Close
Report Comment to a Moderator Our Moderators review all comments for abusive and offensive language, and ensure comments are from Verified Users only.
Please report a comment only if you feel it requires our urgent attention.
I understand, report it. Cancel

Capcom's mobile revenue falls 40 per cent

Capcom's mobile revenue falls 40 per cent

Fri 07 Feb 2014 8:57am GMT / 3:57am EST / 12:57am PST
PublishingDevelopment

Nine-month fiscal results show weak returns on mobile, Dead Rising 3 sells a million

Capcom's mobile business has suffered this fiscal year, with revenue dropping by 40 per cent at the nine-month point.

In the first nine-months of the fiscal year ending March 31, 2014, Capcom's Mobile Contents business earned 5.2 billion ($51 million) in revenue, down from 8.6 billion ($84 million) in the same period the previous year. That's a drop of more than 39 per cent, and a clear sign of struggle in a business that, thanks to the success of Smurf's Village, once showed great promise for the company's future.

In material distributed to investors, Capcom acknowledged the lack of successful titles in a market that yields high profits. Among others, It is planning to release Street Fighter Battle Combination on iOS before the close of the fiscal year.

Overall, Capcom's Digital Contents division - which includes mobile - showed signs of improvements, earning 56 billion ($549 million) revenue, 13 per cent more than the previous year. Digital sales - including DLC and full-game downloads - also improved, hitting 7.7 billion ($75 million), 10 per cent higher than forecast for the entire year. However, the cost of doing business was higher, and the division's operating income fell 5.5 per cent to 7.3 billion ($72 million).

Capcom's strongest performer was Monster Hunter 4, which has now sold 4 million copies despite only being available in Japan. Dead Rising 3, an Xbox One launch title, sold 1 million copies, with a further 200,000 sales expected by the end of the fiscal year.

Across the whole company, Capcom earned 75.2 billion ($737 million) in revenue, up 3.5 per cent, and 5.9 billion ($58 million) in net profit, down 10.3 per cent. The company also benefited from the favourable exchange rate, to the tune of 662 million ($6.5 million).

Last month, Capcom CEO Kenzo Tsujimoto pledged to hire 100 new developers every year for the next five years in an effort to reinvigorate the business.

Login or register to post

Take part in the GamesIndustry community

Register now