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Nintendo posts $160M net income, cuts 3DS/Wii U/NDS/Wii forecasts

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.

'Blown their load' is a pretty simple view of Nintendo's first party titles.
The idea that three games is all Nintendo have in them is frankly ridiculous.
 
The software sales cut is the big ouch. Wii U wont hit projected sales but its still doing well. Nintendo really needs to do a better job at advertising the console. A lot of people especially casuals still think its just a Wii add on and not a new console. Once more games are announced and released sales will pick up even more.
 

Pikma

Banned
Did they just put together Wii+Wii U numbers on that forecast à la Sony, or is that common from them?
If so:
tzFA1.gif
 

bomma_man

Member
Love nintendo but waiting for a price drop.

I think they can make a future as a niche provider if worse comes to worse, there's always going to be a market for their games. They can be the Apple of the PC market if you want an imperfect analogy.

The market has democratised to the point where 'the big three' doesn't matter.

Edit: doesn't help that's marketing has been awful, the wii u could be a mainstream success
 

Orayn

Member
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.

Why? Because you want it to? A younger, more foolish version of me has said the same thing about CoD, thinking that each successive year would be the time when the series' dominance finally fell apart. I was wrong then, and you're probably wrong now - For the forseeable future, CoD and Pokemon will be unshakable top-sellers.
 

test_account

XP-39C²
Why? Because you want it to? A younger, more foolish version of me has said the same thing about CoD, thinking that each successive year would be the time when the series' dominance finally fell apart. I was wrong then, and you're probably wrong now - For the forseeable future, CoD and Pokemon will be unshakable top-sellers.
Did you think that about COD because you wanted it to? ;) (sorry, i had to ask =)).
 
Decent numbers for the company as a whole.

Wii U will be in a rut for a couple of months, but Nintendo can more than afford it.
 
To be fair - isn't COD down quite a bit?
Anyway the point isn't even Pokemon - its the idea Nintendo first parties from the last year and a bit don't have legs and that Nintendo does not have a wide range of first party titles that was a bit ridiculous.
 

Bruno MB

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.

You're completely right, thanks.
 

Orayn

Member
Did you think that about COD because you wanted it to? ;)

Some time ago, yeah. The series and its massive influence still annoy me, but I've long since stopped wishing for its demise just because it isn't my cup of tea.

To be fair - isn't COD down quite a bit?
Anyway the point isn't even Pokemon - its the idea Nintendo first parties from the last year and a bit don't have legs and that Nintendo does not have a wide range of first party titles that was a bit ridiculous.

CoD is getting more front-loaded, but it isn't down by that much. (If at all, I haven't been paying super close attention to Black Ops 2.)
 

Somnid

Member
Had they not delayed 4 games outside of the fiscal year (Lego City, Pikmin, Game and Wario, Wii Fit U) the hardware number would have been very doable but with nothing in Jan/Feb sales are going to be shit. Actually if all 4 games made it the software projection would look a little less insane too.

Overall returning to profitability is good. If they can start churning a profit then I guess the as far as playing the game goes that's the bottom line to win though I think everyone wants to see more Nintendomination.
 

test_account

XP-39C²
Some time ago, yeah. The series and its massive influence still annoy me, but I've long since stopped wishing for its demise just because it isn't my cup of tea.
Fair enough. I ment it more as a joke since you asked him if he wanted Pokemon to sell less. Just had to say it, sorry :)
 

BY2K

Membero Americo
So is this good or not?

Wii U already being over 3 Million is kind of a surprise, giving the sale numbers we got.
 

Portugeezer

Gold Member
So is this good or not?

Wii U already being over 3 Million is kind of a surprise, giving the sale numbers we got.

It's whatever you make it.

I was expecting low a low 2 million for Wii U sales, so good that it even broke 3 million.
 

Orayn

Member
So is this good or not?

Wii U already being over 3 Million is kind of a surprise, giving the sale numbers we got.

I think the mean-average response in this thread is somewhere around "decent." It's doing about as well as you can expect it to when the whole video game industry is experiencing somewhat of a downturn. Things look kind of grim in Europe, but on the whole it's neither a riotous success nor a complete disaster.
 
