-
Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.
Nintendo posts $160M net income, cuts 3DS/Wii U/NDS/Wii forecasts
- Thread starter Parmenides
- Start date
zomgbbqftw
Banned
Nintendo's profit is from a forex gain. On a constant currency basis they would have broken even. That is what needs to be looked at for now while the Yen is still fluctuating.
Nintendo is still not profitable and the Wii U forecast is still 500k too high going by the sales trend.
Also Wii vs 100m - I think it won't get it next quarter but the one after.
Nintendo is still not profitable and the Wii U forecast is still 500k too high going by the sales trend.
Also Wii vs 100m - I think it won't get it next quarter but the one after.
As several people have mentioned, the most likely explanation is that retailers ordered too many consoles (remember that 3.06 million is the number sold to retailers), and they're not likely to order many in this quarter since they have a lot of stock.
Nintendo has data on sales from retailers to gamers so they can predict whether retailers are likely to order a lot of consoles or not.
Psychotext
Member
Wasn't a myth... it was true for all of about 6 months, and then not true for the last two years.
Also, remember, these are shipped figures. There will be a shitload of machines in the channel at this point.
Unless I'm forgetting something, there won't be any major games out in two months that aren't out now...
IrishNinja
Member
proper accounts, price cut & ambassador program incoming, believe
Pie and Beans
Look for me on the local news, I'll be the guy arrested for trying to burn down a Nintendo exec's house.
There must be like almost half a million WiiU's just sitting around in European warehouses. They won't be reaching that 4 mill by shunting anymore thissa way without a truly gargantuan price slash.
I read that in the voice of Ron Burgundy. lol.
test_account
XP-39C²
Good that they made a profit 
How does this quarter compare to previous quarters regarding net income?
How does this quarter compare to previous quarters regarding net income?
CaptainABAB
Member
Except when Wii was winning that then it became about selling more games, then 3rd party games then 3rd party games I liked...
I kinda lost count at this point.
Oh and in January in France one retailer kicked the bucket so between Jan and Feb you should see plenty of WiiU sold in Jan and almost nothing in Feb.
From what I've seen a 30% price cut now is more than enough to clear any stock.
And the UK was never a close representative of the rest of the market, not with such a strong MSFT presence.
Psychotext
Member
Looks like the switch to HD really did affect everyone.
Disagree , results are solid , predictions can't be trusted .
metalslimer
Member
Uh...I guess better than I thought although we all know what's going to happen in Q1
Doesn't explain the Animal Crossing, especially considering they may have actually been able to get much closer to the 3DS forecast with it.
Doesn't explain the Animal Crossing, especially considering they may have actually been able to get much closer to the 3DS forecast with it.
LightOfTruth
Member
Is Nintendo having problems with HD development?
Like Sony 1st party, they never seemed like a company that has issues with the technical side of things.
Like Sony 1st party, they never seemed like a company that has issues with the technical side of things.
AkimbO_Arcana
Banned
Excuse me for derailing the topic, but is Nibel in jail?!?
test_account
XP-39C²
The WiiU is the first HD system for Nintendo. Games require more work.
Why was he banned?
witchedwiz
Member
decent all in all...
but..
wii u is the only "new gen" console out there for the geek/spender...
so... the test of truth will be when the first between durango and osiris turns up..
when that happens we'll be able to gauge properly nintendo success OR success for lack of partecipant..
the numbers aren't outrageously bad, but we'll see what's what when the proper time comes..
for now, good for you, closing with profit is always good
but..
wii u is the only "new gen" console out there for the geek/spender...
so... the test of truth will be when the first between durango and osiris turns up..
when that happens we'll be able to gauge properly nintendo success OR success for lack of partecipant..
the numbers aren't outrageously bad, but we'll see what's what when the proper time comes..
for now, good for you, closing with profit is always good
zomgbbqftw
Banned
Good that they made a profit
How does this quarter compare to previous quarters regarding net income?
The profit is just a revaluation of foreign assets. Basically not real, spurious. Also they predicted an operating loss for the year. Compare that with Sony who are predicting a FY operating profit for the gaming side this year.
Snowden's Secret
Banned
Huh, Wii U performed much better than I expected given all the negativity surrounding its sales. Imagine that.
It passed three million by year's end? It should have a decent lead on the other consoles then, but whether Nintendo can (or will) capitalize on that remains to be seen.
Also, if they are already back in the black, then it should be straight profitability for the next four or five years (until R&D ramps up again) so maybe that will help alleviate all the DOOMED
It passed three million by year's end? It should have a decent lead on the other consoles then, but whether Nintendo can (or will) capitalize on that remains to be seen.
