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Nintendo full year financial results [23.2B yen loss, 3.6M Wii U/12M 3DS forecast]

Toparaman

Banned
Nintendo has to stop making their games one-dimensional. People voted with their pockets. There are too many cheaper substitutes for just being fun. People want adrenaline, mystery and drama for the price that you're charging for your entertainment. Football gives you those feelings, Walking Dead gives you those feelings, heck even NeoGAF gives you those feelings.

None of those things are video games. Do you like playing games?

EDIT: Wait, you mean football video games and Walking Dead super-linear games? That's where you want Nintendo to go?
 

Flaare

Neo Member
I just jumped on a sinking ship(bought a Wii U yesterday) but will go down with it while having fun! WW HD is a blast to play again and already have a bunch of games lined up i want to play. Wanted to get a PS4 but meh no games.

I do notice a lot more attention to the Wii U around me with smash and mk8 coming so it might actually do it some good.
 

antonz

Member
Iwata getting shitcanned isn't going to change Nintendo. The Cult of Yamauchi will live on and as such the stupid decisions will live on.

Nintendo if it survives might finally start to change in 15-20 years when all of the old guard is dead. Yamauchi did great things for Nintendo seemingly out of blind luck because after the NES took over every decision he made led to the worsening of conditions for Nintendo. Even today he is still quoted as if he is some genius when he is the one who cause Nintendo to be the outcast it is in the industry
 
Iwata getting shitcanned isn't going to change Nintendo. The Cult of Yamauchi will live on and as such the stupid decisions will live on.

Nintendo if it survives might finally start to change in 15-20 years when all of the old guard is dead. Yamauchi did great things for Nintendo seemingly out of blind luck because after the NES took over every decision he made led to the worsening of conditions for Nintendo. Even today he is still quoted as if he is some genius when he is the one who cause Nintendo to be the outcast it is in the industry

That's unfair - he did exactly what was needed to save industry dying from having way too much shovelware that was killing consumer trust.
Ironically he later didn't notice change he started and continued to work with same mentality which brough his initial success.
 

Metallix87

Member
Virtual Boy was a mistep but its impact was relatively minor, I doubt it had any major bearing on the N64's fortunes and the company beyond that. But this failure is really going to damage their brand.
No, this failure likely only damages the Wii brand, which is irrelevant since they clearly aren't interested in a true Wii successor.
 

Celine

Member
Iwata getting shitcanned isn't going to change Nintendo. The Cult of Yamauchi will live on and as such the stupid decisions will live on.

Nintendo if it survives might finally start to change in 15-20 years when all of the old guard is dead. Yamauchi did great things for Nintendo seemingly out of blind luck because after the NES took over every decision he made led to the worsening of conditions for Nintendo. Even today he is still quoted as if he is some genius when he is the one who cause Nintendo to be the outcast it is in the industry
It sure looks like Nintendo position worsened after the NES

uscK6k0l.jpg


http://i.imgur.com/uscK6k0.jpg
 

ReBurn

Gold Member
The focus on 3DS is good. Looks like they still don't know what to do with WiiU. So they will spend more money on the WiiU gamepad. Makes sense, right? Right?
 
I wouldn't say that. Nothing they said seems random, most is stuff they already should have done a long time so if anything.
I'm not saying anything seems outlandish, so much as what's being talked about seem like, as you note, things they should have been doing for a long time now and/or half-measures.

There's nothing in there that leads one to believe there's a greater underlying strategy/vision.

I like that they plan to leverage their IPs more with licensing.

Beyond that, some things were entirely Japan-centric (which I suppose is justifiable given the audience, but still odd as a highlight for a company that wants to be a global player). Some things seem bizarre to highlight in an investor briefing (quickboot?). Some things seem like obliviousness to the wider market or unwillingness to adapt to it (what's the point of a closed proprietary Mario Kart TV? Why not just partner with something like Twitch? Did they not see how popular something like TPP has been?)

