This media/entertainment company saw huge increases in revenues and income in its last quarter, and has been buying back shares, reducing share count by more than 6% in the past year.
Capcom Co., Ltd. (CCOEY)
From The Buyback Letter
Capcom Co., Ltd. (CCOEY) plans, develops, manufactures, sells, and distributes home video games, online games, mobile games, and arcade games in Japan and internationally. The company was founded in 1979 and is headquartered in Osaka, Japan.
The company…
• develops and sells package games and digital download content, develops and manages mobile contents and PC online games.
• operates amusement facilities in commercial complexes, and hosts various events.
• develops, manufactures, and sells frames and LCD devices for gaming machines, as well as software; and development, production, and sale of arcade games for amusement facilities.
• publishes game art books; licenses music CDs and merchandise; and develops game content into movies and animated television programs.
The company was founded in 1979 and is headquartered in Osaka, Japan. This month it shipped more than 10 million units worldwide of “Monster Hunter: World,” following the release of the PC version and in combo with the home console versions. This series involves hunting action games that pit players against giant monsters, and it has sparked a social phenomenon known as the “Monster Hunter Craze.” Cumulative sales of the series exceed 50 million units now.
Capcom’s flagship game series, “Resident Evil,” has sold a cumulative 83 million units since the first title debuted in 1996. The latest, “Resident Evil 2,” won Best of Show at the Game Critics Awards in 2018, as judged by global game media outlets.
Capcom has strengthened its brands over the years by using a multi-platform strategy under which it releases games for popular series on a number of platforms.
The company announced in late July that net sales increased to 17,204 million yen in its consolidated business results for the three months ended June 30, 2018 (up 46.5% year-over-year). Operating income was 5,106 million yen (up 550.8% year-over-year), and ordinary income was 5,492 million yen (up 610.6% year-over-year).
Shares outstanding have been reduced by 6.632% in the last 12 months.
David R. Fried, The Buyback Letter, www.buybackletter.com, 888-289-2225, September 19, 2018