Net Sales for the 3 Months Ended June 30, 2015 was Increased by 51.9%, 59.8% Increase in Operating Income from the Previous Term
– Made a good start with repeat titles and digital download sales as well as pachislo machines –

Capcom Co., Ltd. today announced that net sales increased to 14,541 million yen (up 51.9% from the previous year) in the 3 months of fiscal year ending March 31, 2016. As for profits, operating income rose to 2,026 million yen (up 59.8% from the previous year), and ordinary income to 2,135 million yen (up 74.5% from the previous year). Net income attributable to owners of the parent increased to 1,569 million yen (up 104.9% from the previous year).

During the 3 months of the Digital Contents business, “Devil May Cry 4 Special Edition” sold well in addition to the robust repeat sales and digital download sales of other titles such as “Monster Hunter 4 Ultimate”, “Resident Evil Revelations 2” and “Resident Evil (HD Remastered)” particularly in overseas markets.

Furthermore, in the Amusement Equipments business, the long-awaited “Resident Evil 6” made an excellent start with 19 thousand units, supported by the loyal fans and led the improvement in revenue as it contributed to the increase in sales.

As a result, consolidated sales and operating income have exceeded results for the same term last year, marking a favorable start toward achieving the full-year target.

The forecast for the consolidated business results for the current fiscal year ending March 31, 2016 remains the same as what was projected at the financial results announcement on May 7, 2015.

1. Results for the 3 months ended June 30, 2015 (from April 1, 2015 to June 30, 2015)

(from April 1, 2015 to June 30, 2015)

2. Earnings forecast for the fiscal year ending March 31, 2016

3. Status of Each Operational Department

(1) Digital Contents

1. a. In the Digital Contents business, “Devil May Cry 4 Special Edition” (for PlayStation 4, Xbox One and PC) sold well in addition to the robust repeat sales and digital download sales of other titles particularly in overseas markets.
2. b. On the other hand, online games remained soft and mobile phone contents were generally soft as well due to, among others, the lack of major titles. However, “Smurfs’ Village and the Magical Meadow” (for iOS) made a good start.
3. c. Although the first quarter corresponded with the off season in the market launch cycle of major titles, overall sales were firm and the Company was able to lay the groundwork to support the heftier release schedule for the second half of the fiscal year.
4. d. The resulting net sales were 6,294 million yen (up 14.3% from the same term last year) and operating income was 1,107 million yen (down 2.2% from the same term last year).

(2) Arcade Operations

1. a. In the Arcade Operations business, customer attraction efforts were made to capture customers and stimulate demand in the slow recovering market through various demand stimulation measures, including the installation of popular game machines to meet the current demands of customers in addition to holding various events and service days.
2. b. However, the Company was not able to achieve a breakthrough result mainly due to the weak consumer confidence reflecting the stagnant market. During the period under review, one arcade was closed, bringing the total number of arcades to 32.
3. c. The resulting net sales were 1,932 million yen (down 12.2% from the same term last year) and operating income was 35 million yen (down 83.6% from the same term last year).

(3) Amusement Equipments

1. a. In the Pachinko & Pachislo sub-segment, the long-awaited “Resident Evil 6” made an excellent start with strong unit sales supported by the loyal fans and led the improvement in revenue as it contributed to the increase in sales.
2. b. In the Arcade Games Sales sub-segment, the Company launched “Luigi Mansion Arcade” in June 2015, but otherwise focused on repeat sales of existing products.
3. c. The resulting net sales were 6,042 million yen (up 303.2% from the same term last year) and operating income was 1,772 million yen (up 182.4% from the same term last year).

(4) Other Businesses

The net sales from Other Businesses, mainly consisting of publication of game guidebooks and sale of related goods, were 272 million yen (down 26.2% from the same term last year), and operating income was 50 million yen (down 71.9% from the same term last year).