Resident Evil and Street Fighter publisher Capcom has announced that the company’s revenue was down 37.1 percent from the previous year.

During its latest fiscal year, which ended March 31, Capcom made ¥64.3 billion ($538.4 million). This figure represents Capcom’s lowest yearly revenue figure since 2004, when it generated ¥52.7 billion.

In its official financial review Capcom highlighted sales of Monster Hunter 4G and Monster Hunter 4 Ultimate as a key success.

In February, Capcom revealed more than three million copies of Monster Hunter 4 Ultimate had been shipped worldwide, while total franchise sales had reached 32 million units.

On the digital front, Ultra Street Fighter 4’s sales were described as "solid". Resident Evil Revelations 2, which only became available in February, was said to have made a "strong start." Dead Rising 3 was also mentioned as a successful title, however, this game was released in Capcom’s previous fiscal year.

Digitally delivered content was spotlighted as a major focus during the fiscal year as Capcom attempts to diversify distribution channels. The company has indicated it will continue to dedicate itself to this strategy and expects it will "deliver a sustainable growth going forward."

By its own admission, Capcom did not have many major titles released on mobile devices, but profitability in this department was improved thanks to an "overhaul of the profit structure."

Elsewhere in the business, Capcom reported its operating income has increased 2.7 percent from the previous fiscal year, likely as a result of streamlining production costs and increasing general efficiency. Net income overall was ¥6.6 million, which is an increase of 92.1 percent from the previous year.

http://www.gamespot.com/articles/capcom-s-full-year-revenue-down-digital-delivery-h/1100-6427152/

Sad news. It's no wonder their digital delivery is strong considering the things they've done to push it forward (like delay Revelations 2 physical version in favor of digital episodes; or making Resident Evil REmake HD digital-only anywhere but Japan), but it'd be a shame if they only focus on it from now on.

I guess this explain why the push of digital release of their latest games, more profits than physical copies.

I wonder when the shareholders will kick these execs out of power. In the last 5 years all Capcom has been doing is making excuses about why they don't understand game development anymore. One year they had to make a lot medium titles. That failed. Then they decided they need to make fewer, more larger titles. That failed. Now their saving grace is gonna be "digital". I really don't understand why business men haven't seen the pattern yet...