Digital game sales are driving net sales and profits at Capcom, which just released its fiscal report for the six months ended September 30, 2020.
According to the report, consolidated net sales rose by 12.8 percent year-on-year to 42.1 billion yen ($402.7 million) while profits increased by 32 percent to 12.9 billion yen ($123.4 million) over the same period.
Capcom explained that upswing was driven by its Digital Contents arm, which houses its video game business. Net sales in the segment increased by 21.3 percent to 29.1 billion yen ($278.4 million), while operating income jumped by 36.9 percent to 19.8 billion yen ($189.4 million).
The company specifically praised new releases like Resident Evil 3 for delivering “solid sales,” and said that “high-margin catalog titles” including Monster Hunter World: Iceborne continued to demonstrate longevity.
It also noted that digital sales had “expanded” due to the impact of COVID-19, “resulting in the highest profit at all levels of the end of a second quarter in company history.”
Looking ahead, Capcom is maintaining its consolidated earnings forecast, and still expects to see net sales of 85 billion yen ($799.1 million) and profits of 18 billion yen ($169.2 million) at the end of the fiscal year on March 31, 2021.