• Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.

Nintendo 1H 2012 results - $367M operating loss, 5.06M 3DS, 5.5M Wii U forecast

AniHawk

Member
5.5 million WU's by march...obviously we can't say much solid till the launch & subsequent holiday, but how ya'll feel about that target?

about par for the course. they planned on 6m wiis when that thing launched, and i think wanted 6m gamecubes by march 2002 (but wound up selling 4m). i think sony wanted 6m ps3s sold in its first few months as well.
 

Panajev2001a

GAF's Pleasant Genius
5.5 million WU's by march...obviously we can't say much solid till the launch & subsequent holiday, but how ya'll feel about that target?



first one should be a no-brainer (i'm still operating under the assumption 3DS will get this patched in after WU/NN is up and running, the latter...id love to see nintendo, sony, any of them go up against retail, and it's obvious they're making strides in DD for this new system, but on the other hand, they all seem scared to death to burn any retail goodwill. it's kind've a stalemate waiting to see who'll take them on first, even by something like $10 off regularly.
god, this is so much easier on steam.

Sony already does some kind of discounts when you buy digital on PSN, at least here in Italy compared to the prices at Gamestop.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
That it's a conservative estimate launching in a holiday season and that's probably about how many they plan to manufacture.

Mmh, 5.5 millions should be right in the end, and certainly I don't expect Wii U having a demand much higher than production.
 

Taker666

Member
They need to focus more on getting content to the west and do a complete refresh of marketing.

There are plenty of games that could have been released in the west to help sales ..all it takes is a few more translators.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
Is there a possibility to have a graph comparison of worldwide shipments between various platforms in their first year and an half?
 
all it takes is a few more translators.

And who live close enough to Nintendo and want to work in video games and who are good. Suddenly, a much, much smaller pool.

. a $99.99 3ds with $20-$30 would be a much bigger hit in the united states

This is one of the stupidest things I've ever read. They'd be losing money more than they are now.
 

Metal B

Member
Iwata must be getting a lot of heat from investors, but loosing money due to having to produce Wii U units is at least not a bad excuse.

You have to invest money to get new money, that's how businesses work, and Nintendo went trough a lot of investments (new building, new console, new internal structure) . Also you have a lot of challenges, which Nintendo and other japanese companies had to deal with. Iwata will only be in trouble, if the investments, changes and decisions will not pay off one year from now.
 
i think nintendo made the mistake of trying to make an iphone out of the 3ds. the ds did well despite not having the same features the psp had, and it did well despite being weird, outdated technology. it just had the games people wanted, and they were affordable.

the things in common all nintendo handhelds had up until the 3ds was: portability (general size), price (affordable software and hardware), accessibility (in terms of controls and games), and battery life.

the 3ds is a $170-$200 machine that was $250 at launch. it had weird screen issues and loose hinges. the battery life was short, and didn't make it a good portable. the games for the machine came from other systems until christmas, and even after that, there was nothing on the machine but a bunch of console-lite titles.

to top it off, the games are not affordable, even compared to their previous software.

the price needs to come down in general. a $99.99 3ds with $20-$30 would be a much bigger hit in the united states, but the system also needs its reason to live like tetris and pokemon did for the game boy, or nintendogs and brain age did for the ds.

This. In April of 2005, I don't think anyone would have bet on DS to beat out PSP. Then Nintendogs dropped in Japan, and a few months later in the US/EU and it became a worldwide hit. That game by itself sold many systems for holiday 2005. The 3DS needs a game like that which is a new franchise that gives the market a reason to choose it over an iPad with games bought off the iTunes store. Great existing franchises like Mario Kart, NSMB, Paper Mario and Animal Crossing appearing on 3DS wont accomplish this.
 
Well this is their second year(?) of posting losses. They have had a huge R&D budget over the past 3-4 years that everyone seemingly continued to ignore outside of "well yeah, a new console and handheld will do that." They've launched a new handheld with 3D as a hallmark selling point, and the Wii U is around the corner on a worldwide launch and it has a controller with a built-in a touch screen.

The losses seem understandable when you stand back and look at it in perspective. Let's not forget the losses Sony and Microsoft maintained throughout past decade. Whether they want to recycle the hierarchy or not is up to the salivation skills of shareholders, but I doubt anything serious is about to come to pass outside of yearly losses for 5 years straight.

They haven't had a huge R&D budget over the last 3-4 years, at least not higher than they've always had. Slightly higher in the last couple of years but it will go higher over time as inflation causes salary to grow.

It's not about the losses themselves, it's about how the losses come up unexpectedly, which tells us that management really has no clue as to what's going to happen with the future of the company. That's bad news for a company like Nintendo which has been considered a safe investment, where risk adverse investors could park their money and collect dividends without having to worry about losing anything.
 
