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[Linkified]

That's the most interesting to me. The revenue breakdown shows that not only is handheld revenue way down from it's peak, it has yet to start growing again. This is the point where DS really exploded, I just don't see 3DS making the same jump. It will track in between GBA and PSP for the foreseeable future now rather than with DS.

The chart also shows just how heavily the Wii expanded Nintendo's audience (and revenues) from a low of just $79m in a single quarter with GCN, they peaked at over $1bn in a single quarter with Wii. We could be heading for an era where Nintendo bring in the same amount of money they did with GCN/GBA but without the GCN hardware profit margins.

But at that point the DS had software which people wanted to play - we are just heading into that range now - that is to say the quantity of software which makes someone switch from won't to maybe to buy.

I honestly expect the similar sales for the 720/PS4 as the WiiU - the software that has been announced and so much is cross generational why would people want to sacrifice their digital libraries for a new console - doesn't make sense.

 

[Road]

 

[Yoshi]

Super Mario Galaxy - 1,040,000 / 11,720,000
Super Smash Bros Brawl - 690,000 / 11,490,000

Am I readying this right as: Mario Galaxy has surpassed Smash Bros. Brawl? Yay if true .

 

[z0m3le]

Hey, this is on the front page of the wsj today! "Nintendo Wii u sales miss target." Ouch.

That is probably more exposure than it has had since Christmas. also fell quite short of it's target so that actually doesn't sound as bad as it is.

 

[zomgbbqftw]

But at that point the DS had software which people wanted to play - we are just heading into that range now - that is to say the quantity of software which makes someone switch from won't to maybe to buy.

No, it was stuff like Brain Age that really made the DS explode, the same people who bought the Wii in droves also bought the DS and then as a happy coincidence they happened to enjoy other Nintendo games too. Without something like Brain Age to push 3DS to the masses it's not going to be the same. And of course Brain Age is old news now so it doesn't have the same effect.

 

[troushers]

Japanese central bank has begun a series of major economic measures including quantitative easing ie printing money. I'm not an expert, but I think this means that the Yen will depreciate against other currencies short term, but long term its complicated by a lot of other factors, not least other countries doing the same thing ie a race to the bottom.

 

[michaelius]

That is probably more exposure than it has had since Christmas. also fell quite short of it's target so that actually doesn't sound as bad as it is.

Quite?
Nintendo projected to ship 0,91 milions this quarter they did 0,39

 

[SmokyDave]

I'm pretty sure that's a picture of the level I keep getting stuck on in Tiny Wings.

 

[Raist]

I know the Wii U is doing badly month to month, but 3.5 million units doesn't seem so bad in 5 months, I guess?

Well if you compare to Wii's debut... that's quite bad. Especially since these are shipped figures and the WiiU isn't exactly supply constrained like the Wii was.

 

[Ricky 7]

Kid Icarus: Uprising sold over a million? Yes! Justice.

 

[z0m3le]

Quite?
Nintendo projected to ship 0,91 milions this quarter they did 0,39

Quite: to a considerable extent or degree: quite small; quite objectionable.

IE: Wii U fell quite short of their target... or you know... less than half way.

 

[Frankfurter]

Japanese central bank has begun a series of major economic measures including quantitative easing ie printing money. I'm not an expert, but I think this means that the Yen will depreciate against other currencies short term, but long term its complicated by a lot of other factors, not least other countries doing the same thing ie a race to the bottom.

It already has depreciated like ~30% against € and $ compared to its heights around June 2012. Most of that depreciation happened in the past few months though, so it didn't help Nintendo that much yet (it will in this FY though).

 

[GopherD]

That is a whole lot of awful numbers, even without the op loss figure.

3DS shipments down to 1.2 worldwide, Jesus. Software growth to 10 million means that increased numbers of shipped titles are not capturing new segments in market share. There is no buy-in from the market at these figures.

The WiiU is just abysmal. 1.73 million software units sold worldwide in three months. That is the number one reason why the third parties ran in droves.

If the WiiU had a normal 360/PS3 market to attack this Christmas, I would say the software coming would give it a chance. But up against new consoles and expanded marketing spends? It's going to be really, really tough.

