Capcom reports $438.7M in digital sales despite kompu gacha ban

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By Emanuel Maiberg Comment

Capcom reported sales of 45,538 million yen ($530 million) for its second half of fiscal year that ended Sept. 30 2012, up 55.7 percent from the same term last year. Operating income shot up 134.2 percent year-over-year to 6,515 million yen ($81.5 million). Ordinary income increased by 218.5 percent to 6,076 million yen ($76 million) and net income increased by 355.1 percent to 4,125 million yen ($51.6 million).

Capcom explained that solid consumer spending and capital expenditure in the Japanese economy was offset by the Eurozone crisis, slowdown in the U.S. and Chinese economies, prolonged appreciation of the yen and low stock prices.

Capcom’s core business of the home video game market saw a recovery trend in Japan with an increase in PlayStation Vita and Nintendo 3DS sales uplifting the market overall. However, markets outside Japan remained “stagnant,” Capcom reported.

The social game market which has been growing rapidly lost some of its momentum partly because of the ban to the kompu gacha monetization method. Social games under Capcom’s Beeline brand like The Smurfs’ Village and Snoopy’s Street Fair remained strong, bringing the company steady revenue by “obtaining a wide range of users.”

The resulting net sales for Capcom’s digital content business were 34,993 million yen ($438.7 million), up 69.1 percent from the same term last year. Operating income was 5,777 million yen ($72.4 million), up 83.1 percent. Keep in mind that these numbers include profits made in downloadable content for the company’s flagship AAA console titles Resident Evil: Operation Raccoon City, Resident Evil 6 and Dragon’s Dogma.