Hopefully Nintendo will go in stressed mode. Which is the best Nintenso. I don't really like Nintendo since Iwata stopped overeating.
 

IrishNinja

Member
about par for the course. they planned on 6m wiis when that thing launched, and i think wanted 6m gamecubes by march 2002 (but wound up selling 4m). i think sony wanted 6m ps3s sold in its first few months as well.

huh...how close did sony end up meeting that figure? yeesh

Sony already does some kind of discounts when you buy digital on PSN, at least here in Italy compared to the prices at Gamestop.

that's actually really cool to hear. stateside, it's a rarity. it's not even uncommon for me to see $60 for games on XBL and PSN that are marked down at retail, for instance.

the price needs to come down in general. a $99.99 3ds with $20-$30 would be a much bigger hit in the united states, but the system also needs its reason to live like tetris and pokemon did for the game boy, or nintendogs and brain age did for the ds.

agreed, but pokemon came later, didn it? i forget how far along the DS was before it got brain age & nintendoggies. still, hopefully it gets something like that soon...or more people discover pushmo, heh.

This is one of the stupidest things I've ever read. They'd be losing money more than they are now.

i don't think Ani was laying out a plan for that to happen tomorrow, but it's hard to argue with the fact that it'd really help combat the ios/android model they're up against.

i don't think every game should be $1 either, but when im asked $5 or so for Urban Champion, i think the point is being missed
 

Miles X

Member
How much did 3DS ship this Q? That 5.06m figure is the last 6 months. Wii did 610k, down 100k Q over Q.

Surprised their target for Wii is 5m, that's 3m+ they expect over the holidays, I guess it's doable but I expect it to be down more.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
How much did 3DS ship this Q? That 5.06m figure is the last 6 months. Wii did 610k, down 100k Q over Q.

Surprised their target for Wii is 5m, that's 3m+ they expect over the holidays, I guess it's doable but I expect it to be down more.

Since they shipped 1.86 millions in Q1, this means they shipped 3.20 millions of 3DS during Q2.
 
bout time somebody posted this lol.

3ds shipments seem high. the thing is selling like 200k/month in America? and i dont think much better in the other regions? so how does ~600kx3 come close to 5m, even if we allow tons of generous fudge room?

maybe they pre-ship some for the holidays as sony seems to do in their third quarter ship numbers.
How much did 3DS ship this Q? That 5.06m figure is the last 6 months.

wait, is it?
 
maybe they had to make it weaker and that increased the cost.

128080298493.jpg
 
And who live close enough to Nintendo and want to work in video games and who are good. Suddenly, a much, much smaller pool.



This is one of the stupidest things I've ever read. They'd be losing money more than they are now.

Then they should have designed a portable console to meet that price (well Anihawk is being Anihawk 129 is more appropriate). The 199 handheld market is dead with the fact you can now get fully featured tablets for that price. If Nintendo continues to try to stick to the above 150 model in today's market they'll continue to die in the west.
 
Since they shipped 1.86 millions in Q1, this means they shipped 3.20 millions of 3DS during Q2.

so how about wii this quarter?

1.32m is the 6 months number? what is the quarterly?

edit: i guess it is .61. 1.32-.71 i have for last quarter.

it is really going to limp to 100m. if make it at all.

wii ltd should now be 97.17. i'd say 100m should be a doddle with a 4thq coming up, but the way wii is declining who knows.
 

Miles X

Member
I would be highly impressed if Sony managed to ship over 500k considering all the stock that was left over and the complete lack of sales this quarter.

Do we still not have a solid breakdown of last Q? :-( I'm glad Nintendo went back to seperating their consoles, hope Sony does the same.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
It would have to have a huge collapse not to...



When just looking at plain hardware sales it definitely seems decent although not up to usual Nintendo handheld standards.

Err, actually I think the overall number is much better than just decent, but I'm waiting for a well-made hardware shipment table. I'd really like to have one.
 

GavinGT

Banned
I would be highly impressed if Sony managed to ship over 500k considering all the stock that was left over and the complete lack of sales this quarter. Although I guess I'm probably underestimating Other

You're right, it's probably more like 8 to 1.
 

AniHawk

Member
This is one of the stupidest things I've ever read. They'd be losing money more than they are now.

their $39.99 games are keeping tons of people away. even if they do buy the system, they're not buying much software for it. there's about 4-5 nintendo games above 500k in the united states, and then the next closest thing are a handful of games selling 250k-300k. that is terrible considering these games are traditionally strong on nintendo brands (sonic, lego, kingdom hearts, etc).

the $169.99 price tag is a huge barrier too. at the very least, it needs to be $149.99 next year, especially since there's no signs of a savior in the near-future, and i doubt animal crossing will do the trick.

and the problem is less about how they're fucking up the 3ds and more about how the dedicated handheld market is being fucked overall. if nintendo had gotten a grip and stuck with its formula in the handheld world, they'd probably be making some good money off a portable dreamcast with an emphasis on 2d games and some gimmick. and even if it meant the vita was where it was now, there'd be an argument that people want dedicated handhelds to stick around. right now it looks like consumers are pretty lukewarm to the idea in the united states and europe.

next gen, nintendo may give dedicated handheld gaming another go, but it'll be from a weakened position.
 
