Capcom forecasts 15 per cent full-year profit jump

Resident Evil publisher Capcom has raised its full-year revenue and operating profit forecasts, citing better-than-expected sales of game software.

The Japanese firm said in a statement that operating profit will probably rise 20 percent to 11.5 billion Yen ($108 million).
That represents a 15 percent increase from its previous forecast of 10 billion Yen.

Revenue will probably rise 9.5 per cent to 81.6 billion Yen this year, Capcom added, beating the company’s earlier target of 78 billion Yen.

The publisher didn’t alter its forecast that net income will gain 5.9 percent to 6.2 billion Yen.

Sales of Devil May Cry 4 on Xbox 360 and PlayStation 3 will reach 1.9 million units by March 31, beating its earlier goal of 1.8 million, Capcom said.

Capcom also reported that revenues from its game video division jumped 23 percent to 30.9 billion Yen in the nine-month period to December 31st. Operating profit rose 38 percent to 6.04 billion Yen in the same timeframe.

However, total group net income fell 18 percent to 3.57 billion Yen in the nine-month period. Operating profit also declined, down 8.2 percent to 6.1 billion Yen. Sales rose 4.8 percent to 51.7 billion Yen.