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Forums - Gaming Discussion - So Nintendo Q2 profits > Sony gaming division Q2 profits

 

Which company will have better results come fiscal year end in 2015?

Sony 88 20.00%
 
Microsoft 82 18.64%
 
Nintendo 225 51.14%
 
Ouya 45 10.23%
 
Total:440

If i remember correctly, Nintendo were selling WiiU's at 100% profit this quarter due to over shipping in a previous one. It was also the 3DS that made up the majority of their hardware and software sales, not the WiiU.

Would be interesting to know what sort of profits the WiiU itself is usually generating. I don't expect it's much :/

On a side note, do we know how much of Nintendo's profits were from non-gaming related stuff?



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Ka-pi96 said:
Giggs_11 said:

Sure, but it wont come down to just quantity of units sold. Q2 PS4 outsold WiiU 5.5 to 1 if I'm not mistaken, yet Nintendo was able to edge out Sony financially. Now imagine Nintendo had sold just as many WiiU has Sony did PS4s (and the same thing goes for software), how would the financial go?

Nintendo and Sony have completly different approaches to the gaming business. All that marketing, exclusive deals with developers, bundles, etc, cost a lot of money, I mean a lot. Yet Sony can compensate that with lots and lots of units sold. In fact, they need lots ands lots of units sold to turn profit. Nintendo relies on in-house developed software and hardware, with less fewer moneyhatting, marketing (except for their on products) and doesn't need that many  sales to turn profit.

 

I think it will be an interesting battleto see.

Except you seem to be forgetting that the 3DS exists...

I can't see how you take that from what I've stated, but ok...

Let me clarify it for you, PS4 trashed WiiU in sales, yet Nintendo (company, not WiiU, but Nintendo, as in, the whole company) exceed Sony's gaming division in net profits. It's pretty clear I'm talking about gaming divisions, not a single plataform since we don't have data for it. No imagine if WiiU actully did good...

FYI, Sony also has a gaming handheld and I'm pretty sure it's also accounted on Sony's gaming division.



Ka-pi96 said:
WhiteEaglePL said:
Nintendo, because holiday.

And that's a interesting fact! Nin> Sony $$$ in Games.

Such oxymoron since PS4> WII U

Or is it?

Since 3DS>>>>Vita


Still is!!!!

 



Deeds said:

Sony will likely not beat Nintendo in profit. Nintendo sells a lot of their own software on the Wii U plus they have the dominant handheld where their own software drives much of its sales as well. This is why Microsoft want to "copy" Nintendo's business model. In order for Sony to beat Nintendo's profitability they may either have to resurrect the Vita lol or the PS4 has to perform Jesus style miracles in "sales" going foward.


Well then Sony will out profit them easily.



S.T.A.G.E. said:
Good for Nintendo seeing that they went cheap as always with their hardware but also good for Sony seeing as they took more risk on more powerful hardware and and are reaping the benefits.Also seeing that they are a year behind Nintendo it doesnt bother me at all.


Geez, what a bitter comment... :D Still, a few things not correct in it:

1) Cheap as always it's not entirely correct, I believe apart from Wii, previous consoles Nintendo always had the more expensive hardware, or at least toe-to-toe with the others (Nes, SNES, N64, Gamecube). With WiiU comes weaker hardware buit in the console but an expensive gamepad and a more expensive console structure than X1 and PS4. Don't think, all accounted for, WiiU is that more cheaper than PS4 and X1.

2) Sony didn't took more risk, building a machine which is only stronger than the previous one is the easy way to go. Kinect, motion controls (Wii), gamepad, those are examples of taking risks.

3) Being a year behind doesn't matter to the discussion at all. We're talking about quarter sales (3-month time frame) not ltd sales. Actually, generally being younger is even better cuz it's fresh, the new thing, and it gets people attention.



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Ka-pi96 said:
WhiteEaglePL said:
Nintendo, because holiday.

And that's a interesting fact! Nin> Sony $$$ in Games.

Such oxymoron since PS4> WII U

Or is it?

Since 3DS>>>>Vita

Well that isn't necessarily true. The difference was only 570k this past Q although 3DS sold a lot more software



The One and Only

VizionEck.com

The rumors of Nintendo's impending demise are once again, premature.

Of course, as it's been pointed out, a significant chunk of Nintendo's revenue and profits come from the 3DS, not the Wii U.

4th quarter results will be interesting, seeing as how Nintendo depends upon them for a larger portion of its overall annual sales than do the Playstation and Xbox divisions.



Giggs_11 said:

rter sales (3-month time frame) not ltd sales. Actually, generally being younger is even better cuz it's fresh, the new thing, and it gets people attention.


Now you are just reaching, console salways sale more second and third year.  But given wiiu sales are so week it only took some months for PS4 to crush them.  

So realistically its better to have your 2nd or 3rd year numbers for comparison as they are always higher then the first years.  



in my opinion the main reason should be that in Nintendo's report their financial division is included, which has quite a bit of assets ("cash", shares, properties, .. ) to work with to make money

Sony's successful (best performing part of the company) financial division however ofcourse is not included in the gaming division's report



Ninsect said:
Well Sony will have massive holiday sales for both hardware and software so I think they will outprofit Nintendo comfortably


I'm not sure you understand how profit this works. ^^

Its not just about sales, its about margins. Nintendo can easily sell 10x less systems and still make more profit than Sony. I'm afraid things arent as simple as you wanted them to be there. Sadly, we dont have the info to determine the inflexion points.