 

[Deku Tree]

Seems like those analysts projecting losses were wrong wrong wrong.

 

[zomgbbqftw]

Japanese central bank has begun a series of major economic measures including quantitative easing ie printing money. I'm not an expert, but I think this means that the Yen will depreciate against other currencies short term, but long term its complicated by a lot of other factors, not least other countries doing the same thing ie a race to the bottom.

Not really. The G20 just praised Japan's effort to banish deflation, no race to the bottom so far. Only the Koreans look worried right now because a resurgent Sony/Panasonic on the back of weak yen is not good for them.

Sparking some kind of inflation is also good for domestic sales as it will make people want to spend their money rather than save it and that will lead to job creation and economic growth. It really is the best way for Japan to return their economy to health. Abe is doing exactly what he said he would so far, and there is no doubt that Japanese industry is benefiting. The next step is a gradual reopening of the safe nuclear reactors to lessen the reliance on imported gas and to fix/lower the energy costs of consumers and corporations.

Seems like those analysts projecting losses were wrong wrong wrong.

36bn operating loss. So they were wrong, it was worse than the 18bn operating loss predicted.

 

[shinra-bansho]

But at that point the DS had software which people wanted to play - we are just heading into that range now - that is to say the quantity of software which makes someone switch from won't to maybe to buy.

The NDS didn't slowly, gradually increase in sales due to accumulation of software it exploded due to Brain Age. Sales of the NDS after its release essentially tripled, iirc.

Seems like those analysts projecting losses were wrong wrong wrong.

Yes. They were wrong. The operating losses were much larger.

 

[Pie and Beans]

Seems like everything is just fully normalising to where Nintendo were with GBA and Gamecube. The danger is that WiiU will have an even sharper drop off than Gamecube because it isn't as viable a platform with third party evacuation and Nintendo struggling with HD development, not to mention its already selling behind by a fair measure.

 

[Basileus777]

Seems like everything is just fully normalising to where Nintendo were with GBA and Gamecube. The danger is that WiiU will have an even sharper drop off than Gamecube because it isn't as viable a platform with third party evacuation and Nintendo struggling with HD development, not to mention its already selling behind by a fair measure.

The Gamecube also wasn't being sold at a loss at $350. The expense of the WiiU's hardware really puts Nintendo in a bind. The price cuts the console desperately needs to coincide with the Fall software isn't possible if Nintendo wants to aim for that 100 billion yen profit.

 

[IceDoesntHelp]

Very happy to hear that Kid Icarus did well!

 

[GopherD]

Seems like those analysts projecting losses were wrong wrong wrong.

The market predicted an operating loss of $180 million. They just announced an op loss of $360 million.

 

[Roo]

Wii U is definitely crawling, what a shame. Hope the Holiday line up is good enough to boost the console' sales.

Yay for Wii tho, it's next to nothing to hit the 100 million mark!
and about the DS... good night, sweet prince.

 

[Pie and Beans]

The Gamecube also wasn't being sold at a loss at $350. The expense of the WiiU's hardware really puts Nintendo in a bind. The price cuts the console desperately needs to coincide with the Fall software isn't possible if Nintendo wants to aim for that 100 billion yen profit.

Haha, thats the crux of it. I mean investors should be wary of being lied to normally, but Iwata has got up today and said "9 million WiiU's, 100 billion yen profit! I'm King of the USA!" and dropped the mic.

They wont get to 9 million without nigh on halving the retail price (ala Gamecube), but then that totally destroys the 100 billion. But they won't get to the 100 billion without somehow jumpstarting hardware install bases even higher.

Unless Iwata is a total buffoon, and I genuinely don't think he is and is just outdated and not globally minded enough, he lied through his fucking teeth and set targets that are so far away from reality I don't see how he stays past 2014.

 

[Rösti]

I see no mention of an investor briefing on the Japanese IR page. It's 9 p.m. in Japan right now, so I guess there won't be one today at least. Does anyone know what's up?