Wait, is this essentially an accounting 'profit/income'?

Also those commenting on how good the Wii U number is should realise it means around 1M units were sitting on shelves and in retailer warehouses as at 31st Dec.
 

Baki

Member
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.

Pokemon and Monster Hunter 4 means that there will be an uptick in Japan sales in the 4th quarter. This could mean a YoY increase in Japan from about 5M to 6/7M - so if they remain flat in the west (or decline) they should be able to remain relatively flay YoY or have a slight increase. Basically - Japan will prop up the 3DS in the face of underwhelming western sales and once the 3DS gets closer to GBA pricing ($99-$129/£89.99-£109.99), the system will begin to capture the old GBA market in the west (6-12 year olds) and probably stabilise at 15M units a year as a result (and coast towards 90-100M LTD). However, this is all assuming $99/$149 tablets don't take the market by a storm and eat into Nintendos market even more.
 

liger05

Member
'Blown their load' is a pretty simple view of Nintendo's first party titles.
The idea that three games is all Nintendo have in them is frankly ridiculous.

While Animal Crossing crushes everything in sight people still think Nintendo only have those 3 games for the 3DS lol
 
Wait, is this essentially an accounting 'profit/income'?

Also those commenting on how good the Wii U number is should realise it means around 1M units were sitting on shelves and in retailer warehouses as at 31st Dec.

Yes. the profit is from a revaluation of foreign held assets.
 

gcubed

Member
so how much of that wiiu is sitting on store shelves? I'd guess quite a bit of overshipment if they are only pushing out 800k more in the next 2 months
 
It's whatever you make it.

I was expecting low a low 2 million for Wii U sales, so good that it even broke 3 million.

The actual units sold to consumers is slightly less than 2 million, as extrapolated by Road on the first page.

~330k shipped ww/month from January-March to match the new forecast, January NPD is probably less than 200k in that case.
 
Nintendo is doomed again, it seems.

But seriously, not sure what people are expecting with this next console generation. No one truly knows (not even Nintendo, MS, Sony) what the impact of smartphones and tablets are going to have on sales numbers, especially during the launch of a new product in the present day. We've seen it already with Nintendo and the 3DS - they thought they had a good (lol) price, saw middling to poor sales, and dropped it. Since then, though they're selling at a loss, they're now moving units at a healthy rate and establishing their user base for this handheld generation. I suspect something similar will happen with Wii U this year.
Sony should follow suit with the Vita if they want this thing to be around in 18 months

I wouldn't be surprised if the launch of the Orbis and Durango told a similar story - meeting average to low sales expectations then the company reacting accordingly in a much shorter time frame than in generations past. They're most likely going to be priced higher than people want and those people will wait for the inevitable price drop in the following year/holiday season.

I don't know, the Nintendo doom and gloom threads lately have been a little exhausting, especially coming from someone who lately exclusively plays the 3DS and Wii/WiiU. I'm perfectly satisfied with the Wii U so far (still playing NintendoLand/ZombiU/NSMBU) and eagerly awaiting what's next.
 
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.

Pokemon is still a 10+ million selling franchise even if you exclude Japan and it's about to have the biggest upgrade it has ever seen essentially. Also i'm against the idea that the biggest selling games are the biggest system selling games. Personally i think pokemon is by far the biggest system seller that nintendo has in their line-up and it isn't even close. To me mario kart is something everyone picks up eventually but it isn't necessarily why they buy the console.

We'll see though.
 

schuelma

Wastes hours checking old Famitsu software data, but that's why we love him.
The saving grace for Nintendo is they launched first so they have some time to sort things out. The idea that PS4/720 is going to blow the doors off right away is pretty misguided IMO. Nintendo has to get it right this holiday though. Might need a 3DS style Mario Kart/3D Mario schedule.
 

evangd007

Member
Net profit.

3.8 Wii U software attach rate.

Lowered forecast.

I want to say better than expected, but that may be because all the doom and gloom lowered expectations to a stupidly low level.

