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[JoeM86]

5 billion Yen operating loss and 8.6 billion yen net income. Not looking good for Nintendo as of now...

Compared to this time last year with a 10 billion yen operating loss and a net loss of 17.2 billion yen. Yeah things are actually turning around for Nintendo.

I won't try to say that the Wii U is doing well, because it clearly isn't. However, implying that Nintendo are failing when they're clearly on the road to recovery is severely erroneous

 

[marc^o^]

We knew there were still Wii U stock in the channels so the low new shipments are hardly a surprise.

Operating Loss ---> ¥4,924, equals to about $50 millions loss, a small one for a company with so much cash. Knowing they recoup this with currency profits, they can go for a bigger operational loss. They could have cut the price earlier, and one might easily think they didn't because they are conservative. I think they believe a price cut needs to be done in combo with a salve of system sellers (knowing more SW sales eases the price cut pain). Wii U relaunch this fall seems inevitable.

 

[SolarPowered]

Why don't you read what I said instead of trying to troll.Nintendo hopes they can get momentum going that could lead to that. Its very obvious the odds of such momentum are near non existent.

Its obvious how this discussion is going to go though. The other thread will hit 50 pages before this one hits 5. Another fine example of Neogaf

It hasn't even been thirty minutes. No need to generalize that fast.

 

[Nothing1016]

They need to get the 3DS down to $129 like the DS Lite. It's the perfect price point for the 3DS. They need it bad. These are good numbers but they can be better.

 

[pieatorium]

Funny thing is the next quarter will maybe put them at 0.5 milions shipped for a year so they need 6-7 milions units holidays.

i thik 360k for q2 would be a unlikely result, pikmin hasnt moved many units of hardware and i dont see wwhd creating a big push.

 

[Goodlife]

How many WiiU games came out in that 3 month period?

 

[JoeM86]

How many WiiU games came out in that 3 month period?

One first party one, Game & Wario.

I think Injustice came out, too

 

[redcrayon]

2.6 million worldwide.
At this rate, 3 million is a piece of cake for Dark Moon.
Hopefully those sales will secure a third sequel

A second sequel, surely

/pedant

 

[Roo]

^^^ So funny....

Spoiler

u__u you know what I meant

How many WiiU games came out in that 3 month period?

Game & Wario.

 

[allan-bh]

5 billion Yen operating loss.

Good luck with 100 billion goal Iwata.

 

[metalslimer]

i thik 360k for q2 would be a unlikely result, pikmin hasnt moved many units of hardware and i dont see wwhd creating a big push.

Well there is more 3rd party software and Wii Party U....lol

 

[Mihael Mello Keehl]

When did Wii get to 100M?

 

[Into]

160,000 Wii U units world wide in 3 months ending june

That is surely unprecedented in the industry, you would have to dig to find a console that did worse than that.

 

[Roo]

Sorry, DP

 

[Zombie James]

How many WiiU games came out in that 3 month period?

From Wikipedia (dates are Japan - Europe - Australia - North America):

 

[Dysun]

Ouch at 160k Wii U's

Not surprising, but still

 

[zomgbbqftw]

Why don't you read what I said instead of trying to troll.Nintendo hopes they can get momentum going that could lead to that. Its very obvious the odds of such momentum are near non existent.

Its obvious how this discussion is going to go though. The other thread will hit 50 pages before this one hits 5. Another fine example of Neogaf

Because the very idea that Nintendo can magically ship 4-5m units is ridiculous and deserves mockery. No amount of marketing can help them get there, they would have to advertise free blow jobs with every purchase to get those kinds of sales.

 

[Bruno MB]

http://www.nintendo.co.jp/ir/pdf/2013/130731e.pdf

Wii U shipments this Q:

Japan : 90k
Americas: 60k
Rest of the world: 10k

Nintendo pulled a Capcom. Managing to ship 10,000 additional units in Europe where the unsold stock is so huge is not an easy feat

P.S. As always, thanks Parmenides for your posts. The OP should update with your info.

 

[JoeM86]

From Wikipedia:

This shows why it didn't happen.