A bit disappointing numbers here, but I'm sure the platform (Wii U) will be reinvigorated once the big titles start showing up. Hopefully the 3D Mario title will be launched this holiday, maybe even Mario Kart.

 

[Mpl90]

I see no mention of an investor briefing on the Japanese IR page. It's 9 p.m. in Japan right now, so I guess there won't be one today at least. Does anyone know what's up?

A bit disappointing numbers here, but I'm sure the platform (Wii U) will be reinvigorated once the big titles start showing up. Hopefully the 3D Mario title will be launched this holiday, maybe even Mario Kart.

http://www.nintendo.co.jp/ir/en/index.html

Apr. 25, 2013Fiscal Year Financial Results Briefing
(for institutional investors and securities analysts)Jun. 27, 2013The 73rd Annual General Meeting of Shareholders [Scheduled]

 

[TheDrowningMan]

3DS is still considerably more expensive than its pre-DSi predecessors were in most territories; I see it comfortably outperforming GBA and PSP, ending up north of 100m before being sent to the chopping block.

 

[jcm]

Man, what a terrible report. There's basically no good news. Anyway, here's an update to the exciting 3DS vs NDS race:

TTM after 9 quarters on sale:

3DS Hardware: 13.95
NDS Hardware: 21.18

3DS Software: 49.61*
NDS Software: 107.85**


* This does not include eshop titles
** This does not include DSiWare.

 

[Mihael Mello Keehl]

I see no mention of an investor briefing on the Japanese IR page. It's 9 p.m. in Japan right now, so I guess there won't be one today at least. Does anyone know what's up?

A bit disappointing numbers here, but I'm sure the platform (Wii U) will be reinvigorated once the big titles start showing up. Hopefully the 3D Mario title will be launched this holiday, maybe even Mario Kart.

One in like 12 or so hours I think

 

[shinra-bansho]

Somewhat of an aside, but I was looking at some GBA NPD numbers from its equivalent first two years on the market.

From the numbers I'm seeing it significantly outperformed the 3DS?

Are the numbers I'm looking at wrong?

EDIT: Picture of what I'm referring to:

 

[WAR recon zero]

Operating income is a loss. So they lost money?

Help me understand. I'm an idiot

 

[Linkified]

No, it was stuff like Brain Age that really made the DS explode, the same people who bought the Wii in droves also bought the DS and then as a happy coincidence they happened to enjoy other Nintendo games too. Without something like Brain Age to push 3DS to the masses it's not going to be the same. And of course Brain Age is old news now so it doesn't have the same effect.

Apart from it hasn't been released outside of Japan and America at least on 3DS. Plus that never seemed the reason that people jumped on the DS in the first place it was because - 1)Cheap 2)Lifestyle device.

They are positioning as a gaming device first to avoid being compared to Apple. If they really wanted to be compared under those unfavorable comparisons - talk to movie studios get downloadable 3D versions of those films on the E-shop and have Johnny Depp watching Lone Ranger/Alice in Wonderland/POTC/Charlie in the chocolate factory in 3D on the device.

 

[Aquamarine]

Somewhat of an aside, but I was looking at some GBA NPD numbers from its equivalent first two years on the market.

From the numbers I'm seeing it significantly outperformed the 3DS?

Are the numbers I'm looking at wrong?

I don't have the numbers in front of me at the moment, but I don't think so, no.

The GBA was an absolute beast in the market. Basically the only reason it didn't achieve the heights of the DS is because its life was prematurely cut short by the Nintendo DS.

 

[Rösti]

http://www.nintendo.co.jp/ir/en/index.html

Apr. 25, 2013Fiscal Year Financial Results Briefing
(for institutional investors and securities analysts)Jun. 27, 2013The 73rd Annual General Meeting of Shareholders [Scheduled]

One in like 12 or so hours I think

Great. Thank you.

 

[Frankfurter]

That is a whole lot of awful numbers, even without the op loss figure.

3DS shipments down to 1.2 worldwide, Jesus. Software growth to 10 million means that increased numbers of shipped titles are not capturing new segments in market share. There is no buy-in from the market at these figures.

