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Nintendo Q4 FYE 3/15 Results - Beats Market Expectations, FY15 Guidance Announced

kirbyfan407

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Jul 16, 2014
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I honestly have no clue what they're planning with NX. Those comments about a new concept are as vague as can be.

Also, I couldn't quite get that translation about NX--did they say they'll first talk about it in 2016 or it will release in 2016?
I'm not sure what this translation says, but they previously said they wouldn't talk about anything specific regarding NX until 2016.
 

Sub Boss

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Mar 6, 2013
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I like how they are talking about the removal of region locking like it's some incredible new invention of the 21st century or something. It's not as if nearly every single one of your past handhelds have been region free...
Sometimes Nintendo can take two steps forward, one back, then one step forward and two back.
 

Vena

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Sep 2, 2014
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I like how they are talking about the removal of region locking like it's some incredible new invention of the 21st century or something. It's not as if nearly every single one of your past handhelds have been region free...
Sometimes Nintendo can take two steps forward, one back, then one step forward and two back.
Regional marketing deals.
 

hongcha

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Aug 7, 2011
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They probably want region free, but with a "Nintendo Twist"
My guess is the "Nintendo Twist" will be discs (or carts, if it is a portable like the 3DS) will be region free, but the eshop will be region locked and unchangeable from the region you purchased the console in. In other words you won't be able to have a Japanese account and a NA/EU account on the same console, like you can on the PS3 and PS4 (And Xbox 360). I hope I am wrong though.
 
Sep 1, 2013
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Hmm, we can discard speculation about their smartphone games at E3 now
So what are they going to show if they said " Only 2015 Wii U games" and besides fire emblem, there is nothing on the horizon for the 3DS from Nintendo and now No smartphone games.
 

Sandfox

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Jan 25, 2012
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So what are they going to show if they said " Only 2015 Wii U games" and besides fire emblem, there is nothing on the horizon for the 3DS from Nintendo and now No smartphone games.
Nintendo already said that there will be new game announcements and they never said "only 2015".
 
Jul 7, 2010
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So what are they going to show if they said " Only 2015 Wii U games" and besides fire emblem, there is nothing on the horizon for the 3DS from Nintendo and now No smartphone games.
Focusing on 2015 games doesn't mean they'll only show 2015 games. Also, they'll probably show the 3DS games you're convinced don't exist.
 

kirbyfan407

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Jul 16, 2014
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Are there other interesting tidbits from the Q&A?
These are what I've found. There may be more:

  • Nintendo will not be showing mobile games at E3 since they see it as an event for dedicated game consoles
  • Nintendo may be looking at films and videos for licensing
  • Universal had lots of ideas for Nintendo attractions when they met; Miyamoto is involved in the decision process
Source
 

AniHawk

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Jun 7, 2004
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Are there other interesting tidbits from the Q&A?
what i can glean from google translate

-e3 is meant for dedicated systems, so no smartphone talk
-iwata talked over the details of the universal deal with miyamoto once he got back to japan. seems veteran producers are going to try and make these attractions faithful/good

one thing that i was curious about was how they plan to hit $1b operating profit at the end of march 2017, so that was the first question asked. the answer is basically them expecting smartphone games to contribute to the bigger picture. it's one of the reasons they expect a $500m operating profit this year.

-no talks about the nx until 2016. also, they're trying to make something that can appeal to a worldwide audience, considering the kinds of hardware that sells in the us, europe, and japan (i think)
 

Sandfox

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what i can glean from google translate

-e3 is meant for dedicated systems, so no smartphone talk
-iwata talked over the details of the universal deal with miyamoto once he got back to japan. seems veteran producers are going to try and make these attractions faithful/good

one thing that i was curious about was how they plan to hit $1b operating profit at the end of march 2017, so that was the first question asked. the answer is basically them expecting smartphone games to contribute to the bigger picture. it's one of the reasons they expect a $500m operating profit this year.

