Mr Khan on 28 January 2013
| Tarumon said: Just for those of you who actually follows Nintendo as a company (I have lost any interest in reading most comments on this site after seeing so little knowledge but so strong of opinion just maybe one too many times). The way Nintendo keeps its books, if they have a profit, they book the profit when sold. But if they have a loss, they book the loss when the product is made. So the actual shipment, retail sales of Wii Us will likely have no impact 9/12-12/12 due to the fact that Nintendo was producing units at full capacity. However many they could manafacture, they did, and the loss was anticipated as they were made, even back in 6/12-8/12 quarter. Nintendo forecast a motherload of Wii Us, so they estimated more losses on the hardware for the full year than they are on pace to achieve. Software on the other hand, most likely did have some profit built in, but because they expense any R&D, the software variable cost component is more manageable so maybe they could have slowed down as it became evident that they weren't selling as many. Fiscal 3 quarter is almost guaranteed to be profitable. Fiscal 4th almost guaranteed to be ugly, but since Yen has potential to hit 100, Abenomics might just turn that quarter into profits from exchange rates alone. I personally expect bette than forecast buttomlines with a dampened top line outlook, with some serius drum beating for 2013 as the year company fires on all cylinders. |
This sounds like a sound outlook. Good Q3, nasty Q4 that will be kept from being an unmitigated disaster by the Yen, and then a "desperate" Nintendo who will be all the more determined to play hardball, and we get some good shit when Nintendo plays hardball 
Monster Hunter: pissing me off since 2010.