It just seemed like a incoherent patchwork of "stuff" that doesn't address any of the core problems they're facing.
 

wsippel

Banned
I'm not saying anything seems outlandish, so much as what's being talked about seem like, as you note, things they should have been doing for a long time now and/or half-measures.

There's nothing in there that leads one to believe there's a greater underlying strategy/vision.

I like that they plan to leverage their IPs more with licensing.

Beyond that, some things were entirely Japan-centric (which I suppose is justifiable given the audience, but still odd as a highlight for a company that wants to be a global player). Some things seem bizarre to highlight in an investor briefing (quickboot?). Some things seem like obliviousness to the wider market or unwillingness to adapt to it (what's the point of a closed proprietary Mario Kart TV? Why not just partner with something like Twitch? Did they not see how popular something like TPP has been?)

It just seemed like a incoherent patchwork of "stuff" that doesn't address any of the core problems they're facing.
MKTV isn't closed and proprietary, it's based on Miiverse and Youtube. The web app just adds some more features on top that can't be realized using standard Youtube functionality, like searching videos uploaded by your friends or videos of races you participated in.

I agree that the quick boot thing was a bit odd, but everything else was pretty good. Didn't seem incoherent or random to me at all. Their core problem is not making any fucking money right now, and the licensing and NFC business, additional payment methods, and leveraging Youtube integration to market their biggest game this year certainly are potential ways to fix this.
 

Cygnus X-1

Member
Not sure if already posted, but the English version of the IR briefing has now been posted.
http://www.nintendo.co.jp/ir/en/library/events/140508/index.html

Frankly, it sounds like they're just throwing as much shit at the wall as they can and hoping something sticks.

At the Corporate Management Policy Briefing this January, I explained that the company would prioritize making and proposing Wii U software titles that can only be made possible with the Wii U GamePad. We are planning to disclose our progress on this at E3 (Electronic Entertainment Expo) in Los Angeles in June.

This is significant. They should have done this ages ago...and regardless it's now obviously too late. However, it will be an interesting test to understand if some creativity remained within Nintendo.

17.jpg


This also underline that a specific task force has been created. QoL seems to be just a part of it.
 

DNAbro

Member
Nintendo has to stop making their games one-dimensional. People voted with their pockets. There are too many cheaper substitutes for just being fun. People want adrenaline, mystery and drama for the price that you're charging for your entertainment. Football gives you those feelings, Walking Dead gives you those feelings, heck even NeoGAF gives you those feelings.

Here's a hint for yah. It's not the games that are the problem, it's the console. And maybe the amount of games but that is still part of the console's failure.
 
Nintendoland sold less than 1 million. Such is what happens when it get de-bundled and retailers don't order new copies (instead flog off their existing ones, maybe even struggle with that).

That's unfair - he did exactly what was needed to save industry dying from having way too much shovelware that was killing consumer trust.
Ironically he later didn't notice change he started and continued to work with same mentality which brough his initial success.
In Japan? In Europe? The Atari game crash only happened in North America. The rest of the world kept playing games like normal. Yes, mainly on home computers.

Also did Yamauchi have any control over the trojan horse of Nintendo of America. i.e. ROB to get retailers to stock it then the seal of quality to have an iron grip on the market.

Thing about Nintendo is it can be dumb luck a lot of the time.
The Game & Watch is one example. Gunpei Yokoi had to drive Yamauchi somewhere (as the driver was sick) and just mentioned the idea on the journey (along the lines of bored commuters playing on their calculators we could use similar tech to make simple games). At this somewhere Yamauchi he found himself next to the CEO of Sharp so suggested the idea (the Pix N love book on Game & watch mentioned this).

Basically if that driver was not sick it may have never happened as Yokoi would have not delivered the pitch.

I guess Brain Training could be another example.

To those worrying about SMT X FE or Yarn Yoshi, they don't appear to have been cancelled.
If there was a still a Gamecube section on the supplementary release lists Hoshi no Kirby would still be there.

I was going to mention Famicom Wars DS 2 that was on there for about 3 years but that one finally came out as a Club Nintendo reward.

