Following net losses in the previous fiscal year, fighting game developer Arc System Works has reported that it has now returned to profitability for the fiscal year ending in May 2026. According to GameBiz, the company has reported that it made a net profit of ¥115 million over the year, which is a major jump from the ¥803 million in reported losses for the previous year.
Arc System Works attributed the revenue to the release of a few games during the period, like Double Dragon Revive, Absolum, Daemon and Baby, Dear Me, I Was…, and Goritaire.
As for its future, the studio has confirmed that it will develop a new fighting game in the cel-shaded art style that could be seen in titles like Dragon Ball FighterZ and Guilty Gear Strive. It is worth noting that these fiscal reports don’t take into account the August release of Marvel Tōkon: Fighting Souls, which has likely contributed quite a bit to the company’s revenues going into its 2027 fiscal year.
As for its own project, the studio has confirmed that it is working on one as part of the IP360 program implemented by Japan’s Ministry of Economy, Trade and Industry. In this regard, Arc System Works will join Koei Tecmo, which had announced working on a new game under the same program back in June.
In the meantime, Arc System Works is continuing its post-launch support of Marvel Tōkon: Fighting Souls, and in a recent post, project director Kazuto Sekine explained some of the changes that will be coming to the title in the coming days. He also once more apologized for the poor state of the fighting game’s PC version on launch.
“Seeing the game’s content so positively received, with players enjoying the experience and feeling inspired to keep playing, has been a tremendous source of joy for the entire development team.
“However, we also recognize that the launch period was impacted by stability issues on PC, and we sincerely apologize for the frustration this has caused our players. It was never our intention for players to be unable to enjoy the game as we envisioned, and we are currently making progress on improvements to the PC version so that everyone can enjoy the game to the fullest.”
Going forward, the studio will be working on making sure that inputs start feeling more responsive, especially when players are trying to pull off moves out of aerial dashes or free flight. Along with this, Sekine also spoke about how players have been using the Assist and Switch systems more often than the studio anticipated, and while Arc System Works still wants fights to feel chaotic, the team is looking at ways to adjust how often players can spam Assists. “Assist frequency has exceeded our initial expectations, and many players have expressed concerns about their frequency as well,” he said.
Marvel Tōkon: Fighting Souls is currently available on PC and PS5. For more details, check out our review, where we gave it a score of 8 out of 10.