Plus, Nintendo shifted their marketing budget away from that quarter.

We'll see in October if things will actually turn around, but they are being very aggressive. Each day, I typically see at least 5 Pikmin 3 adverts on TV. It should hopefully have some sort of turnaround...I hope.

 

[Jonnyram]

Time to ambassador that shit and release some more Marios.

 

[Chû Totoro]

So they're still making money?

Net Income ---> ¥8,624

I just want someone to confirm this to me.
I won't enter the "doomed" debate since we always have the same topics / debate on NeoGAF... no real news so people are recycling old ones or are just playing console / fanboy wars.

 

[metalslimer]

This shows why it didn't happen.

Plus, Nintendo shifted their marketing budget away from that quarter.

We'll see in October if things will actually turn around, but they are being very aggressive. Each day, I typically see at least 5 Pikmin 3 adverts on TV. It should hopefully have some sort of turnaround...I hope.

Its not turning around in the UK when pikmin 3 launch week failed to move units

 

[zomgbbqftw]

That is surely unprecedented in the industry, you would have to dig to find a console that did worse than that.

I think there was one quarter where MS shipped like 150k 360s, but that as because of a massive overshipment in the previous quarter caused by their whole "first to 10m wins" bullshit.

 

[Exterminieren]

It should hopefully have some sort of turnaround...I hope.

Put hope to one side, however, and you can surely see that it looks staggeringly unlikely, right?

 

[shinra-bansho]

I like that the Wii U has stolen the PS3's no games mantra, but has adopted it as a defence instead of an insult.

So they're still making money?

I just want someone to confirm this to me.
I won't enter the "doomed" debate since we always have the same topics / debate on NeoGAF... no real news so people are recycling old ones or are just playing console / fanboy wars.

They are operating at a loss, but are booking improvements on the yen value of their foreign currency holdings.

 

[zomgbbqftw]

So they're still making money?

I just want someone to confirm this to me.
I won't enter the "doomed" debate since we always have the same topics / debate on NeoGAF... no real news so people are recycling old ones or are just playing console / fanboy wars.

FX gain. It's not real money. They made an operating loss, i.e. their continuing operations as a business is loss making.

 

[JoeM86]

Put hope to one side, however, and you can surely see that it looks staggeringly unlikely, right?

An amazing massive turnaround, yes, not a chance in hell.

A gradual, modest, turnaround...that will happen. Mark my words.

 

[shinra-bansho]

I think there was one quarter where MS shipped like 150k 360s, but that as because of a massive overshipment in the previous quarter caused by their whole "first to 10m wins" bullshit.

Nah, the lowest they ever went was 500K, which is still quite a lot more than the Wii U's Q4 shipment, let alone this one.

---

Also from a quick look, after 3 fiscal quarters the 360 was at 5M units, the PS3 at 4.2M units.

The sad thing is that even shipping the 450k Wiius in Q4 caused a massive overshipment by Wiiu standards

390K iirc. I think NA and EU are still sitting on launch stock really.

 

[metalslimer]

I think there was one quarter where MS shipped like 150k 360s, but that as because of a massive overshipment in the previous quarter caused by their whole "first to 10m wins" bullshit.

The sad thing is that even shipping the 450k Wiius in Q4 caused a massive overshipment by Wiiu standards

Also that operating loss ends any chance of a price drop. Iwata knows he will lose his job for sure if he does so they are actually entering the holidays at 350

 

[pieatorium]

An amazing massive turnaround, yes, not a chance in hell.

A gradual, modest, turnaround...that will happen. Mark my words.

Abandon hope all ye who enter here

 

[IrishNinja]

yay i feel like i have a collector's item! imagine if they released games for it tho

i mean obvious system sellers like game & wario not withstanding

 

[TheGreatMightyPoo]

Cool, hopefully a Zelda Direct in a few days.

 

[numble]

So they're still making money?

I just want someone to confirm this to me.
I won't enter the "doomed" debate since we always have the same topics / debate on NeoGAF... no real news so people are recycling old ones or are just playing console / fanboy wars.

