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Forums - Sales Discussion - Nintendo's profits compared to other companies

Bodhesatva said:

The only companies making major money on consoles right now are Activision, Nintendo... and... ?


I would also say that Ubisoft is making good money.



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I also think that EA is doing pretty well this gen. They reported a near billion dollar loss last quarter but they also spent near a billion on the aquistion of Pandemic and Bioware. Madden still sold millions like always, Their other sports games sell well, Need for Speed (most wanted, Carbon, Prostreet) is doing well like always, and burnout Paridise will also do well like the Burnout series always does.



eugene said:
I also think that EA is doing pretty well this gen. They reported a near billion dollar loss last quarter but they also spent near a billion on the aquistion of Pandemic and Bioware. Madden still sold millions like always, Their other sports games sell well, Need for Speed (most wanted, Carbon, Prostreet) is doing well like always, and burnout Paridise will also do well like the Burnout series always does.

No, on the contrary, EA is in a world of hurt. Their profits have been shrinking for 4 years straight, and this year they finally went below 0 into losses.

Year after year, less and less profit. It isn't that they aren't selling games, Eugene -- you're right that they are selling approximately as many Maddens and Fifas now as they ever were -- it's that the games all cost 3x as much to make.  



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Well Bod, thats only if you continually look at the glass half empty. If they did not buy out Bioware and Pandemic, they would probably have posted a near billion dollar profit last quarter. The loss was something they anticipated on and it was a very good investment. Good investments typically pay off. As the installed base of current generations rise, they will only benefit more. They are profiting greatly still this generation as will most the other major publishers.



Vizion said:
I read somewhere that Nintendo maybe making more in net profits in the video game industry than all other video companies combined. Could that be true?

 Well if you think that Mighty EA's best profitable year was around US$ 577 million and that Nintendo this year could easily surpass US$ 2 billion in net income this could be true.

Above all you must consider that many western publisher are losing money ...

For  example EA in its current first half fiscal year have losses for US$ 327 million ...



 “In the entertainment business, there are only heaven and hell, and nothing in between and as soon as our customers bore of our products, we will crash.”  Hiroshi Yamauchi

TAG:  Like a Yamauchi pimp slap delivered by Il Maelstrom; serving it up with style.

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eugene said:
Well Bod, thats only if you continually look at the glass half empty. If they did not buy out Bioware and Pandemic, they would probably have posted a near billion dollar profit last quarter. The loss was something they anticipated on and it was a very good investment. Good investments typically pay off. As the installed base of current generations rise, they will only benefit more. They are profiting greatly still this generation as will most the other major publishers.

Eugene, I'm not so sure that EA took the cost of acquiring Bioware/Pandemic in its last quarter report.

Does anyone know if this is true ?

However about Take 2 they just release their result for their entire fiscal year , and they post losses for US$ 138 million... 



 “In the entertainment business, there are only heaven and hell, and nothing in between and as soon as our customers bore of our products, we will crash.”  Hiroshi Yamauchi

TAG:  Like a Yamauchi pimp slap delivered by Il Maelstrom; serving it up with style.

I know Nintendo is doing way better than MS and Sony since both of them are in the red, but all videogame companies.....even third parties, that's pretty impressive.



Wii Code 8761-5941-4718-0078 

celine said:
eugene said:
Well Bod, thats only if you continually look at the glass half empty. If they did not buy out Bioware and Pandemic, they would probably have posted a near billion dollar profit last quarter. The loss was something they anticipated on and it was a very good investment. Good investments typically pay off. As the installed base of current generations rise, they will only benefit more. They are profiting greatly still this generation as will most the other major publishers.

Eugene, I'm not so sure that EA took the cost of acquiring Bioware/Pandemic in its last quarter report.

Does anyone know if this is true ?

However about Take 2 they just release their result for their entire fiscal year , and they post losses for US$ 138 million... 


As a tax lawyer I would have to say I agree that the cost of acquiring those companies would not be included as capital expenditure does not come within your profit and loss calculation.  It will only be reflected in your balance sheet which is a comparison of assets against liabilities.  However, I am not an accountant so don't take my word as gospel but I am 95% sure that is the case.   



Hmm, well. They are sure to be astronomical, that's for sure. But then again, Nintendo have always been an extremely profitable and healthy company, even during their recent lesser years.



 2008 Predictions:


Wii: 44 Million
Xbox360: 25 Million
PS3: 22 Million

DS: 90 Million
PSP: 37 Million

LMAO - Sony have yet to turn a profit I would imagine, but I think microsoft may just be able to edge out nintendo on profit if you discount the DS, but with the DS, not a chance.