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Nintendo Q3 FY15 Results - Beats Market Expectations; Lowers Full-Year Forecast

Yeah. I bet Nintendo are kicking themselves for not releasing the N3DS globally last year. Probably would have made them hit their 3DS target.

Eh, they have to consider retailer relations. They can't bring new product to the market when old stock is still out there.
 

Striek

Member
It says a lot of Nintendo's operation that even if their other platform is outright bombing and other isn't as hot as any of its successors, they still manage to churn a healthy profit

Well their losses are sunk now.

They've already taken their licks on the 3DS & Wii U. Now they are basically riding the Wii U out. They didn't try to revive it last year without a price cut (which is kinda crazy if you think about it). They've reduced costs, increased margins at the cost of revenue and, potentially, future growth.

Its quite the interesting strategy really.
 

JoeM86

Member
No? I mean like this

Mario Galaxy 3, two SKUs, console and handheld at practically the same time.

Mario Kart 9, same.

Identical games in nearly every way.

No. I don't see that happening. That's a good way to limit your audience. If they are going to do both platforms, it'll be like Smash where they're similar but different. That way, you get people who buy both.
 
Yeah. I bet Nintendo are kicking themselves for not releasing the N3DS globally last year. Probably would have made them hit their 3DS target.

I kind of think they were trying to milk one more holiday out of the OG model in the West and it sort of backfired.
 
Didn't they spend some money last year outside of the Yamauchi thing?

Hmm I don't remember reading about any investments/expenditures that sounded particularly risky. In recent memory, their new building consolidation and job hirings in-house sound like a fairly conservative and straightforward path to lower development costs but I haven't followed everything of late.
 

vinnygambini

Why are strippers at the U.N. bad when they're great at strip clubs???
Nintendo has always struck me as particularly vulnerable (in both directions) to forex.

I guess that's the result of not having actual overseas operations outside of regional publishing/distribution branches to invest local earnings in.

Doubled-edged sword really as you mentioned.

On a side note, Pokemon has really outperformed my personal expectations. I was expecting 8-8.5 million. They did good.

you know, leaving in "million" as a placeholder on Amiibo is going to confuse people, should probably edit that out for the moment :p

I'm going to edit that :p

I thought they would at least highlight the result in the report ;.;
 

Log4Girlz

Member
No. I don't see that happening. That's a good way to limit your audience. If they are going to do both platforms, it'll be like Smash where they're similar but different. That way, you get people who buy both.

You know what limits your audience? Only selling handhelds. Which is what is occurring. Expanding the amount of content on your console will likely increase sales and I doubt it would be at the cost of their handheld business.
 

Muzy72

Banned
I kind of think they were trying to milk one more holiday out of the OG model in the West and it sort of backfired.
I think the main reason that strategy backfired is because they didn't really push the 3DS as much as they should have. 3DS really needed a price cut during the holidays, even if it was only a temporary price cut.

The biggest offender was the lack of a really good Black Friday deal IMO. 3DS XL should have been going for $149 with a game included.
 

L~A

Member
Console and game sales:

B8azMXtCQAAkU_u.png:large
 

Josh5890

Member
I think the main reason that strategy backfired is because they didn't really push the 3DS as much as they should have. 3DS really needed a price cut during the holidays, even if it was only a temporary price cut.

The biggest offender was the lack of a really good Black Friday deal IMO. 3DS XL should have been going for $149 with a game included.

A Black Friday deal would have been huge. I could understand not wanting to pack the new Pokemon or Smash but a couple games from 2013 and $169 would have brought in some sales.
 

JoeM86

Member
You know what limits your audience? Only selling handhelds. Which is what is occurring. Expanding the amount of content on your console will likely increase sales and I doubt it would be at the cost of their handheld business.

And yet Smash Wii U has already sold over 3 million units...a number most publishers would kill for.

They can do both, but having the same game be on handheld and home console is a terrible idea. I argue it's part of what helped kill the Vita.

What they need to do is produce unique experiences for these series for the handheld and home console, with a link between them, not just plop the exact same title across both formats.
 

Maitiú

Member
Q1 to Q3 Wii U sales have increased slightly year over year, from 2.41 million between Apr-Dec 2013 to 3.03 million last year. Disappointing since last year was Mario Kart and SSB. We saw these numbers coming, but it still hurts.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
Console and game sales:

It's a pity that we don't get software numbers including digital only games, though. Or, even better, both the retail + digital SKUs of retail titles and the overall (including digital only games) ones.
 

watershed

Banned
Does the QoL platform launch later this year? I feel like both the 3ds and Wii U are gonna go down hill in 2015 compared to 2014. Unless the N3ds sells extremely well and the 3ds gets more big first party support beyond what we saw in the latest direct, I feel like the 3ds is entering last legs territory.
 
It's still incredibly impressive that even with the 3DS having five times the install base and Smash 3DS launching almost two months earlier that Smash Wii U is still over half of the 3DS version.
 
9,200,000 shipped to retailers.

Probably 8.8m - 8.9m sold to consumers.

no you see, clearly you can't account for all of the sales, clearly they overshipped ;)

but seriously, will they even hit the Wii U forecast at this rate? it needs 570k, which would be a sizable increase from the previous year

10 million by the end of the FY is out of the question now though >_>
 

Draconian

Member
Good to see Nintendo doing better. Those Pokemon numbers are fantastic and remind me that I need to buy it soon. Hopefully the New 3DS will put up big numbers in the west.
 

FZZ

Banned
Does the QoL platform launch later this year? I feel like both the 3ds and Wii U are gonna go down hill in 2015 compared to 2014. Unless the N3ds sells extremely well and the 3ds gets more big first party support beyond what we saw in the latest direct, I feel like the 3ds is entering last legs territory.