Those are foreign currency gains. They still lost money in operations.

Rough example, you have a bank account with 100 dollars and the conversion is 1 dollar to 1 yen. Over the last 3 months, the yen depreciated so the conversion is 1 dollar to 1.2 yen. You suddenly have an extra 20 yen if you need to report your statements in yen, but that is not due to any activity on your part.

 

[ohblahitsme]

So they're still making money?

I just want someone to confirm this to me.
I won't enter the "doomed" debate since we always have the same topics / debate on NeoGAF... no real news so people are recycling old ones or are just playing console / fanboy wars.

Yes, this number is true. The end of table 5 here shows it:http://www.nintendo.co.jp/ir/pdf/2013/130731e.pdf

The 17B Yen figure on the left shows that last year during the same time frame they lost 17B Yen. So despite the poor Wii U numbers, Nintendo as a company is doing fine.

 

[zomgbbqftw]

Also, what the hell is that 38m Wii U software forecast about?!?!

1.03m software units shipped this quarter and they think 38m for the year is a possibility?!? The attach rate for games to total hardware sold is exactly 4, and this quarter 3m Wii U owners purchased just 1m games. The 38m forecast will be lowered.

 

[MasterSheen]

3DS will be down YoY again in hardware next quarter since there is no redesign or price drop to keep sales high. I wonder if Q3-4 will be big enough to make up for that.

 

[Seik]

Its not turning around in the UK when pikmin 3 launch week failed to move units

I can understand that, Pikmin 3 isn't a system seller for many people and almost nobody have a Wii U in the UK.

 

[Doc Holliday]

Emergency Nintendo Direct incoming!!

- Google+ Miiverse intergration
- New AR games!
- Gumshoe VC 9.99!!
- Mega Man 5 3D

Mario and Wind Waker delayed..please understand.

This will surely bump numbers.

 

[metalslimer]

Yes, this number is true. The end of table 5 here shows it:http://www.nintendo.co.jp/ir/pdf/2013/130731e.pdf

The 17B Yen figure on the left shows that last year during the same time frame they lost 17B Yen. So despite the poor Wii U numbers, Nintendo as a company is doing fine.

An operating loss is not doing fine. They are doing better than last year sure, but there is no way to say they are fine. And since pokemon wont be on the sheets next quarter it will be a disaster

Also, what the hell is that 38m Wii U software forecast about?!?!

1.03m software units shipped this quarter and they think 38m for the year is a possibility?!? The attach rate for games to total hardware sold is exactly 4, and this quarter 3m Wii U owners purchased just 1m games. The 38m forecast will be lowered.

Iwata has lost his mind along with many other people over there

 

[IrishNinja]

Emergency Nintendo Direct incoming!!

- Google+ Miiverse intergration
- New AR games!
- Gumshoe VC 9.99!!
- Mega Man 5 3D

Mario and Wind Waker delayed..please understand.

This will surely bump numbers.

noooo i wanted Gumshoe 3D classic

 

[numble]

Yes, this number is true. The end of table 5 here shows it:http://www.nintendo.co.jp/ir/pdf/2013/130731e.pdf

The 17B Yen figure on the left shows that last year during the same time frame they lost 17B Yen. So despite the poor Wii U numbers, Nintendo as a company is doing fine.

Last year they had 0 FX gains and this year they have 16.9B FX gains. Nintendo is going to do fine by this measure if the Yen keeps depreciating.

 

[Bruno MB]

Nintendo's master plan to meet their Wii U sales forecast (8.84 million in 9 months).

For the “Wii U” system, we will attempt to concentrate on proactively releasing key first-party titles from the second
half of this year through next year to regain momentum for the platform. Starting with “Pikmin 3,” which was released in
Japan and Europe in July and will be released in the United States in August, we plan on releasing key titles such as “The
Legend of Zelda: The Wind Waker HD,” “Wii Party U,” “Donkey Kong Country: Tropical Freeze,” “Super Mario 3D
World,” and “Wii Fit U.” Moreover, Nintendo strives to improve the sales by communicating the compelling nature of our
hardware and software to as many people as possible through our new network service called “Miiverse,” which offers an
environment where people can empathize with others and share their gaming experiences. We also strive to improve
hardware profitability by reducing its costs.