This is official or an educated guess?

Think he meant last Q as in the last Q they reported so Apr-June

Edit: I completely agree with Anihawk. 39.99 games are killing the 3DS. If I was a parent who wasn't into videogames there is no way in hell I would buy my kid a system that cost almost/as much as a tablet with really expensive games. There should be a long selection of 19.99 games. Instead Nintendo is fucking up the pricing of the entire 3DS ecosystem hard. I'm not even going to get into Vita because good lord.
 
I always felt that Nintendogs would be a 'bubble' of sorts - its like the new Tamagotchi or Furby or something. Brain Training on the other hand will still have a lot of fans I feel, the next real game in the franchise isn't out in NA until December, and it still doesn't have a date for Europe. Definitely worth making both games for 3DS anyway, as I'm sure the ROI is probably pretty good.

Its easy to forget that these franchises are only a generation old and their first entries did extremely well. Nintendo would be mad if they didn't attempt sequels or successors to them.

Art Academy on 3DS is incredible, and I know for sure that I can't wait for Fallblox...

I agree with your recommendations re: services, but I have no problem with their game output at the moment.

Brain Training needs to be an e-shop title for maximal 10 bucks. It's not a viable retail game anymore, regardless if Nintendo still thinks it is. It simply isn't. Even at 10 Bucks it's stretching it. 5 or 6 bucks would be my threshhold to bite.

Art Academy on the other hand is also a kind of game that should be e-shop centric with a 10-15 bucks price point. Regardless of it's value, which is admittedly extraordinary, it's hard to convince anyone to buy a Painting Teaching App. For one, tons of people are immensely afraid of even trying it for fear that they might suck at it. Furthermore since there is Colors 3D and all those other painting Apps available on IOS/Android, selling the game at full price is just a hard sell.

Fallblox/Pullblox are probably the games Nintendo should be focusing on. They are brilliant, reasonably priced and addicting.

Nintendos reluctance to present their e-shop offering on the center stage is hurting them a lot. Their extraordinary high pricing policy is another hindring factor. Charging full price for digital versions of a game, on a system that has no unified account system is just pure robbery and irresponsible.
 

Striek

Member
Err, actually I think the overall number is much better than just decent, but I'm waiting for a well-made hardware shipment table. I'd really like to have one.
Its way less than the DS during the same quarter timeframe for comparison.

Code:
DS
Hardware      Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD
 
FY 2004/05      -        -      2.84    2.42      5.26    5.26
 
FY 2005/06    1.29    2.19    5.69    2.29      11.46    16.72
 
FY 2006/07    4.54    5.55    8.79    4.67      23.55    40.27
Code:
3DS
Hardware      Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY    LTD
 
FY 2010/11      -        -        -      3.61      3.61    3.61
 
FY 2011/12    0.71    2.36      8.36    2.10      13.53  17.13     
 
FY 2012/13    1.86    3.20        -      -       5.06    22.19

The handheld market has shrunk a lot. Even in Japan. 3DS is no DS, Vita is no PSP, DS is no GBA.
 

DGRE

Banned
A couple notes.

-I'm amazed that Wii software sales are at near-parity with DS software sales, with only 2/3 the hardware sales.

-NA is the issue with 3DS sales, obviously, as we've been aware of for awhile. NA sales of the DS were almost 3x that of the Japan figure, but NA and Japan are equal in terms of 3DS. Nintendo has to figure out how to make 3DS relevant in the states, where I'm sure Ipod and iPad sales are much brisker than in Japan.

Ways to do that?
-outlive the Vita. This would allow them to snag some of the exclusives it has.
-become a serious portable sports contender. Nintendo has to make a concerted partnership with EA to really make this a reality.
-distance itself from apps. They shouldn't even bother trying to draw from the phone market. They really need to stay unique.
-price drop to $149 for OG 3DS
-More 1st and 3rd party killer apps, aimed at the western market. Even if they brought over some of the games that have stayed in Japan, it wouldn't make much a dent because they're all fairly niche. Animal Crossing will do okay but they really need to step out there and move with the IPs that are big in the states.

What else can they do?
 
I'd expect Nintendo to look at reducing the price slightly of 3ds next year (maybe $150 or even $140) just to put it a little more mass market, as for prices of software I think as the range of games increases (3ds still hasfar too small a llibrary) we'll see more older titles sitting on shelves for $20 or even less plus I think Nintendo need to start getting download cards in shops for shop exclusive games
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
Its way less than the DS during the same quarter timeframe for comparison.

