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

vinnygambini

Why are strippers at the U.N. bad when they're great at strip clubs???
Aug 7, 2013
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Market Expectations for Q3 were as followed:
EARNINGS FORECAST: Nintendo is expected to report a net profit of ¥35.52 billion ($301.67 million) for the three months ended December, according to a poll of six analysts surveyed by financial data provider Quick. A year earlier, it reported a net profit of ¥9.6 billion.

REVENUE FORECAST: Revenue is expected fall to ¥275.54 billion from ¥302.5 billion a year earlier.
http://blogs.wsj.com/digits/2015/01/27/nintendo-earnings-what-to-watch-7/

Nintendo Q3 Results:
Net Sales: ¥271.521 billion yen
Operating Income: ¥31.819 billion yen
Net Income: ¥45.215 billion yen
Nintendo Full-Year Guidance:
Net Sales: ¥550 billion yen (↓)
Operating Income: ¥20 billion yen (↓)
Net Income: ¥30 billion yen (↑)
Hardware & Software Guidance for FY15 prior to new forecast:
3DS HW: 12 million
Wii U HW: 3.6 million
3DS SW: 67 million
Wii U SW: 20 million
Hardware & Software Guidance for FY15 with new forecast:
3DS HW: 9 million (↓)
Wii U HW: 3.6 million
3DS SW: 61 million (↓)
Wii U SW: 25 million (↑)
Additional Information Q3 (Software/Hardware Shipments, Digital Sales, Cash & Equivalents):

Pokemon ORAS: 9.35 million
Super Smash Bros 3DS LTD: 6.19 million
Super Smash Bros Wii U LTD: 3.39 million
Mario Kart 8 LTD: 4.77 million
Wii U HW: 1.91 million
3DS HW: 4.99 million
Amiibo: 5.7 million
Digital Sales: ¥10.4 billion yen
Cash & Equivalents: ¥920.531 billion yen (↑)
3DS
Tomodachi Life: 3.96 million LTD
Mario Kart 7: 11.42 million LTD
Pokemon XY: 13.70 million LTD
New Super Mario Bros 2: 9.01 million LTD
Animal Crossing: New Lead: 8.73 million LTD
Kirby: Triple Deluxe: 1.70 million LTD
Wii U
Super Mario 3D World: 3.79 million LTD
Nintendo Land: 4.44 million LTD
In essence, we have ourselves the beginnings of a comeback/improvement as this will be their first fiscal-year profit positive in four years, though greatly aided by abenomics and cost-cutting measures.s. Investors are also awaiting more details on its new healthcare-related service: Quality of Life & licensing ventures/opportunities - look forward to that on Investors Conference tomorrow at 8pm EST.

Edit: IR Meeting postponed until further notice - Iwata is sick

Will update thread throughout & Additional Information segment.

http://www.nintendo.co.jp/ir/pdf/2015/150128e.pdf

Courtesy of 1stCourse:

3DS Unit Sales (Unit: Million)

Code:
Hardware       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD

FY 2010/11       -        -        -      3.61      3.61     3.61

FY 2011/12     0.71     2.36      8.36    2.10      13.53    17.13       

FY 2012/13     1.86     3.20      7.65    1.24      13.95    31.09

FY 2013/14     1.40     2.49      7.76    0.59      12.24    43.33

FY 2014/15     0.82     1.27      4.99       -      7.08     50.41  


Software       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD

FY 2010/11      -        -         -      9.43      9.43     9.43

FY 2011/12     4.53     3.60     19.91    7.96      36.00    45.42    

FY 2012/13     7.39     11.64    20.53    10.05     49.61    95.03

FY 2013/14     11.01    16.37    29.87    10.64     67.89    162.92

FY 2014/15     8.57     14.73    29.74       -      53.04    215.96

Wii U Unit Sales (Unit: Million)