 

[Roo]

3DS will be down YoY again in hardware next quarter since there is no redesign or price drop to keep sales high. I wonder if Q3-4 will be big enough to make up for that.

With Pokemon coming out soon? I don't think so.

 

[ohblahitsme]

An operating loss is not doing fine. They are doing better than last year sure, but there is no way to say they are fine. And since pokemon wont be on the sheets next quarter it will be a disaster


Iwata has lost his mind along with many other people over there

I was under the impression that net income is what matters, not operating income. Regardless of how many consoles Nintendo sold they have 8 billion more yen than they did three months ago.

Edit:

Last year they had 0 FX gains and this year they have 16.9B FX gains. Nintendo is going to do fine by this measure if the Yen keeps depreciating.

Right. Which means that they can weather a shitty sales quarter. While I agree that this quarter was abysmal and should not have happened, I don't know if anyone could've realistically expected anything different. Games sell consoles and the quarter represented here had 5 games released (as shown by the Wikipedia screenshot a few posts up). I would expect that this next quarter sees an increase in sales because of two noteworthy first party games (should be Pikmin 3, W101) and two noteworthy third party games (Splinter Cell and Rayman), but not enough to give people hope that this can turn around. The third quarter of this fiscal year should give people the numbers they want because of Mario/DK/Wind Waker/Assassin's Creed 4/CoD (those are the games I'm buying at least).

I dunno I'm just soapboxing. There could be a nuclear war and we could all die.

 

[shinra-bansho]

Also, what the hell is that 38m Wii U software forecast about?!?!

1.03m software units shipped this quarter and they think 38m for the year is a possibility?!? The attach rate for games to total hardware sold is exactly 4, and this quarter 3m Wii U owners purchased just 1m games. The 38m forecast will be lowered.

Their forecasts are historically bad. But 38M software is batshit crazy. Of course it's still running on the ridiculous idea that they'll hit 12M hardware. lol.

 

[metalslimer]

I was under the impression that net income is what matters, not operating income. Regardless of how many consoles Nintendo sold they have 8 billion more yen than they did three months ago.

The yen will not depreciate forever.

 

[Magicpaint]

With Pokemon coming out soon? I don't think so.

Pokemon won't account for the next quarter.

 

[AniHawk]

with barely 100k wii us sold so far this year, i am honestly surprised they did not revise the ridiculous 9m forecast for the machine. at this point there has to be some heavy price reduction in the works if they honestly plan on keeping that as a goal.

3ds sales are kinda ho-hum. they've sold less hardware than last year and also have a higher forecast than what they sold last year. yeah the last of its big hitters are coming out this fiscal year, but i don't see how it hits that 18m without a price reduction as well. pokemon + animal crossing can only take it so far in america, and pokemon + monhun can only take it so far in japan.

 

[marc^o^]

The yen will not depreciate forever.

Same concept as the software drought, caused by learning development on a new platform. It won't last forever, system sellers are coming soon.

 

[Magicpaint]

with barely 100k wii us sold so far this year, i am honestly surprised they did not revise the ridiculous 9m forecast for the machine. at this point there has to be some heavy price reduction in the works if they honestly plan on keeping that as a goal.

3ds sales are kinda ho-hum. they've sold less hardware than last year and also have a higher forecast than what they sold last year. yeah the last of its big hitters are coming out this fiscal year, but i don't see how it hits that 18m without a price reduction as well. pokemon + animal crossing can only take it so far in america, and pokemon + monhun can only take it so far in japan.

It's not necessarily that they've sold less hardware - just shipped less, which isn't surprising with the massive Q3/4 overshipment last year. There's an upward trend sales wise and I think 18m is still somewhat feasible depending on what Pokemon can achieve and the momentum it carries into the holiday (last year was pathetic).