OK, let me rephrase. Resident Evil 7 didn't lose money, however, it continuously fell short of expectations, because Capcom always have unrealistic expectations. They consistently expect 2 million copies for games that are never, ever going to reach those numbers - Marvel vs. Capcom: Infinite, Dead Rising 4 - and unfortunately Resdeint Evil 7 is no exception of optimistic expectations on Capcom's side.
While the game has done well, Capcom's stated expectation was for it to ship 4 million copies by March 2017. It ended up at 3,5 million copied shipped, more than 10% below their expectation.
Once again, Capcom stated a new goal, this time for 2 million additional copies to be shipped by March 2018. Once we hit March 2018, it had ended up selling 5,1 million copies overall - 1,6 million copies since last check-in, this time 20% short of expectations.
Capcom are now stating they're expecting lifetime sales of this title to exceed 10 million copies - higher than any previous Resident Evil title has, and for the game to double its sales from over a year after its release.
So, I apologise for saying it put them in the red - it didn't. But I will instead shift it to say what I should have said from the very start, which is to use it as a strongly supporting factor in painting how unrealistic Capcom's expectations are, have been, and will likely continue to be.
Resident Evil 7 isn't the only title falling short of their stated expectation, Street Fighter 5, Dead Rising 4 and Marvel vs. Capcom: Infinite all did this as well. A time-windowed expectation not being met is a bad thing for the company, because it means the game didn't do as well as they were expecting when they set its development and marketing budget. While they might not be losing money on Resident Evil 7 or Street Fighter 5 since they eventually reached the goals, albeit later than expected, they are not generating the profit they were supposed to given their budget. DR4 and MvCI, on the other hand, are just completely unrealistic and definitely lost quite a bit of money.
Source for 4 million expectation: https://www.gamespot.com/articles/resident-evil-7-and-dead-rising-4-sales-projection/1100-6444883/
Source for 3,5 million copies shipped: https://www.eurogamer.net/articles/2017-04-27-resident-evil-7-sales-top-3-5m-worldwide
Source for 2 million additional copies: https://www.vg247.com/2017/10/18/resident-evil-7-has-reached-capcoms-target-of-4-million-units-shipped/
Source for 5,1 million copies shipped: http://www.capcom.co.jp/ir/english/news/html/e180406.html