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Capcom Plans to Expand Console Business; Sales Focused Mostly on Sony and Nintendo Platforms

Capcom provides further information on its quarterly financials, including future strategy and sales breakdown by platform family.

July 28, 2017

Following the release of its quarterly financial results earlier this morning, Capcom also published its presentation slides including further details on its near-term plans and sales

First of all, we get an update to the publisher’s strategy for growth that involves the expansion of the consumer business (“consumer” means console games in Japanese business lingo), Mentioned are Monster Hunter World (here it’s indicated with an early 2018 release, but this morning we saw a bit more precise window, before March 31st, 2018), Marvel vs. Capcom: Infinite, and a growth in catalog sales due to the expansion of the overall lineup.

On the other hand, the publisher plans to overhaul its online business (online PC games and smartphone games) mostly based on licensing and games co-created with external partners.

On the console front the company will also focus on porting its titles to new platforms (presumably Switch and current-gen consoles for older games). Ultra Street Fighter II for Nintendo Switch exceeded the publisher’s forecast, while digital download sales grew mostly on titles released before the beginning of the quarter like Resident Evil 7 biohazard and Ultimate Marvel vs. Capcom 3.

74% of sales in the past quarter (ended on June 30th) were done on titles released in previous quarters.

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We also get a look at mobile and online PC games, with positive performances mentioned for the mobile game Monster Hunter Explore and the MMO Monster Hunter Frontier Z.

A breakdown of sales by region shows that North America has overtaken Japan as the primary market for retail games in the past quarter. 400,000 units were sold in North America, 350,000 in Japan and 300,000 in Europe, followed by only 50,000 in Asia.

We don’t get a regional breakdown for full game downloads, that sold more than retail games, 1.4 million copies against 1.1 million, for a total of 2.5 million copies sold between physical and digital markets from April 1st to June 30th.

Incidentally, Capcom’s forecast for the full fiscal year (ending on March 31st, 2018), involves selling 23 million copies of its games during the whole fiscal year, including 10.5 million copies at retail and 12.5 million as full game downloads.

According to the forecast, 10.3 million copies will be of newly-released games (after March 31st, 2017, including Monster Hunter World and Marvel vs. Capcom: Infinite), while 12.7 million units will be of games released before March 31st, 2017.

Last, but not least, we get a breakdown by platform family. Retail sales are primarily focused on Sony and Nintendo home consoles. With 450,000 units sold on PS4 and PS3, and exactly the same number on Switch, Wii U and Wii. Nintendo’s portables follow with 100,000 units, while Xbox consoles and PC only saw the sale of 50,000 boxed games each.

Here as well full game downloads are not split by platforms, so we don’t know exactly how they are distributed.

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Giuseppe Nelva

Hailing from sunny (not as much as people think) Italy and long standing gamer since the age of Mattel Intellivision and Sinclair ZX Spectrum. Definitely a multi-platform gamer, he still holds the old dear PC nearest to his heart, while not disregarding any console on the market. RPGs (of any nationality) and MMORPGs are his daily bread, but he enjoys almost every other genre, prominently racing simulators, action and sandbox games. He is also one of the few surviving fans of the flight simulator genre on Earth.

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