Yes, "N" is very far from broke, but games like Zelda cost millions, and making new consoles and handhelds cost tons more in R&D. When you have money, and nothing is really keeping you in the positive, that money will dry up quickly. It will also erode confidence in making new software or taking chances on new ideas. We can already see how this is effecting their games. So are they broke? No, but are they at the lowest point in their gaming career? I would personally say so.
People were saying the same thing about Sony when the PS3 was out and not selling well ("Sony is dead") and look, now that they came back with the PS4 everyone is happy to say the future is bright for Sony.
Do not jump to conclusions over a single generation of consoles. The N64 sold Ok, the GC sold poorly, yet they came up with the Wii that broke records. They may pull it again in another 5 years, who knows.
Besides, their core business is way more skewed on the portables consoles, not on the home consoles anymore. While the sales of 3DS are decreasing, it's still a system selling really well, and contributing to a large source of their income. That won't disappear anytime soon, especially since the 3DS is the de facto standard for gaming consoles on the go (the PS Vita not working at all).
You do see that I was referring to RE on a "N" system right? As this was the whole basis of the discussion. RE selling poorly on "N" systems. If your going to bring up numbers, bring up those of RE games on "N" platforms, and I think you'll find RE4 sold the most. Next time quote the whole statement, and don't be so quick to prove someone wrong.
OK, I just thought you were referring to RE4 as the last RE game that sold well for Capcom - no problem if your statement focuses on "N" systems only, but then it's not really a fair comparison since RE5 and RE6 were not released on Nintendo systems, and they are the only "canonical" RE worth considering, i.e. not spin-offs.
Capcom has lost key members through firing or quieting and they haven't done anything good in a long time.
Are you talking about Inafume ? Or someone else? Inafume has had no major success at Capcom for a long time, to be honest, it was time for him to do something else.
And as far as I know SF4 has been hugely popular over the past few years, with the same person who was in charge of SF2 in the first place. It's not all black or white.