For the fiscal year ended 3/31/23 Capcom (9697.T-JP: Tokyo) (OTC:CCOEY) saw sales increase 14% YOY to ¥125,930 (about $1 billion). Net income was up 13% to ¥36,737.
Sales in the video game Digital Contents division increased 12% and accounted for 78% of overall revenue. Capcom sold 41.7 million home video game units in the year, the highest in company history.
For the fiscal year ending 3/31/24, Capcom is forecasting 12% sales growth.
Analysis
In 2022, Capcom was the top performing stock in the DFC Intelligence Video Game Stock Index. The big titles for 2023 include a remake of Resident Evil 4 and Street Fighter 6 (June 2). Resident Evil 4 launched March 24 and sold 3.75 million units by the end of March.
Capcom stock continues to do well, but the company is currently not in the DFC Intelligence Video Game Stock Portfolio. The main concern with Capcom is whether it can enhance its products with a successful live services model.
Street Fighter 6 will be an interesting title to watch. The early Street Fighter games were classics in the 1990s but the franchise has struggled to appeal to a new generation. Street Fighter V, which launched in 2016, sold 5 million units but was considered somewhat of a disappointment. Street Fighter 6 is launching with a major esports event, the Capcom Pro Tour which will feature a $2 million prize pool.