Code:
DS
Hardware      Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD
 
FY 2004/05      -        -      2.84    2.42      5.26    5.26
 
FY 2005/06    1.29    2.19    5.69    2.29      11.46    16.72
 
FY 2006/07    4.54    5.55    8.79    4.67      23.55    40.27
Code:
3DS
Hardware      Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY    LTD
 
FY 2010/11      -        -        -      3.61      3.61    3.61
 
FY 2011/12    0.71    2.36      8.36    2.10      13.53  17.13     
 
FY 2012/13    1.86    3.20        -      -       5.06    22.19

The handheld market has shrunk a lot. Even in Japan. 3DS is no DS, Vita is no PSP, DS is no GBA.

...Err, actually, after seven quarters, 3DS is slightly over what DS did in the same number of quarters. And this despite DS had two Holidays in both Japan and US in the same timeframe, while 3DS just one.

DS after seven quarters - 21.26
3DS after seven quarters - 22.19
 

Bruno MB

Member
NDS Worldwide Unit Sales (Unit:Million)

Code:
Hardware       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD

FY 2004/05       -        -      2.84     2.43      5.27     5.27

FY 2005/06     1.38     2.19     5.59     2.30      11.46    16.73

FY 2006/07     4.54     5.55     8.79     4.68      23.56    40.29

FY 2007/08     6.98     6.37     11.15    5.81      30.31    70.60   

FY 2008/09     6.94     6.79     11.89    5.56      31.18    101.78

FY 2009/10     5.97     5.73     11.65    3.76      27.11    128.89

FY 2010/11     3.15     3.54     9.01     1.82      17.52    146.42

FY 2011/12     1.44     1.14     2.06     0.46      5.10     151.52

FY 2012/13     0.54     0.44       -        -       0.98     152.50



Software       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY       LTD

FY 2004/05       -        -      5.01     5.48      10.49    10.49

FY 2005/06     5.32     7.98     22.60    14.05     49.95    60.44

FY 2006/07     18.35    24.81    50.64    29.75     123.55   183.98

FY 2007/08     34.26    41.24    71.39    38.73     185.62   369.61   

FY 2008/09     36.59    48.43    78.76    33.53     197.31   566.92

FY 2009/10     29.09    42.06    50.23    30.21     151.59   718.5

FY 2010/11     22.42    32.42    44.15    21.99     120.98   839.48

FY 2011/12     12.13    16.86    22.21    9.62      60.82    900.31

FY 2012/13     8.48     8.82      -        -        17.30    917.61

Wii Worldwide Unit Sales (Unit:Million)

Code:
Hardware       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD

FY 2006/07       -        -      3.19     2.65      5.84     5.84

FY 2007/08     3.43     3.90     6.96     4.32      18.61    24.45   

FY 2008/09     5.17     4.93     10.42    5.43      25.95    50.39

FY 2009/10     2.23     3.53     11.30    3.48      20.53    70.93

FY 2010/11     3.04     1.93     8.75     1.36      15.08    86.01

FY 2011/12     1.56     1.79     5.61     0.88      9.84     95.85

FY 2012/13     0.71     0.61      -        -        1.32     97.18

                 

Software       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY       LTD

FY 2006/07       -        -      17.51    11.33     28.84    28.84

FY 2007/08     15.98    20.99    47.38    35.25     119.60   148.44  

FY 2008/09     40.41    41.00    82.37    40.80     204.58   353.02

FY 2009/10     31.07    45.14    80.43    35.17     191.81   544.83 

FY 2010/11     28.17    37.04    85.33    20.72     171.26   716.09

FY 2011/12     13.44    23.01    52.61    13.31     102.37   818.46 

FY 2012/13     8.47     15.27      -        -       23.74    842.20

3DS Worldwide Unit Sales (Unit:Million)

Code:
Hardware       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY     LTD

FY 2010/11       -        -        -      3.61      3.61    3.61

FY 2011/12     0.71     2.36      8.36    2.10      13.53   17.13       

FY 2012/13     1.86     3.20        -       -       5.06    22.19



Software       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY     LTD

FY 2010/11       -        -        -      9.43      9.43    9.43

FY 2011/12     4.53     3.60     19.91    7.96      36.00   45.42    

FY 2012/13     7.39     11.64      -       -        19.03   64.45
 

DGRE

Banned
...Err, actually, after seven quarters, 3DS is slightly over what DS did in the same number of quarters. And this despite DS had two Holidays in both Japan and US in the same timeframe, while 3DS just one.

DS after seven quarters - 21.26
3DS after seven quarters - 22.19

Thank you. That was hugely disingenuous what Shriek did with the numbers. He included 3 extra quarters for DS. Made zero sense.
 
Top Bottom