Code:
Hardware       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD

FY 2012/13       -        -      3.06     0.39      3.45     3.45

FY 2013/14     0.16     0.30     1.95      0.31     2.72     6.17

FY 2014/15     0.51     0.61     1.91      -        3.03     9.20  


Software       Ap-Jn    Jl-Sp    Oc-Dc    Ja-Mr      FY      LTD

FY 2012/13       -        -      11.69    1.73      13.42    13.42   

FY 2013/14     1.03     5.27      9.66    2.9       18.86    32.28

FY 2014/15     4.39     5.01     11.19       -      20.59    52.87
 
May 24, 2014
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#13
With the realities of this, does it mean Nintendo is actually on pace to meet their initial projection of net revenue for the year? Because analysts had it undershooted and were projecting them to be well short.

I mean, it's a nice comeback of course - especially given the last 3 years - but it's a question of if this can be sustained and continued now that all their big games have hit store shelves.
 
Jan 25, 2012
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#18
So like 50% of Wii U owners own Mario Kart 8? That is ridiculously high.

Hopefully Nintendo continues this trend of doing well.
50% is crazy high.
Yeah, I think this shows there's some untapped potential here, especially given how their console line is doing currently.
Given how consoles do better in the west and handhelds do better in Japan it would be interesting to see if they try something like that assuming they come out with a console that preforms better.
 
Feb 10, 2009
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#20
5 Million 3DS isn't too much though, is it? What did it sell last year in Q3?

Nice sales on SSB though. Mario KArt selling steady is also a great thing.
I can't put a pin towards the Wii U sales though. How do they compare to 2013 Q3?
 

FZZ

Banned
Jun 5, 2013
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#22
My QOL is ready

Also 2016 new handheld and 2017 new console with hybrid architecture incoming

Ninty ninth gen is gonna be interesting
 

Chittagong

Gold Member
Jun 8, 2004
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#24
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
 
#26
50% is crazy high.

Given how consoles do better in the west and handhelds do better in Japan it would be interesting to see if they try something like that assuming they come out with a console that preforms better.
Well, Smash 3DS only did around 2 million copies in Japan, so even with the massive decline in handhelds in the West, they still sold 4 million copies (more than the Wii U version worldwide) in the region.
 
Mar 5, 2014
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#29
Well, I get the sense that Smash Bros will be getting handheld entries on a continual basis from now on.

That's already over half of what Brawl sold LTD on 3DS alone (12.14 million).

The game is pretty close to Brawl's LTD between the two platforms in general.
Seeing as they're planning on creating the whole iPhone/iPad-like brother consoles, this'll probably be the case from now on; Smash is just one of those franchises that makes sense being on two platforms, kind of like Mario Kart.
:p
 
May 23, 2014
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#31
Pretty much expected to be positive given the strong 2014 for both 3DS and Wii U as compared to 2013. Hopefully the momentum continues this year and beyond.

Smash 4 combined will most likely outsell Brawl at the end of the year or two. Really a great decision to have it on handheld in hindsight.

With Mario Kart 8 at 4.77 million, how does it fare to the lowest selling MK (Super Circuit on GBA)?

Edit: Around 5..47 million for Super Circuit...looks like it's gonna be eclipsed sooner that expected :p
 
Dec 14, 2008
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#33
Seeing as they're planning on creating the whole iPhone/iPad-like brother consoles, this'll probably be the case from now on; Smash is just one of those franchises that makes sense being on two platforms, kind of like Mario Kart.
:p
This is nothing but armchair analyst conjecture (with a large helping of misinterpreting statements) at this point.
 

vinnygambini

Why are strippers at the U.N. bad when they're great at strip clubs???
Aug 7, 2013
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#34
Sadly, Nintendo did not provide any updates on amiibo but will most likely provide reference slides on their presentation.

Good news is their profitable, balance sheets are up considerably, digital sales are also rising.

Bad news is Nintendo slashed their Full-Year Forecast due to Euro forex (down to 130Y), lower 3DS HW sales, from ¥40 billion yen Operating Profit to ¥20 billion yen; however, Net Income Up by ¥10 billion yen to ¥30, due to exchange gains.
 
