We may get a peak at their QoL product. Its probably too soon to reveal a 3DS or WiiU successor.
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Nintendo full year financial results [23.2B yen loss, 3.6M Wii U/12M 3DS forecast]
- Thread starter zomgbbqftw
- Start date
We may get a peak at their QoL product. Its probably too soon to reveal a 3DS or WiiU successor.
TheDrowningMan
Member
That's what I was thinking. I'm not sure it gets above 2m without a fire sale.
But they didn't use it on absorbing losses, though. They used it on their long-term plan of expansion (for the most part). These plans don't have immediate consequences in terms of recovery.
Nintendo would probably completely change their business before they reach that point lol
Yeah i wonder if they're gonna try and boost sales of the Wii U with their strong software line-up or if they're just gonna let the Wii U die slowly :-/
I honestly believe in the first but ye..
Yeah, majority of those loses have been from share buybacks and investments (new buildings, R&D). They spent 270 millions ($) in R&D just for Q4. That's quite big.
...Thinking about it, do we have any idea of how much they've invested in R&D during the last 2 years? In FY2014, investments have been massive, but what about FY2013, when the restructuration plan actually started?
...Thinking about it, do we have any idea of how much they've invested in R&D during the last 2 years? In FY2014, investments have been massive, but what about FY2013, when the restructuration plan actually started?
metalslimer
Member
A price drop to what? Nintendo has already played their biggest cards in both America and Japan. A price drop now would invigorate sales, but it would not be a multi year sustained improvement. I don't think you realize exactly what you are arguing. The 3DS will not double it's LTD barring some crazy China expansion. The 3DS will continue its decline this year, and like will decline even further next year. The market is fundamentally changed, and the system is not even as dominant in Japan as it was.
I'm guessing it was just fanboy nonsense.
Zeyphersan
Banned
I don't think Iwata's coming back, honestly
Aquamarine
Member
Mihael Mello Keehl
Banned
Nobody is really stating otherwise, theres not as much drama to this anymore as wishing it to be.
Duxxy3
Member
Forecast of 12m 3ds makes me think there is a revision on the way.
If QoL is a genuine fitness device aimed at the mass market then surely E3 would not be the correct forum to unveil it.
They already squashed rumours that they'd unveil new hardware at the event, and I believe them. So it'll be software only, which is why the digital event makes sense for them. I still foresee a reveal of their next handheld in March next year, I think. In time for a holiday 2015 release. That'll be the next big one.
I thought the 3DS forecast for last year seemed realistic for the time. Pokemon/MH4/western release of AC and only a few million more than 2012. They just never doubled down with a price drop or major marketing campaign. It is really surprising they ended up with a YoY decline IMO.
A long term plan which so far shows no sign of returning that investment. At this point it doesn't matter how they are losing the money only that in the near time there are no signs that the money is coming back. I could spend a billion dollars a year on expansion and R&D but if that epansion and R&D only nets me 100 million more in income. It's not coming back
GhostTrick
Banned
Yes I do, there are always good ways to boost sales. And I also think it is time for a new revision, and not a 2DS one, but one that makes people want to upgrade.
Rome wasn't built in a day. Turnarounds don't come in a day.
I'm just continually explaining the losses because people keep asking
No, but it was sacked in a day (or three).
soxinthebox
Member
If it's backwards compatible then I don't see the problem bringing it out sooner rather than later.
AARGL don't use spline interpolation in a case like this.
Yup. Ignore Wii spike, and its clear what's the trend for Nintendo home console sales.
(I agree with your point but that's a terrible practice)
Because the building has just finished and R&D injections never have short term recuperations. Companies do not do these things for the short term. Patience.
metalslimer
Member
To be fair, it's showing no signs of returning the investment because all of their moves have been very recent. We don't even know what QOL is for example.
No there isn't. There is no such thing is as infinite growth. At some point, there is saturation and the attempts to boost sales are not worth it from a financial perspective. Yes the 3DS can use a price cut and/or a new revision, but what about next year, and the year after that. Not only that, the successor must release at some point and with Nintendo's way of releasing software the 3DS will die a very quick death soon after.
The 3ds wont sell 35 million units in the next 2 years (i expect the successor in early 2016).
No chance it will hit 80 million. 70 probably, but that seems high as well with how things are going.
Looking at the financial figures and at the sales forecast, they can't really afford a new hardware until 2016 (QoL is already on the table) and that will probably be a handheld.