-no talks about the nx until 2016. also, they're trying to make something that can appeal to a worldwide audience, considering the kinds of hardware that sells in the us, europe, and japan (i think)
This needs to be their biggest priority with the next platform.
 

Mr Swine

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So how is Nintendo going on to combat declining sales of the 3DS in Japan? The N3DS was having a small decline this year and was not far of last years hardware sales on a weekly basis. But now it's starting to decline badly again and can Nintendo really do like they did with DS and wait of till the 3DS is almost dead in Japan? I know it's selling ok in USA and it's not selling that good in Europe.

I guess they can do a price drop near the end of the year to spur some sales or will they nothing and just take a loss of hardware sales just to bring in some money the 3DS is doing
 

AniHawk

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So how is Nintendo going on to combat declining sales of the 3DS in Japan? The N3DS was having a small decline this year and was not far of last years hardware sales on a weekly basis. But now it's starting to decline badly again and can Nintendo really do like they did with DS and wait of till the 3DS is almost dead in Japan? I know it's selling ok in USA and it's not selling that good in Europe.

I guess they can do a price drop near the end of the year to spur some sales or will they nothing and just take a loss of hardware sales just to bring in some money the 3DS is doing
in their q&a they kind of acknowledged that they kind of hit saturation point and can't reach out to women as successfully as they did with the wii and the ds.
 

kirbyfan407

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So how is Nintendo going on to combat declining sales of the 3DS in Japan? The N3DS was having a small decline this year and was not far of last years hardware sales on a weekly basis. But now it's starting to decline badly again and can Nintendo really do like they did with DS and wait of till the 3DS is almost dead in Japan? I know it's selling ok in USA and it's not selling that good in Europe.

I guess they can do a price drop near the end of the year to spur some sales or will they nothing and just take a loss of hardware sales just to bring in some money the 3DS is doing
A price drop to $99/$140/$170 for the three models seems like the next step in 2016/2017. If sales die earlier in some regions of the world and there's no big software on the horizon, it could happen sooner. They might hope Yo-Kai Watch will give the system new life (in EU and NA) in 2016 though. I'm guessing Nintendo is counting on QoL and mobile to help them coast through the next year or two while they prepare their next big piece(s) of gaming hardware. I wouldn't be surprised if they're putting a lot of hope into whatever the NX entails, like they did with the Wii.
 

Mr Swine

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A price drop to $99/$140/$170 for the three models seems like the next step in 2016/2017. If sales die earlier in some regions of the world and there's no big software on the horizon, it could happen sooner. They might hope Yo-Kai Watch will give the system new life (in EU and NA) in 2016 though. I'm guessing Nintendo is counting on QoL and mobile to help them coast through the next year or two while they prepare their next big piece(s) of gaming hardware. I wouldn't be surprised if they're putting a lot of hope into whatever the NX entails, like they did with the Wii.
I just hope they announce lots of new software for the 3DS at E3 I just don't hope they honestly think that Yo-Kai Watch only is going to be a hit so they are pinning their hopes on that particular software to do the job over at EU and USA. I hope that the NX isn't a console with a gimmick since I have a hard time seeing that new they can do on a console or handheld.
 

Sadist

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what i can glean from google translate

-e3 is meant for dedicated systems, so no smartphone talk
-iwata talked over the details of the universal deal with miyamoto once he got back to japan. seems veteran producers are going to try and make these attractions faithful/good

one thing that i was curious about was how they plan to hit $1b operating profit at the end of march 2017, so that was the first question asked. the answer is basically them expecting smartphone games to contribute to the bigger picture. it's one of the reasons they expect a $500m operating profit this year.

-no talks about the nx until 2016. also, they're trying to make something that can appeal to a worldwide audience, considering the kinds of hardware that sells in the us, europe, and japan (i think)
So a system designed first for Japan is a thing of the past? End of an era. Wonder if Nintendo can pull it off.
 