What I'm getting at is those lists are garbage filler pages and every release people mull over the bits that change and don't change like they actually mean anything.
 

Cygnus X-1

Member
Thing about Nintendo is it can be dumb luck a lot of the time.

It's not dumb luck. The same things happen in any R&D field. It's about keeping the mind open to recognize new opportunities. And opportunities arise with greater probability when you work hard, you are an expert and create a web of links with many people. If you take a sample of 1000 people, half of them wouldn't recognize the new opportunity in the first place and the other half would let it go for not being able to take it or because of being unwillingly to take any risk. The few people remaining that will jump on it are maybe lucky, but not dumb at all. And regardless, if new things were something fully planned beforehand, it wouldn't be called research, would it?
 

jvm

Gamasutra.
The guy in green helped Nintendo lose money, while the guy in red is going to help them make money. Can't think of more inappropriate colors for either of them.
Don't red and green have the opposite meaning in Japanese finance, compared to American (and possibly European) finance? I recall someone telling me that a while back.

That is, in America green is good while red is bad. And in Japan it may be reversed?

Maybe that was your point...
 
Does anyone have a week-by-week shipping comparison of this gen's home consoles?
Delving into the media create threads will give you that for Japan. Given how little the Ps4 has been out for it won't be many threads.

Otherwise, NPD threads should give American numbers for month-by-month.

Apart from that there isn't specific timeframe info I know of.

It's not dumb luck. The same things happen in any R&D field. It's about keeping the mind open to recognize new opportunities. And opportunities arise with greater probability when you work hard, you are an expert and create a web of links with many people. If you take a sample of 1000 people, half of them wouldn't recognize the new opportunity in the first place and the other half would let it go for not being able to take it or because of being unwillingly to take any risk. The few people remaining that will jump on it are maybe lucky, but not dumb at all. And regardless, if new things were something fully planned beforehand, it wouldn't be called research, would it?
I see now. It is not dumb. In the example I gave it was luck in the sense of seizing an opportunity presented to you (both for Yokoi and Yamauchi). If anything the dumb part is the surrounding circumstances (thinking about if it would still happen if a bit "what if" and conjecture).
 
Yamauchi did great things for Nintendo seemingly out of blind luck because after the NES took over every decision he made led to the worsening of conditions for Nintendo.

He was the hero who lived long enough to become the villain, a trend we seem to be seeing an awful lot nowadays. Iwata took over, became the hero with the breakout success of the Wii and DS, and now we're starting to see that same turn. Seems to me like an injection of new blood at the top of Nintendo seems to be the right way to go when the company's chips are down.
 
Delving into the media create threads will give you that for Japan. Given how little the Ps4 has been out for it won't be many threads.

Otherwise, NPD threads should give American numbers for month-by-month.

Apart from that there isn't specific timeframe info I know of.
.
I meant like, taking the first/second/third/so on week of each console's sale and comparing them.
 

RiggyRob

Member
How the hell is this thing still selling for a loss?
According to this, it's not: http://www.neogaf.com/forum/showpost.php?p=111068434&postcount=954

Why is the OP banned. I was hoping to see a rundown of the main points in the OP.

Originally posted by JoeM86
Here's a rundown, thanks toa user called Wii on a forum I go to