ThoughtsOfSpeaking
Banned
Honestly, all I care about is if there is a hint of Bayonetta release date.
Does this report have an upcoming titles section? Don't really want to download the whole thing.
Does this report have an upcoming titles section? Don't really want to download the whole thing.
Yup. Ignore Wii spike, and its clear what's the trend for Nintendo home console sales.
Nintendo should go software only for videogames for sure. A Wii wont happen again.
Psycho_Mantis
Banned
What?
2DS is at £99. Nintendo dropped Pokemon and MH4 last year. This years lineup is much worse in terms of software no doubt.
Zeyphersan
Banned
(For the record I agree, but the general consensus, and the opinion that Nintendo most likely shares is "Don't burn your core fanbase by dropping console support after only two years")
I never use it, but this pic is not made by me.
Isn't the point of a long term investment that it won't pay off for a while? It hasn't even been long enough for the work they've put into R&D to show any result yet.
vinnygambini
Why are strippers at the U.N. bad when they're great at strip clubs???
Tomorrow, a Supplementary Report will be released and should offer us some guidance for FY15 titles.
let me borrow your crystal ball
GhostTrick
Banned
Because... when the successor hit, the console stop selling ? Selling 35 millions in the next 3 years is pretty much doable, especially with a big new revision, a DSi like one, and of course, a 50 dollars price drop.
HUELEN10
Member
Why not? That's all I want to know. Why not? They nailed it with the NES, they nailed it with Wii, why can't they nail it again?
Hell, I think they might be, depending how this QoL thing pans out
Changing consumer expectations + increased competition feeding consumer demand at both high quality/mobile levels + heavily increased costs of development, for a start. Certainly not impossible, but...
shinra-bansho
Member
53.4B yen was expensed for R&D in FY2013.
New buildings replace old buildings as the latter depreciate off the balance sheet. The balance of PPE has only increased by ~40B yen.
GhostTrick
Banned
No one cares about 2DS. People don't want the lowest end of an already low end hardware wise handheld. If you want to move units with a new model, 2DS was a bad idea since the begining and I think that classic 3DS priced as the same as 2DS would've sold more units. Nintendo dropped Pokémon for sure... does it mean they can't make another Pokémon game ?
With the industry going the way it's going (massively increasing budgets on titles, anti consumer practices like paywalls and microtransactions), I fear that the industry is going to contract soon, and Nintendo is the most likely one to pull through and turn it around, like they did with the last crash.
The new buildings aren't replacing the old buildings...
It's not just that. You can't release new hardware if there aren't any games to play on it and expect it to sell well.
QoL/fitness isn't going to be making the type of money that would gaming any time soon even if they have a big hit.
StreetsAhead
Member
metalslimer
Member
No it's not. Take a look at what they did last year, take a look at the sales that they obtained from all that happened last year, and say again that magically they can sustain sales for another 3 years straight. Also, have you ever looked at how quickly Nintendo hardware dies after a new release? Once Nintendo releases a successor the software focus will be square on that new system.
Since when has the 2nd Pokemon game ever boosted sales the same as the 1st? But this arguement seems to be going nowhere. I don't see how anyone can look at declining sales in every territory and predict a resurgence in a rapidly contracting market.
Are you sure they will be the ones to pull thru it? I worry that at this point they will be forced out before it gets to that point. Maybe a new player will come in then and push ahead? Of course I dont want Nintendo to stop making consoles/handhelds.
Nothing is impossible, it's just very unlikely.
The NES was great, but Sony ran off with that concept. The Wii came almost 30 years later after a long downward trend of console sales. What if the next Wii comes in 30 years? The trend for traditional Nintendo console sales will be nearing zero then. Nintendo can't keep losing money for years and years.
Some Nobody
Junior Member
Not just Smash. MK8, which by all indications will probably sell quite a few copies and hopefully take the place of NSMB U as top selling title.
Anyway, this looks pretty bad for Nintendo but not catastrophic. I don't think there's much they can do to save the Wii U at this point, but I certainly hope they don't just give up on the system.
Yes but my point is roughly it doesn't matter what they are spending it on they can't keep spending at this rate or there will be no company to collect on any long term gain. You can't indefinately spend large chunks of cash and say it's a long term investment. Simple as that no more or less.
Psycho_Mantis
Banned
Lol. The DS sold an extra 7 million years after the 3DS was launched. The 3DS aint no DS as well.
This ain't no PS2 scenario. Nintendo consoles have short cycles.