Also, if they are already back in the black, then it should be straight profitability for the next four or five years (until R&D ramps up again) so maybe that will help alleviate all the DOOMED
it won't
AkimbO_Arcana
Banned
Ugh... so worse than jail.
bigtroyjon
Member
Sony 1st party had a ton of issues with HD games initially which is why the first couple of years were so sparse.
I don't know why he's banned, but I hope it's not because he made a thread about a girl eating a tampon after I vaguely declared the desire to see someone make a thread about it.
Pie and Beans
Look for me on the local news, I'll be the guy arrested for trying to burn down a Nintendo exec's house.
Like Sony and how they gave Ueda a length of rope seemingly capable of choking all of SCEJ at once, seems Nintendo these days gives Miyamoto way too much of a wide berth when a project like Pikmin 3 not making launch and then still not even making launch window is absolutely unacceptable.
So this article is wrong?
zomgbbqftw
Banned
Maybe right now, but the first games from Sony were pretty lacklustre, it wasn't until Uncharted that we saw that PS3 had decent hardware and could produce the goods. GoW3 came out in 2010, three years after GoW2 implying some difficulty in transitioning to HD development.
MoogleWizard
Member
Yeah, that's true. But that's usually the case for any post-launch period, no? I can't remember any big games coming out for my PS3 or Wii after launch. That's why I don't buy consoles at launch anymore, you just pay more and have to wait for the games.
Let's hope Nintendo can somehow speed up their development and get the heavy hitters out earlier. I doubt it though since they are new to HD.
metalslimer
Member
Isn't that from the first two quarters being pretty bad? Basically what I'm asking is for 2014 the 3DS seems stable enough to keep Nintendo profitable although when they decide to cut the Wii U price depending on the slash it could be bad.
A few month delay vs not even being able to get a game out after 6 years is not really comparable.
test_account
XP-39C²
Ah ok, i see. Thanks for the info.
Lol, damn. Did the thread had pictures?
AkimbO_Arcana
Banned
lol
but seriously, not cool D_prOdigy :/
but seriously, not cool D_prOdigy :/
0.9m is for Other, not Europe only.
metalslimer
Member
Also Miyamoto is not the one making these games. At this point he's probably much more involved in supervising the next 3d mario than pikmin 3.
Well there was no 3DS 80 dollar/10k yen price slash this year. When Nintendo finally gets out of crisis trying to save systems they should be profitable, but the fact that they have to keep doing so shows a real lack of foresight.
Well there was no 3DS 80 dollar/10k yen price slash this year. When Nintendo finally gets out of crisis trying to save systems they should be profitable, but the fact that they have to keep doing so shows a real lack of foresight.
zomgbbqftw
Banned
With a 15m forecast for the current year (down from 18m) it seems 3DS sales are not doing too well either (better than Vita certainly) and Nintendo have blown their load on 3DS already with MK7, NSMB2, ML3D. There are no more massive push titles they can release on 3DS to push sales for 2014 because they needed all of them for the relaunch which hasn't worked as well as they would like.
I think the FY2014 forecast for 3DS will be lower, maybe 12-13m. If the mix of regular to XL is in favour of XL then I think they will be ok, but if not then FY2014 is going to be a lean year for Nintendo as they continue to transition to HD development and likely cut the price on the Wii U to even further below cost to boost sales against Orbis and Durango.
The worst part for Nintendo is that Sony are going to achieve second screen/off screen gaming for less than $5 per unit by leveraging their Android presence while Nintendo are spending upwards of $100 per unit.
Snowden's Secret
Banned
WTF is this a real post?
*coff coff* Animal Crossing in the West *coff coff* POKEMON *coff coff*
bigtroyjon
Member
Need to compare different years using Yen since that's what they report in. Or use dollars but convert at the same rate.
Last year was 37.3 billion Yen operating loss, this year forecast is 20 billion Yen operating loss.
metalslimer
Member
Pokemon is THE game that could sell 3DS's. It's bigger than anything they have released on 3DS or will release on 3DS.
Eh.. I still don't know how Animal Crossing will do in the west. I'm sure it won't bomb, but I'm not sure it will move a good amount of systems.
Eh.. I still don't know how Animal Crossing will do in the west. I'm sure it won't bomb, but I'm not sure it will move a good amount of systems.
shinra-bansho
Member
Channel must be stuffed to the brim with Wii U stock. I'd hazard to suggest they still won't reach the revised forecast.
zomgbbqftw
Banned
Yeah, these titles aren't as big as you think they are. Nothing like Mario Kart. In Japan they are undoubtedly huge, and Animal Crossing was massive at the end of last year there. You are overestimating their importance in the west.
Portugeezer
Member
Better than expected to be honest.
3DS is still a beast.