But really, what region floated that attach rate? Wasn't it supposedly 1.9 in North America? Then again that was a Pachter number.
 

kinggroin

Banned
Nintendo is doomed again, it seems.

But seriously, not sure what people are expecting with this next console generation. No one truly knows (not even Nintendo, MS, Sony) what the impact of smartphones and tablets are going to have on sales numbers, especially during the launch of a new product in the present day. We've seen it already with Nintendo and the 3DS - they thought they had a good (lol) price, saw middling to poor sales, and dropped it. Since then, though they're selling at a loss, they're now moving units at a healthy rate and establishing their user base for this handheld generation. I suspect something similar will happen with Wii U this year.
Sony should follow suit with the Vita if they want this thing to be around in 18 months

I wouldn't be surprised if the launch of the Orbis and Durango told a similar story - meeting average to low sales expectations then the company reacting accordingly in a much shorter time frame than in generations past. They're most likely going to be priced higher than people want and those people will wait for the inevitable price drop in the following year/holiday season.

I don't know, the Nintendo doom and gloom threads lately have been a little exhausting, especially coming from someone who lately exclusively plays the 3DS and Wii/WiiU. I'm perfectly satisfied with the Wii U so far (still playing NintendoLand/ZombiU/NSMBU) and eagerly awaiting what's next.

The group of gamers that will front load initial Orbis and Durango sales are not the same kind of people that would choose a tablet or smartphone over a traditional console. WU is failing because it isn't a compelling package of hardware or software to either core gamers or the casual gaming audience that made its predecessor a success. That's it.
 
Then I'm not sure why people are saying the number looks good. They'll struggle to sell through that million over the quarter let alone get retailers to take a million more.

Towards the end of the quarter they should be topping up supplies, but I think as we saw with the 3DS's 0.7m it could be less than expected.
 
Net profit.

3.8 Wii U software attach rate.

Lowered forecast.

I want to say better than expected, but that may be because all the doom and gloom lowered expectations to a stupidly low level.

But really, what region floated that attach rate? Wasn't it supposedly 1.9 in North America? Then again that was a Pachter number.

This is the shipped attach rate, not the sold through attach rate. That sits at around 1.8 WW. Nintendo still have to sell those games sitting on shelves and in warehouses.
 

JoeM86

Member
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.

I run arguably the most popular Pokémon fansite on the internet, and I can tell you right now that you are very off base. During the launch of Black & White, I was getting so many hits indicating that it is very, VERY relevant in the west. Similar numbers occured with Black 2 & White 2, as well. I have no doubt X & Y will have a similar effect
 

Somnid

Member
The group of gamers that will front load initial Orbis and Durango sales are not the same kind PDF people that would choose tablet or smartphone over a traditional console. WU is failing because it isn't a compelling package of hardware or software to either core gamers or the casual gaming audience that made its predecessor a success. That's it.

All early adopters are roughly the same people, even Wii U's. They are typically affluent people who play a lot of games in a lot of genres. The CoD/Madden/FIFA crowd that made 360/PS3 is not one I expect to make a swift transition even assuming CoD will maintain relevance over the generation gap. Those are the people who will start picking things up as prices go down. If anything Durango/Orbis early adopters are a narrower band due to likely higher prices. And like all contemporary launches I'm not expecting initial software to impress as much as some think it will.
 

schuelma

Wastes hours checking old Famitsu software data, but that's why we love him.
All early adopters are roughly the same people, even Wii U's. They are typically affluent people who play a lot of games in a lot of genres. The CoD/Madden/FIFA crowd that made 360/PS3 is not one I expect to make a swift transition even assuming CoD will maintain relevance over the generation gap. Those are the people who will start picking things up as prices go down. If anything Durango/Orbis early adopters are a narrower band due to likely higher prices. And like all contemporary launches I'm not expecting initial software to impress as much as some think it will.

Exactly. People seem to think PS360 emerged in 05-06 as juggernauts. They didn't and I don't expect things to be much different this time.
 
I still don't think they reach that new revised software goal.

Hardware they should hit though.


edit: wait those actuall Wii U numbers look like bullshit.

Approximately 4:1 attach ratio on launch hardware? That seems unheard of.
 
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