AniHawk

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So a system designed first for Japan is a thing of the past? End of an era. Wonder if Nintendo can pull it off.
here's the google translate of the question and answer

For dedicated game machine NX announced plans to detail in 2016, hints want in a range that will be answered at present. Whether there is a possibility of sale in 2016 in the 2016 announcement. Or replacement (replacement) and should we think of the current game machine, or do should be considered as the third pillar. The first place whether we lost the concept itself that home console and portable. In addition, it named NX, either the N is such that Nintendo, whether there is any meaning to the code name itself that NX.

iwata: For NX, is not going to talk about specific things until 2016, and was issued a named NX a joint press conference with DeNA's March 17, we are with DeNA's alliance When will the announcement that starting a business of smart devices by, because misunderstanding referred to as "Nintendo or not the switch to smart device because they were pessimistic about the future of the game dedicated machine" was considered to be or not to occur in the world It is. So "Nintendo to have made firm also following dedicated game machine, has not lost the passion for the future of the dedicated game machine, outlook and I also have" in order to profess that, dare early Timing in (of NX) we announced the presence. "What time of the release date is" at the time of today, "What kind of thing whether" it is not possible to talk about that, because I mentioned that the "new concept", a Nintendo 3DS or Wii U " does not the idea of ​​simply replace ".

Although talk of "the idea of ​​the home console and portable" was not included in the question, because play is how the dedicated game machine, in Japan and overseas have been differentiation lot situation. , Including the different customer game play environment for each region, it referred to as "we wonder who can accept to customers around the world Once you have suggestions for what kind of thing" "I want to put out a game machine of the new concept," the thought that There is all of that is I would like today.

By the way, we get or "Do not the story of NX is Dell" at this year's E3, and or "whether hear talk of smart devices", etc. "Is it hear talk of QOL (Quality of Life)", the various inquiries Although I, E3 because we understand that it dedicated game machine of events, also talk of smart devices, there is not all going to be talk of QOL. Also, so I would like the story of NX is "will talk from becoming in 2016", because the presentation on NX is will have missed the load, even if I have expected or not than a year's E3, the neighborhood, please for your understanding.
 

shinra-bansho

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one thing that i was curious about was how they plan to hit $1b operating profit at the end of march 2017, so that was the first question asked. the answer is basically them expecting smartphone games to contribute to the bigger picture. it's one of the reasons they expect a $500m operating profit this year.
DeNA's CEO stated in interview that they'd like the games they release to generate about $25M a month in revenue; this would be comparatively high margin revenue.

Intent and outcome are obviously a very different thing; these would be in the top 20 realm games, and achieving multiple titles in this territory is something only a few companies regularly manage.
 

Circinus

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what i can glean from google translate

-e3 is meant for dedicated systems, so no smartphone talk
-iwata talked over the details of the universal deal with miyamoto once he got back to japan. seems veteran producers are going to try and make these attractions faithful/good

one thing that i was curious about was how they plan to hit $1b operating profit at the end of march 2017, so that was the first question asked. the answer is basically them expecting smartphone games to contribute to the bigger picture. it's one of the reasons they expect a $500m operating profit this year.

-no talks about the nx until 2016. also, they're trying to make something that can appeal to a worldwide audience, considering the kinds of hardware that sells in the us, europe, and japan (i think)
Wow, they expect $500M operating profit this year? Surprising, considering they don't really have any big mainstream hitters in terms of games for Wii U and 3DS like they had in 2014 (Smash, Kart, Pokémon). I doubt Yoshi, Splatoon, Star Fox, Xenoblade X etc are going to be big hits.

Even taking their mobile games debut into account, that seems like a lot. Not to mention, they'll probably only have 2 or 3 mobile games by March 2016 if they want to have 5 mobile games by March 2017. It seems like they expect their mobile games to be huge hits and to have a highly profitable monetization model if they expect 2 mobile games to take a significant share in their revenue and profit.
 

AniHawk

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DeNA's CEO stated in interview that they'd like the games they release to generate about $25M a month in revenue; this would be comparatively high margin revenue.