Wii U should make the 4 million forecast, then the slow but steady release of games (Wonderful 101, Pikmin 3 a few of the standouts), then come the E3 bending over of Sony and Microsoft... buh teh 720/PS4 graphics...
Xenoblade 2, Retro Studios epic game, Mario 3D and Kart bitches, oh yeah and fucking Smash Bros mothafukkas!
3DS is still a beast.
Wii U should make the 4 million forecast, then the slow but steady release of games (Wonderful 101, Pikmin 3 a few of the standouts), then come the E3 bending over of Sony and Microsoft... buh teh 720/PS4 graphics...
Xenoblade 2, Retro Studios epic game, Mario 3D and Kart bitches, oh yeah and fucking Smash Bros mothafukkas!
Well, not Pokemon, I do recall that franchise being huge worldwide.
Herb Alpert
Banned
Not so bad, but not so good in general...
And not good for the wii U at all. I went to the supermarket this morning, they had at least a dozen system on the shelves (I'm in France). The number of shipments for the coming months will be low I assume.
the lack of third party support is REALLY a problem for them. hardly none of the big 2013 games is coming and if so there is no reason for the one of 2014 to come. Even less chances, given they will be PS4/720 and let's be serious : they won't come.
So that leaves Nintendo in the situation of the wii past 2010. The waow effect was gone, the third party support too, even first party became more and more thin... For Wii U the first party will be there, but the adaptation to HD and longer development time make this situation very difficult to sustain.
I can't figure how they are gonna support alone a HD console. I imagine that a lot of games will be wii-like but prettier and in 720p (I even don't believe anymore in 1080p).
One of their biggest problems is that kids in my opinion don't find Nintendo cool anymore. Past 6 or 7, they want either a tablet or play on Microsoft and Sony.
They now have a big image deficit. They seem out of date in a lot of people'mind.
Understand me, I am not saying that they are doomed. They struggle to find a place and eventually they will find it, but I think that the big profit from Wii Ds era were an "anomaly" that will be corrected. One can't create new paradigms in video games every other year. And eventhough sometimes people don't buy it.
(In this case the wii u isn't in my opinion revolutionnary at all and I always thought that Iwata, Miyamoto and Fils-aimé were aware of it despite they play the "it's a totally new way of playing" part)
And not good for the wii U at all. I went to the supermarket this morning, they had at least a dozen system on the shelves (I'm in France). The number of shipments for the coming months will be low I assume.
the lack of third party support is REALLY a problem for them. hardly none of the big 2013 games is coming and if so there is no reason for the one of 2014 to come. Even less chances, given they will be PS4/720 and let's be serious : they won't come.
So that leaves Nintendo in the situation of the wii past 2010. The waow effect was gone, the third party support too, even first party became more and more thin... For Wii U the first party will be there, but the adaptation to HD and longer development time make this situation very difficult to sustain.
I can't figure how they are gonna support alone a HD console. I imagine that a lot of games will be wii-like but prettier and in 720p (I even don't believe anymore in 1080p).
One of their biggest problems is that kids in my opinion don't find Nintendo cool anymore. Past 6 or 7, they want either a tablet or play on Microsoft and Sony.
They now have a big image deficit. They seem out of date in a lot of people'mind.
Understand me, I am not saying that they are doomed. They struggle to find a place and eventually they will find it, but I think that the big profit from Wii Ds era were an "anomaly" that will be corrected. One can't create new paradigms in video games every other year. And eventhough sometimes people don't buy it.
(In this case the wii u isn't in my opinion revolutionnary at all and I always thought that Iwata, Miyamoto and Fils-aimé were aware of it despite they play the "it's a totally new way of playing" part)
metalslimer
Member
What? Pokemon is certainly a bigger deal than Mario Kart. Pokemon has been massive for years. The Mario Kart popularity spike was only a recent deal and it isn't shown it can consistently sell 20 million while Pokemon has continued to do great. Did you somehow miss the last 16 years of Pokemon popularity in the west? If I had to point to the very definition of a system seller it would be Pokemon.
zomgbbqftw
Banned
I think even Pokemon is going to suffer from lesser relevance this time around. Nintendo as a company have failed to shift with the times, and it shows in literally all of their products right now.
I guess we shall find out in due time, but until the metric can be proven, we can still call Pokemon a big deal.
metalslimer
Member
Pokemon has looked like an upgraded SNES game for years now and now you think Pokemon is going to suffer? If there is one thing I have learned during my time playing games is not to underestimate the importance of Pokemon. Anecdotally of course, but i have a bunch of friends who aren't happy because now they have to buy a 3DS to play Pokemon.
Portugeezer
Member
I fail to see this after the record breaking Pokemon Black/White sales, if anything the franchise keeps on getting more popular; it will sell systems.
zomgbbqftw
Banned
Sure.