Capcom's net income drops 95% from 2007

The causes for this are cited as poor performance from Capcom's arcade and content expansion businesses, the yen's rising exchange rate, and the fact that a number of the company's big games aren't releasing until the fiscal fourth quarter, which runs from January through March 31, 2009.

It's not, however, necessarily time for Capcom fans to panic. According to the press release, "The prospects of the consolidated business results for the current fiscal year ending March 31, 2009 remain the same as what were projected at the financial results announcement on May 20, 2008." So if the outlook hasn't changed drastically since last May that hopefully means we won't suddenly see any radical cuts made, though it's hardly a guarantee.

Sven: To fix it [revenue loss]... we ship games. Second, exchange rates hurt us a great deal.

We've shipped very, very few titles in our FY 2008 so far and that was always anticipated.

This quarter will by FAR be our largest of the year.

You will also note, inspite of the net income drop, we are still generating net income (not net losses). Even with very few releases, that's a marked difference from many of our competitors.

Don't worry. We're fine.