Intent and outcome are obviously a very different thing; these would be in the top 20 realm games, and achieving multiple titles in this territory is something only a few companies regularly manage.
i'm also of the opinion that new dedicated gaming hardware is supposed to land in november 2016. not that it will boost numbers that significantly on its own, but basically by march 2017, most of their upcoming initiatives should be underway.

Wow, they expect $500M operating profit this year? Surprising, considering they don't really have any big mainstream hitters in terms of games for Wii U and 3DS like they had in 2014. (Smash, Kart, Pokémon)

Even taking their mobile games debut into account, that seems like a lot. Not to mention, they'll probably only have 2 or 3 mobile games by March 2016 if they want to have 5 mobile games by March 2017. It seems like they expect their mobile games to be huge hits.
it looks like they're really trying to give it their all. not just with making the games, but how they're going to structure the experience for consumers who buy their games on dedicated hardware or smartphones. this is also the fiscal year when they'll be releasing their first qol hardware.
 

JoeM86

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Wow, they expect $500M operating profit this year? Surprising, considering they don't really have any big mainstream hitters in terms of games for Wii U and 3DS like they had in 2014 (Smash, Kart, Pokémon). I doubt Yoshi, Splatoon, Star Fox, Xenoblade X etc are going to be big hits.

Even taking their mobile games debut into account, that seems like a lot. Not to mention, they'll probably only have 2 or 3 mobile games by March 2016 if they want to have 5 mobile games by March 2017. It seems like they expect their mobile games to be huge hits and to have a highly profitable monetization model if they expect 2 mobile games to take a significant share in their revenue and profit.
Considering how close we are to E3, it's a bit silly to say they don't have any mainstream hitter. Super Mario 3D World, for example, was revealed E3 2013 and out November 2013. Donkey Kong Country Tropical Freeze, too...same Fiscal Year.
 

Sandfox

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DeNA's CEO stated in interview that they'd like the games they release to generate about $25M a month in revenue; this would be comparatively high margin revenue.

Intent and outcome are obviously a very different thing; these would be in the top 20 realm games, and achieving multiple titles in this territory is something only a few companies regularly manage.
It would be interesting if they pull off multiple hits like that and DeNA seems to be pretty confident so I'm curious to see what ideas they have.
 

Circinus

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Considering how close we are to E3, it's a bit silly to say they don't have any mainstream hitter. Super Mario 3D World, for example, was revealed E3 2013 and out November 2013. Donkey Kong Country Tropical Freeze, too...same Fiscal Year.
You're right, but it seems like they revealed their 2015 release slate pretty early in advance already and they revealed some games that are coming out beyond 2015 (Zelda, Fire Emblem X Shin Megami Tensei), so I don't expect that they have a lot of new games for 2015 to be released. Of course Zelda undoubtedly has a way longer development cycle, so you're right maybe they still have games for 2015 that have had a shorter development cycle. Maybe Pokémon X/Y 2 for 3DS, maybe Animal Crossing and new 3D Mario for Wii U.

We'll see at E3 I guess. ^.^
 

Sandfox

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Iwata brought up the paying attention other markets before when talking about why the Wii U failed, so it should be a big focus for Nintendo this time around. Now we just need to see what that translates into.

You're right, but it seems like they revealed their 2015 release slate pretty early in advance already and they revealed some games that are coming out beyond 2015 (Zelda, Fire Emblem X Shin Megami Tensei), so I don't expect that they have a lot of new games for 2015 to be released. Of course Zelda undoubtedly has a way longer development cycle, so you're right maybe they still have games for 2015 that have had a shorter development cycle. Maybe Pokémon X/Y 2 for 3DS, maybe Animal Crossing and new 3D Mario for Wii U.

We'll see at E3 I guess. ^.^
Earlier in this thread it was shared that Nintendo has unannounced titles launching this year.
 

Eolz

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To me it sounds like its a 3rd pillar. This new concept thing... I dont like the sound of it.
That's what Iwata is teasing it to be yeah, but once again, the DS was supposed to be a thrid pillar at first too.
It's probably mainly to ease the current fears of either WiiU or n3DS disappearing too soon.
 