The WiiU is just abysmal. 1.73 million software units sold worldwide in three months. That is the number one reason why the third parties ran in droves.

If the WiiU had a normal 360/PS3 market to attack this Christmas, I would say the software coming would give it a chance. But up against new consoles and expanded marketing spends? It's going to be really, really tough.

Increased number of shipped titles? I must have missed those. Q1 didn't have much software (+ not much momentum coming from the weak Q4 releases) and the software it had was mostly only available in certain region (Fire Emblem) or was released at the very end of the quarter. The rest of this year will look much better imo and 3DS will gain quite some momentum.

Edit: Concerning 3DS hardware shipments: these only tell half the truth. Nintendo sold through ~1.2 million 3DS in Japan alone in Q1, i.e. those bad hardware shipments in Jan-Mar quarter are atleast partly a result of overshippin in the Oct-Dec quarter.

 

[Pie and Beans]

Operating income is a loss. So they lost money?

Help me understand. I'm an idiot

Their business is not doing well. Japan's Prime Minister Shinzo Abe made it his job to ensure all japanese businesses do better by improving the Yen's standing. So Nintendo didn't lose money due to exchange rates improving in their favour. A hollow victory.

Oh dear oh dear.

 

[mugurumakensei]

Somewhat of an aside, but I was looking at some GBA NPD numbers from its equivalent first two years on the market.

From the numbers I'm seeing it significantly outperformed the 3DS?

Are the numbers I'm looking at wrong?

It also significantly outsold the DS in the same time period, and the 3DS is outselling the DS for the same time period. The GameCube and the XBox had better out of the gate sales than the Wii and the 360.

 

[Mpl90]

Increased number of shipped titles? I must have missed those. Q1 didn't have much software (+ not much momentum coming from the weak Q4 releases) and the software it had was mostly only available in certain region (Fire Emblem) or was released at the very end of the quarter. The rest of this year will look much better imo and 3DS will gain quite some momentum.

Actually, software sales in Q1 have been much better than last year's Q1 (10 millions v.s. 8 millions). And, as already said, 3DS sold to customers much more than 1.24 millions just considering Japan and US. The low shipment is a consequence of Q4 overshipment.

 

[grimshawish]

Their business is not doing well. Japan's Prime Minister Shinzo Abe made it his job to ensure all japanese businesses do better by improving the Yen's standing. So Nintendo didn't lose money due to exchange rates improving in their favour. A hollow victory.

Is it that hollow? Their business was being affected by the Yen's problems. Its making back money on where they were making losses before.

Looking at their forecasts the Operating Profit seems to be mostly based on that situation continuing forward (e.g. not worsening) and 3DS success this year.

 

[Pie and Beans]

Is it that hollow? Their business was being affected by the Yen's problems. Its making back money on where they were making losses before.

Looking at their forecasts the Operating Profit seems to be mostly based on that situation continuing forward (e.g. not worsening) and 3DS success this year.

Their business is being affected by more than just the Yen's problems. I hadn't thought to check if 3DS was outperforming GBA because I just assumed it was. To see its not, thats both the handheld and home console performing behind the GC era. This is all resoundingly bad news.

 

[Madao]

http://www.nintendo.co.jp/ir/sales/software/ds.html

Holy crap, NSMB on DS is over 30 million.

wait, i just noticed something.
has SM64DS surpassed the N64 version? that'd be insane if it happened. i can't remember the sales of SM64 so it would be nice if someone found them. SM64DS is at 10.83 million and i don't remember the original getting that high.

 

[shinra-bansho]

I don't have the numbers in front of me at the moment, but I don't think so, no.

The GBA was an absolute beast in the market. Basically the only reason it didn't achieve the heights of the DS is because its life was prematurely cut short by the Nintendo DS.

Oh, okay. I was just curious why comparisons generally aren't made to it, and generally veer towards 3DS v. its immediate predecessor.

Plus that never seemed the reason that people jumped on the DS in the first place it was because - 1)Cheap 2)Lifestyle device.

From what I can find Brain Age came out mid-of April in the US. Was there something else that spurred the sustained rise in sales that occurred from June forward? I can't find whether the price was cut.