Nope 2016. Most likely alongside Nintendo's new handheld although that is me speculating.
 

FZZ

Banned
QOL platform should be launched this CY, actually.

Holiday then? I can't imagine them launching Fall or earlier.

No point in putting money into shovelware for a dedicated handheld when you can put it on mobile.

Although the DS had a lot of shovelware it also had tons of games that were great, that sold great that benefited from physical controls. The attach rate for the 3DS is just ridiculously low for a Nintendo handheld, Nintendo also missed a lot of opportunities localizing Japanese 3DS games that would've been successful here like Puzzle & Dragons although they are doing a dual release it with the new Mario themed P&D it might be too little too late.

Edit: I guess not.
 
How does the Wii U have a better attach rate than the 3DS...

random ideas:
Parents who bought one for kids and then recoiled at the thought of regular 40 dollar game purchases? People like my offline friends who bought one for pokemon and smash but haven't even gotten around to other Nintendo games, let alone non-Nintendo games or impulse buys?

The wiiu is owned by the people who really love the majority of nintendo's output and relatively few of the people who bought smash and kart and nothing else?
 

vinnygambini

Why are strippers at the U.N. bad when they're great at strip clubs???
Good to see Nintendo doing better. Those Pokemon numbers are fantastic and remind me that I need to buy it soon. Hopefully the New 3DS will put up big numbers in the west.

They really are.

Shipments should look like this:

Japan: 2.8 million
Americas, Europe & Others: 6.55 million

That's an amazing feat; especially for a considered remake in one quarter.
 

Welfare

Member
no you see, clearly you can't account for all of the sales, clearly they overshipped ;)

but seriously, will they even hit the Wii U forecast at this rate? it needs 570k, which would be a sizable increase from the previous year

lol

But another forecast Nintendo won't make on the Wii U? Even one that should have been easy to grab? :(

The Wii U will probably squeeze by 10m by the end of June.
 
So glad to see Nintendo posting profit again. It may be too early to call it a comeback but it seems Ninty is starting to make some smart business moves that hopefully in the long run will lead to a healthier business.
 

Scoops

Banned
QOL platform should be launched this CY, actually.

"Investors are also awaiting more details on its new healthcare-related service called Quality of Life, which is expected to start contributing to Nintendo’s earnings from the business year starting in April 2016."

-Article in the OP
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
Handhelds always have lower attach rates compared to consoles. And, IIRC, 3DS is actually in the classic tie-ratio zone for Nintendi handhelds, more or less, while DS has been an outlier.
 
This is nothing but armchair analyst conjecture (with a large helping of misinterpreting statements) at this point.

The thread is not really about this topic so I really don't feel like arguing with you (plus you seem a bit combative), all I know is that I have no reason to believe that they're not going to invest in some sort of iPad/iPhone/iPod-like hardware for the 9th gen.
They've said countless times that they're spread to thin, they've said countless times that software scheduling is a huge problem for them, and they have expressed great interest in unifying their entertainment/life-style devices (from both a hardware, and software standpoint) in an Apple-like manner.
If you want to educate me, feel free to send a PM my way so I can stop "misinterpreting" their statements.
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
"Investors are also awaiting more details on its new healthcare-related service called Quality of Life, which is expected to start contributing to Nintendo’s earnings from the business year starting in April 2016."

-Article in the OP

Iwata specified better a few months ago

- Launched in FY starting April 2015
- Starting contributing to Nintendo's earnings from FY starting April 2016

http://www.nintendo.co.jp/ir/en/library/events/141030qa/index.html

First, the launch schedule for the QOL business has not changed from what I explained at the last Corporate Management Policy Briefing. The business will kick off in the fiscal year ending March 2016, and we expect it to contribute to our financial performance in the fiscal year ending in March 2017. In the slide I showed you today, I specifically wrote the year “2016” instead of “2015” because this is the year the QOL business will be able to contribute to our financial performance. This is the timeframe we are considering for the QOL business.
 

Sandfox

Member
no you see, clearly you can't account for all of the sales, clearly they overshipped ;)

but seriously, will they even hit the Wii U forecast at this rate? it needs 570k, which would be a sizable increase from the previous year

10 million by the end of the FY is out of the question now though >_>

Mario Party and Kirby to the rescue lol.
 
I wonder if the Wii U software sold is counting bundled software.

Though that wouldn't account for more than nine million at absolute highest. There are a few 3DS bundles, but far from the entirety of the SKUs out there.
 

Glass Joe

Member
Handhelds always have lower attach rates compared to consoles. And, IIRC, 3DS is actually in the classic tie-ratio zone for Nintendi handhelds, more or less, while DS has been an outlier.

People tend to buy more games the longer they own the systems, so I wouldn't be terribly surprised if the DS had a similar attach rate at this point in its life too. But I don't have any chronological numbers to compare.
 
I wonder if the Wii U software sold is counting bundled software.

Though that wouldn't account for more than nine million at absolute highest. There are a few 3DS bundles, but far from the entirety of the SKUs out there.

all software includes bundles

also of course Wii U has a higher attach rate than 3DS, what exactly did you guys expect :lol

If you look at the region sales, Japan has dropped quite a bit year-by-year (almost half), "The Americas" (NoA?) has increased quite a lot, the "Others" region (NoE?) has almost doubled.

Japan is now only about 1/6 of the Wii U market for the current fiscal year.

the "other" region is probably a result of launch/early 2013 overshipment though (negative Q2, anyone?)

edit: well actually everything Wii U last year was hit by that
 
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