- Iwata saying 3DS hit 43 million
- Helping is next Pokemon, Tomodachi Life in June internationally
- 3DS third-party titles to come include Monster Hunter 4G and Youkai Watch 2 in Japan
- Wii U: want to regain momentum with 2 signature titles in Mario Kart 8 and Smash Bros.
- System update in June will speed up start up by 20 seconds
- First smart device app will be available by end of fiscal year
- This is called Mario Kart TV and will enable sharing of game movie and rankings available launch
- In June, Japanese users will be able to use SUICA transport cards for payments on Wii U through NFC
- On IP licensing: nothing to announce today, but Nintendo is looking at a joint agreement
- Limited profit, so Nintendo is looking at non-games usage for licensing
- Will launch figurine business called NFP – NFC featured platform
- Nintendo showed Mario figure across many games being used including saves
- NFP game and figures will be shown at E3
- 3DS will also get IR NFP reader so figures can be used across Wii U and 3DS
- Wii U target of 3.6 million units will need more manufactured than in current inventory
- Nintendo not experiencing a loss from hardware anymore
- More Wii U games at E3
- NFP has been in development since last year
- Nintendo would rather make not just make a figurine, but something that does more
- Nintendo hopes to show related games in development at E3 for the NFC tech
- Iwata saying that for this fiscal year (through 3/15), the goal is to increase profits
- 3/16 fiscal year: not grow dramatically
- 3/17 fiscal year: develop pillar for growth with growth
- Iwata: we are preparing for next generation hardware as always, when will it release? Difficult to declare
- Iwata: not hopeless or at a loss in coming up with something new, but until existing users are satisfied, we cannot release next hardware
- Iwata: for Quality of Life, don’t think too narrowly of Nintendo, we can make fun, healthy services… we know how to get people hooked
- Iwata: developers will move into new building in Kyoto around E3; currently teams are separate so will share more
- Iwata: have established Business Development department with outputs like NFP, entering into new markets, use smart phone platforms etc
- Not pessimistic on games, but want other pillars as safety net for games business, more of entertainment company
 
Wii U target of 3.6 million units will need more manufactured than in current inventory
Wait, if Nintendo's current inventory is insufficient to meet the new fiscal year target that implies that they weren't holding enough inventory to meet last year's forecast prior to revision and thus never intended to. So for all intents and purposes Iwata and the rest of management were willfully misleading their shareholders.

:/
 
So what are the chances of Iwata retaining a CEO/board position for the upcoming year? It's hard to picture a CEO that drives the company into a downward spiral over the last five years still retain their position. Lots of CEOs have stepped down for way less.
 

Sandfox

Member
Wait, if Nintendo's current inventory is insufficient to meet the new fiscal year target that implies that they weren't holding enough inventory to meet last year's forecast prior to revision and thus never intended to. So for all intents and purposes Iwata and the rest of management were willfully misleading their shareholders.

:/

Someone made a thread about that yesterday lol.
 
And no one understood what it meant (they thought it was just missing the forecast, when the forecast itself was impossible to reach) and were trolling poor OP. :(

Yeah... I saw that yesterday. I was face-palming the whole time reading the thread. It's amazing the kind of rose tinted goggles some Nintendo fans have.

Edit:
The thread was closed because it can't be substantiated??? Talk about mod failure:
http://www.neogaf.com/forum/showthread.php?t=814975&page=3
 

Somnid

Member
Wait, if Nintendo's current inventory is insufficient to meet the new fiscal year target that implies that they weren't holding enough inventory to meet last year's forecast prior to revision and thus never intended to. So for all intents and purposes Iwata and the rest of management were willfully misleading their shareholders.

:/

Or they were intending to manufacture more and didn't.
 
Wait, if Nintendo's current inventory is insufficient to meet the new fiscal year target that implies that they weren't holding enough inventory to meet last year's forecast prior to revision and thus never intended to. So for all intents and purposes Iwata and the rest of management were willfully misleading their shareholders.

:/

You forecast to anticipated demand, you produce to actual demand. No company produces inventory without orders. And you only produce what your lead time demands for your anticipated purchase orders.

This isn't misleading shareholders. It would have been worse had they produced unneeded inventory.
 
You forecast to anticipated demand, you produce to actual demand. No company produces inventory without orders. And you only produce what your lead time demands for your anticipated purchase orders.

This isn't misleading shareholders. It would have been worse had they produced unneeded inventory.
I get that they wouldn't necessarily produce inventory to the full extent of the forecast, as at September last year when they retained the forecast. (And I definitely agree that its better they didn't produce said inventory.)

It just seems like given the forecast and the maximum inventory they could currently have based on the tweet by Gibson, they realistically wouldn't have been able to produce sufficient units to meet the forecast had demand actually have been there. Although it's late and my brain may not be computing properly. Is it typically that easy to ramp up and down production?
 
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