Capcom first quarter profits fall by 90 per cent

Resident Evil and Street Fighter developer Capcom has revealed 2010 financial figures that show a 90.4 per cent drop in profits for the first quarter of 2010 compared to the same period last year.

Capcom's new income between April 1st and June 30th was roughly $2.4 million USD (Approx. £1.5 million GPB), a fall from $23.2 million USD (Approx. £14.5 million GBP) in 2009.

The Japanese developer has levelled the blame at a number of factors, citing shrinking US and European markets, poor exchange rates and an increase in development costs.

Poor sales have played a part too though, with Capcom admitting that flagship title Lost Planet 2 "underperformed its projection substantially" - probably because it was rubbish, we reckon.

Other key titles struggled, notably Monster Hunter Tri, which "grew at a sluggish pace", and Ghost Trick: Phantom Detective, which is due to hit Europe and America later this year.

It's worth pointing out that Lost Planet 2 was also mentioned as a reason for low profits last year; Capcom pinned a 73 per cent drop on the fact that it had been delayed until 2010. Ouch.

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