StevieP

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Sep 10, 2006
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To me it sounds like its a 3rd pillar. This new concept thing... I dont like the sound of it.
In Japan, traveling with your game playing/mobile device is generally the preferred method of gaming nowadays. In North America we still prefer stationary gaming, at least in the dedicated sector.

Well, then again, we are moving toward a post console thing just like Japan as well. games as a service model here more and more too.
 

GhostTrick

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Jan 11, 2012
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In Japan, traveling with your game playing/mobile device is generally the preferred method of gaming nowadays. In North America we still prefer stationary gaming, at least in the dedicated sector.

Well, then again, we are moving toward a post console thing just like Japan as well. games as a service model here more and more too.


Well, it depends on what they mean by concept.

If they mean shared library, which is IMO the key for a successful Nintendo Ecosystem, I fail to see how it's brand new, but at least it's in the right direction.

If they mean some new hardware thing, I think they just misunderstand the market, because it's not going to save them.
 

Fourth Storm

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To me it sounds like its a 3rd pillar. This new concept thing... I dont like the sound of it.
Yeah, it sounds like they are going for something different again. I'm sure it is meant to replace the current consoles, whatever it is, and the "third pillar" talk is just so customers keep buying 3DS/Wii U for the time being.

As to what the new concept is, I don't know, but the talk about how they are considering the differences in play environment for the various regions is intriguing. I am just crossing my fingers Iwata hasn't let all the "hybrid" talk get to him. I don't want a home console hampered by a portable TDP.
 

GhostTrick

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Yeah, it sounds like they are going for something different again. I'm sure it is meant to replace the current consoles, whatever it is, and the "third pillar" talk is just so customers keep buying 3DS/Wii U for the time being.

As to what the new concept is, I don't know, but the talk about how they are considering the differences in play environment for the various regions is intriguing. I am just crossing my fingers Iwata hasn't let all the "hybrid" talk get to him. I don't want a home console hampered by a portable TDP.


Yeah exactly. To me it's makes no sense for them, I rather have them offering two form factors with a stationary one that would use specs 4 to 8 times higher for higher res/framerate and effects.
 

Mpl90

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Yeah, it sounds like they are going for something different again. I'm sure it is meant to replace the current consoles, whatever it is, and the "third pillar" talk is just so customers keep buying 3DS/Wii U for the time being.

As to what the new concept is, I don't know, but the talk about how they are considering the differences in play environment for the various regions is intriguing. I am just crossing my fingers Iwata hasn't let all the "hybrid" talk get to him. I don't want a home console hampered by a portable TDP.
I also want to wait for better translations, if not the official translation. Still, I don't think the "hybrid" talk caught Iwata: he was quite sure when he affirmed the amount of form factors could've been incresed thanks to their new idea of consoles being more like brothers, not reduced.
 

Hermii

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So a system designed first for Japan is a thing of the past? End of an era. Wonder if Nintendo can pull it off.
I doubt this means they will make a PS4 / Xbox one copy even though a lot of gaf would love that.
 

Muzy72

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If the NX is a "third pillar" could Nintendo potentially reveal a new handheld at E3 or would they hint that already?
Iwata would have mentioned it at the investor meeting. They announced that they would unveil the Wii successor at the investor meeting before E3 2011, and they announced they would unveil the DS successor at the investor meeting before E3 2010.
 

TunaLover

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-no talks about the nx until 2016. also, they're trying to make something that can appeal to a worldwide audience, considering the kinds of hardware that sells in the us, europe, and japan (i think)
So probably no NX in 2016, I'm fine with this, Wii U still have much to offer.
 

E-phonk

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Jan 1, 2006
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If the NX is a "third pillar" could Nintendo potentially reveal a new handheld at E3 or would they hint that already?
I doubt there will be a new handheld/console at E3. Too early.
Even discussing more about NX is something for 2016 as Iwata said.