Jan-06	158,000
Feb-06	150,000
Mar-06	184,000
Apr-06	140,000
May-06	147,000
Jun-06	593,000
Jul-06	377,000
Aug-06	278,000

*Someone correct if numbers are wrong please.

DS Lite + NSMB in June.

Ah, I see. Didn't realise it released in June, thought it was earlier in the year for some reason.

 

[Mpl90]

Oh, okay. I was just curious why comparisons generally aren't made to it, and generally veer towards 3DS v. its immediate predecessor.From what I can find Brain Age came out mid-of April in the US. Was there something else that spurred the sustained rise in sales that occurred after it? I can't find whether the price was cut.

Jan-06	158,000
Feb-06	150,000
Mar-06	184,000
Apr-06	140,000
May-06	147,000
Jun-06	593,000
Jul-06	377,000
Aug-06	278,000

*Someone correct if numbers are wrong please.

DS Lite + NSMB in June.

 

[mugurumakensei]

Their business is being affected by more than just the Yen's problems. I hadn't thought to check if 3DS was outperforming GBA because I just assumed it was. To see its not, thats both the handheld and home console performing behind the GC era. This is all resoundingly bad news.

No, that sounds like you have a severe misunderstanding of history. GBA was doing far better than DS at this point. GBA was killed only 4 years into its life. In that four years, it did over 80 million sales. That is, it sold 20 million per year for every year of its production.

 

[GopherD]

Actually, software sales in Q1 have been much better than last year's Q1 (10 millions v.s. 8 millions). And, as already said, 3DS sold to customers much more than 1.24 millions just considering Japan and US. The low shipment is a consequence of Q4 overshipment.

There is a direct correlation between shipped and sold in terms of consumer demand. If shipped numbers go down, it is indeed caused by previous over shipment, but also a reduction in demand at the consumer level.

In essence, demand for the 3DS fell, but those already committed are buying more software.

 

[MikeE21286]

Initial Reactions:

• Wii U hardware ---- yikes for Q4
• 3DS hardware --- is not healthy, should be increasing not decreasing Y/Y at this point in it's life (2 straight Y/Y declines)
• 3DS hardware projections for next FY seems aggresive --- probably price cut and increased sofware lineup
• Wii U hardware projections for next FY are paltry --- should be able to hit those, not quite a target/stretch goal

 

[grimshawish]

Their business is being affected by more than just the Yen's problems. I hadn't thought to check if 3DS was outperforming GBA because I just assumed it was. To see its not, thats both the handheld and home console performing behind the GC era. This is all resoundingly bad news.

Those were NPD numbers remember.
The GBA was not a failure in the Gamecube era anyway - it just didn't live long because Nintendo had to make a move against Sony three years later.

 

[Galang]

"Oddly, Satoru Iwata, global president of Nintendo, will assume the CEO title of Nintendo of America. That will help unify the company’s global strategy, and allow for streamlined decision-making, the company said. Reggie Fils-Aime will continue in his role as president and COO of Nintendo of America, reporting to Iwata. "

http://venturebeat.com/2013/04/24/n...-year-profit-but-wii-u-sales-slow-to-a-crawl/

lol

Good. Hopefully this is a lot better for localizations and 3DS colours.

 

[Bruno MB]

wait, i just noticed something.
has SM64DS surpassed the N64 version? that'd be insane if it happened. i can't remember the sales of SM64 so it would be nice if someone found them. SM64DS is at 10.83 million and i don't remember the original getting that high.

Super Mario 64 LTD is at 11.91 million.

 

[RurouniZel]

The operating loss is worse than WSJ predicted? I apologize, I'm not good at reading fiscal numbers. ;_;

 

[big youth]

you guys act like the DS is some ancient console... even with my shitty memory I clearly remember Brain Age and Nintendogs being the catalysts. the DS Lite was of course a huge factor as well, but it was the blue ocean games that caused the surge.

 

[Katana_Strikes]

Horrid WiiU numbers.

Could Apr-Jun numbers be even worse??