| Fight-the-Streets said: I don't disagree with your shipped numbers but never mixup shipped and sold numbers when you calculate. That's a wrong method. Either calculate only shipped numbers or only sold numbers. The two can't be mixed up! It's a bit like comparing profit with net gain. The two are not the same thing and therefore can't be compared. |
The only way shipped and sold numbers would differ is in:
A) In Transit, but there is no indication how long a unit would be or if a platform holder would report an In Transit unit as shipped. But if so In Transit would hit balance sheet not P&L. At quarterly reports we do not see an In Transit number balance sheet number reported as far as I'm aware, it certainly would not account in Inventory. Therefore must assume revenue & cost of goods sold aligns with shipments.
B) Consignment Stock, in the case Nintendo has consignment stock agreements with retailers a.k.a stock at retailers are owned by Nintendo until retailer sells to end consumer. This again would be on the balance sheet not P&L. As far as I'm aware there is no consignment stock accounted for on Quarterly reports.
Nintendo reports Revenue, Cost of Good Sold and unit shipped every quarter. These 3 numbers are tied to the hip. You cannot report unit shipped that are not accounted in Revenue or Cost of Goods Sold or visa versa. Therefore the reported numbers are sold from Nintendo's perspective.
Last edited by Tober - on 16 December 2023
