Capcom yet again announces record profits and says it will prioritise ‘workplace improvements’
Base salaries will be increased and bonus system reviewed, as company records 9th year of growth
Capcom has announced its ninth consecutive year of operating income growth, record-high net sales, and the fifth consecutive year of record-high profits at all levels.
For the 12 months ended March 31, 2022, net sales were up 15.5% YoY at 110 billion yen ($847.5m), operating income up 24% at 42.9 billion yen ($329.9m), and ordinary income up 27.2% at 44.3 billion yen ($340.7m).
During this period, Capcom released Resident Evil Village and Monster Hunter Stories 2: Wings of Ruin, which it said have sold 6.1 million units and 1.5 million units, respectively.
As is now typical for the company, its performance was also driven by continuing digital sales of its back catalogue titles, as well as merchandise, eSports and arcade operations.
For example, 2021 title Monster Hunter Rise sold 4.1 million units during this fiscal year. Resident Evil 7 sold a further 1.8 million units, marking the sixth consecutive fiscal year it’s sold more than a million units in sales.
In total, annual game sales reached 32.6 million units, which exceeded the 30.1 million units of the previous fiscal year.
Looking ahead to the current FY23, Capcom said it’s expecting a tenth consecutive year of record growth, with “major new titles” including Monster Hunter Rise: Sunbreak predicted to increase net sales by 9% for the year.
The company reiterated that it’s working to increase its development personnel and expand its pipeline of games by both utilizing existing IP and creating new properties. The publisher announced its first new IP in 8 years, Pragmata, in 2020.
Capcom also said it will prioritise improving its workplace environment in order to drive its growth goals. This includes previously announced plans to raise Japanese base salaries as part of wider changes to its human resources operations.
On Wednesday, the company confirmed it will also review its compensation system, tie the payment of bonuses more closely to performance, enhance its employee welfare and benefits program, and create a new chief human resources officer position.
The company also said it would look at the diversity of its board of directors in order to achieve “stronger management capabilities”.