My prediction: First prototype rumours about the new handheld from devs Q4 2015, sneak peak feb-march 2016 (direct + GDC), complete rollout at E3 2016 and release nov 2016 with the console version following the same path for 2017.
 

Muzy72

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So probably no NX in 2016, I'm fine with this, Wii U still have much to offer.
They're probably going to go the same route Sony/MS went with XBO and PS4. Reveal shortly before/at E3, release that same holiday. Nintendo's expecting 100 billion yen in operating profit next fiscal year and I'd say NX is a part of that plan.
 

Fourth Storm

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I doubt there will be a new handheld/console at E3. Too early.
Even discussing more about NX is something for 2016 as Iwata said.

My prediction: First prototype rumours about the new handheld from devs Q4 2015, sneak peak feb-march 2016 (direct + GDC), complete rollout at E3 2016 and release nov 2016 with the console version following the same path for 2017.
I think you're looking at the rollout backwards. 3DS may be older, but it has an installed base that is generating profit. Unity support and the new 3DS hold the potential for Nintendo to roll out key software until early/mid 2017 (including more indie support). 6 years is not long for a Nintendo handheld with the exception of GBA.

Wii U, otoh, can hardly justify development w/ its ~9million install base and still being outsold by 3DS by a wide margin. If Zedla ends up cross-gen and EAD Tokyo have Mario on a 3 year cycle, Nintendo could position themselves for a comeback on the home console front. Release the handheld version playing most of the same games in April 2017 and it would seem more impressive taking software from home-->handheld.
 

KingSnake

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That answer about NX is really interesting. Together with the different approach hinted before it really makes it sounds like a third pillar. What could that be and still be a dedicated game device? And possibly region free.

But I wait for the proper translation.
 
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Possible they release 2 different forms at the same time? Maybe a tablet sized handheld and console version.
People seem to favour the larger handheld versions at the moment, and with a finger in the mobile pie they'll no longer be acting like it's the only device you'll take with you everywhere and every day, so any streetpass style stuff they might want to do could be handled by their mobile apps.
 

Snakeyes

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I think you're looking at the rollout backwards. 3DS may be older, but it has an installed base that is generating profit. Unity support and the new 3DS hold the potential for Nintendo to roll out key software until early/mid 2017 (including more indie support). 6 years is not long for a Nintendo handheld with the exception of GBA.

Wii U, otoh, can hardly justify development w/ its ~9million install base and still being outsold by 3DS by a wide margin. If Zedla ends up cross-gen and EAD Tokyo have Mario on a 3 year cycle, Nintendo could position themselves for a comeback on the home console front. Release the handheld version playing most of the same games in April 2017 and it would seem more impressive taking software from home-->handheld.
I disagree. The 3DS may be profitable, but it has also been stagnating for quite some time and is a pretty unhealthy platform when compared to previous Nintendo handhelds. Hardware sales are in a constant decline, its attach rate is the lowest of any moderately successful Nintendo platform to date, third-party support is sub-par and there's very little to look forward to on the first-party front as well. I feel this is mainly due to the fact that the 3DS went through most of its design phase well before smart devices redefined portable gaming, and was never really a product that met the needs of the current market as a result. A real answer to the smartphone boom (aside from the DeNA partnership) is much more crucial for Nintendo's dedicated gaming business than a hasty Wii U replacement.

Besides, the handheld being supported with similar quality software alongside the Wii U (which would tie into Iwata's musings about absorbing the Wii U architecture) would be just as impressive and segues nicely into the unified library Nintendo have been hinting at.
 

Diffense

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Possible they release 2 different forms at the same time? Maybe a tablet sized handheld and console version.
People seem to favour the larger handheld versions at the moment, and with a finger in the mobile pie they'll no longer be acting like it's the only device you'll take with you everywhere and every day, so any streetpass style stuff they might want to do could be handled by their mobile apps.
I'm wondering if the codename NX/NintendoCross describes two interconnecting devices. I think they're going to go back to designing the console to be cheap and flexibly priced like Wii. Maybe it will be cheap enough to bundle with the handheld for no more than $300?