May 23, 2006
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#35
Their next console and handheld should focus heavily on Amiibo imo. The home console should be a superset of their handheld and come with an Amiibo starter pack bundled in.
 
May 31, 2013
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#39
Nintendo's always been really good at controlling costs and profiting from being conservative. I am kind of curious if they will simply remain conservative in future endeavors or make riskier moves for larger marketshare/presence.

Still good results overall
 
Aug 25, 2013
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#40
Sadly, Nintendo did not provide any updates on amiibo but will most likely provide reference slides on their presentation.

Good news is their profitable, balance sheets are up considerably, digital sales are also rising.

Bad news is Nintendo slashed their Full-Year Forecast due to Euro forex (down to 130Y), lower 3DS HW sales, from ¥40 billion yen Operating Profit to ¥20 billion yen; however, Net Income Up by ¥10 billion yen to ¥30, due to exchange gains.
you know, leaving in "million" as a placeholder on Amiibo is going to confuse people, should probably edit that out for the moment :p
 
#41
Sadly, Nintendo did not provide any updates on amiibo but will most likely provide reference slides on their presentation.

Good news is their profitable, balance sheets are up considerably, digital sales are also rising.

Bad news is Nintendo slashed their Full-Year Forecast due to Euro forex (down to 130Y), lower 3DS HW sales, from ¥40 billion yen Operating Profit to ¥20 billion yen; however, Net Income Up by ¥10 billion yen to ¥30, due to exchange gains.
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.
 
Jul 16, 2014
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#43
Do we have any idea what the top selling game is when next gen only is viewed? Just wonder how Nintys software stacks up.

I'd say this is a good result. 3DS this Q4 and next year will be a big test. Wii U has Zelda at the least to keep things at the very most ticking over.
 
Jan 25, 2012
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#44
Nintendo's always been really good at controlling costs and profiting from being conservative. I am kind of curious if they will simply remain conservative in future endeavors or make riskier moves for larger marketshare/presence.

Still good results overall
Didn't they spend some money last year outside of the Yamauchi thing?
 

Mpl90

Two copies sold? That's not a bomb guys, stop trolling!!!
Mar 10, 2011
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theflyingthoughtsblog.wordpress.com
#45
I expect several console titles to get handheld entries next generation. That's not too far off.
Isn't that what already happens right now, after all? I mean, this gen we got a 3D main Mario on a handheld, as well as Paper Mario, remakes of 3D N64 Zelda games, and of course Smash Bros.
Of course, probably the rate will increase further in the future. Especially with the NintendOS idea.
 
Mar 9, 2014
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#46
5 Million 3DS isn't too much though, is it? What did it sell last year in Q3?

Nice sales on SSB though. Mario KArt selling steady is also a great thing.
I can't put a pin towards the Wii U sales though. How do they compare to 2013 Q3?
I think the news of the "new" 3DS probably slowed sales of the current models.
 
#47
I think the news of the "new" 3DS probably slowed sales of the current models.
Yeah. I bet Nintendo are kicking themselves for not releasing the N3DS globally last year. Probably would have made them hit their 3DS target.

Didn't they spend some money last year outside of the Yamauchi thing?
Yep. Expansion with the new R&D building and more hirings.
 
May 23, 2006
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#49
Isn't that what already happens right now, after all? I mean, this gen we got a 3D main Mario on a handheld, as well as Paper Mario, remakes of 3D N64 Zelda games, and of course Smash Bros.
Of course, probably the rate will increase further in the future. Especially with the NintendOS idea.
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.
 
Aug 25, 2013
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#50
5 Million 3DS isn't too much though, is it? What did it sell last year in Q3?

Nice sales on SSB though. Mario KArt selling steady is also a great thing.
I can't put a pin towards the Wii U sales though. How do they compare to 2013 Q3?
I think shipments are actually the exact same as last year, which is pretty coincidental but eh whatever

edit: actually it's down from 1.95m to 1.91m