance.
• The company maintains its full-year fiscal forecast of 76 billion yen in net sales and 12 billion yen in operating income despite the first-half earnings contraction.
• The Digital Contents segment drove growth through increased unit sales, specifically benefiting from a rise in full-game digital downloads and strong repeat sales of catalog titles.

Capcom Overview of Strategies and Plans: Fiscal Year Ending March 31, 2016

Capcom outlines its strategic growth roadmap and financial objectives for the fiscal year ending March 31, 2016, emphasizing a transition toward digital distribution and the expansion of its core intellectual property across multiple platforms.

• Capcom targets a cumulative operating income of 70 billion yen over the five-year period ending in fiscal year 2017, aiming for a 20% operating margin by March 2018.
• Financial projections for the fiscal year ending March 2016 anticipate net sales of 76 billion yen and an operating income of 12 billion yen.
• The company is prioritizing a transition to digital distribution to offset declining physical package sales, specifically targeting growth in North American and European markets.