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Forums - Nintendo Discussion - Nintendo 3rd Quarter Results (Oct-Dec) - Profit of over 450 million US

Cheebee on 30 January 2013

Well. All those reports and numbers are a bit confusing, but in the end, what it all comes down to is that Nintendo as a company did turn a profit, overall. Which is very positive.

The projections having been adjusted down is of course bad, however overall results are very good, considering the state they were in last year. They've recovered a lot of lost ground, which can't be said for a ton of other companies.

I think Nintendo can be somewhat happy, yet have a lot of hard work to do the coming months and year. The current quarter's results likely won't be very good, but the coming fiscal year should be really good, supposing Nintendo play their cards right. To me, it seems like they're in a very good position to turn things around even further in the coming year.



Nintendo Network ID: Cheebee   3DS Code: 2320 - 6113 - 9046

 

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noname2200 on 30 January 2013
gigantor21 said:


But damn. Almost half a billion in profit despite the Wii U's sharp drop off?

From Nintendo's perspective, the Wii U's sharp drop off is going to be reflected in the next quarter: they shipped a lot of Wii U hardware and software, they just haven't proceeded to sell enough of those to customers. I wouldn't expect the future, particularly the immediate future, to be rosy.



Mr Khan on 30 January 2013
noname2200 said:
gigantor21 said:


But damn. Almost half a billion in profit despite the Wii U's sharp drop off?

From Nintendo's perspective, the Wii U's sharp drop off is going to be reflected in the next quarter: they shipped a lot of Wii U hardware and software, they just haven't proceeded to sell enough of those to customers. I wouldn't expect the future, particularly the immediate future, to be rosy.

This is the general consensus: this good Q3 will be followed by a dismal Q4 (which will be fixed up somewhat by the Yen)

But this is good. A Q4 that Nintendo can't explain away will be followed by Desperate Nintendo, which is always good for gamers



Monster Hunter: pissing me off since 2010.

Sharu on 30 January 2013

I have some questions, which I can't answer!

Nintendo shows WiiU software sales of 11.69 mln. Current Vgchartz WiiU soft sales are 5.19 mln.


1. Why is difference so big. I can understand 15-20% of extra sales from eShop, but here we speak of a difference of 225%!!!
2. Nintendo Figures for NSMBU and NinLand are roughly 4.4 mln if added together.
It means that we have 7.29 mln games more which were sold...
Do you have any crazy Idea, what these games could be?

Looking on the Miiverse, biggest communities are
ZombieU
COD
SonicRacing
Ass Creed3
Batman.

 But I personally don't see any of these games selling over a million copies currently... So what are these software sales???



Barozi on 30 January 2013
OceanJ said:

Such bitter-sweet results. I managed to sell my shares yesterday at 13.20, taking a loss, but protecting against the losses we see today...and potentially in the next couple weeks.

Investors don't care about artificial exchange-rate profits. They care about growth.

In earlier posts I correctly predicted revenue reduction to between 650 - 700b, based on Taruman's insight that Nintendo has NEVER had a quadruple multiple of 6-Month results to Fiscal Year End. What the F were Nintendo thinking setting 810B revenue, knowing that stat? I made a little chart of their revenue history comparing 6 month results to FY End over on the Nintendo Investors Thread.

I also guessed the revision down to 15m on 3DS sales...because they ended Dec 31 with 11m sold. But the revision for Wii U down to 4m was way lower than anyone could have guessed. The Wii U had its nightmare scenario come-true: Post-Holidays, sales fell off a cliff. No one outside of the hardcore Nintendo faithful are interested in the machine, right now. This isn't to say it won't make a comeback. And 24m to 16m in Wii U software, drastically bad...in my mind 16m is still an aggressive year-end goal.

Interestingly, the 11m Wii U software sales they reported for the quarter, you'll notice is more than double what's reported here on VGchartz. So - we see Nintendo is selling Digital Games at more than twice the rate! Just shows the rise of Digital-Downloads. And we can use this to predict whether or not Nintendo will hit their new 16m projection. I'm curious if Ninty counted the cheaper download games in the figure...guessing they must have.

And based on the last 2-weeks, 4m for Wii U by March 31 is not a gimme. 54k followed by 39k world-wide? I would be shocked to see a week bigger than 100k by 3/31. Ninty will have to pull some tricks out of their hats to move this machine. So despite FY Profit guidance raised to 14B, a price-cut is not out of the question for Wii U at all. To my mind it looks very likely.

I'd also guess that they are counting the cheaper digital games, but I still don't think that the digital games sell that great. It's the beginning of the gen and WiiU had the most launch games in videogame history (or they were really close to having the most).
It was the holiday season and no one could predict how good their product would sell, but they had to make sure that every store has a few copies, so they shipped quite a lot obviously.

AC3, ME3, Darksiders 2, FIFA 13, Batman AC etc. will have several 100k on shelves.

We have NSMBU at 1.3m at the end of 2012, Nintendo has it at 2m shipped. How much room would be there for digital sales ? 20% at most.

Now they expect to ship 5m SW units more in the next quarter. 700k alone will be Nintendo Land (since they expect to ship 1m HW), ~600k NSMBU and the rest will mostly be new releases such as Rayman Legends, Need For Speed MW, MH3U in the west, Scribblenauts in Europe, Lego City Undercover, Dragon Quest X and Game & Wario in Japan.



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noname2200 on 30 January 2013
Sharu said:

I have some questions, which I can't answer!

Nintendo shows WiiU software sales of 11.69 mln. Current Vgchartz WiiU soft sales are 5.19 mln.


1. Why is difference so big. I can understand 15-20% of extra sales from eShop, but here we speak of a difference of 225%!!!

Shipped =/= sold.

The games are on the shelves, and Nintendo has pocketed their money off them. Unfortunately, few others have done the same.



Sharu on 30 January 2013
noname2200 said:
Sharu said:

I have some questions, which I can't answer!

Nintendo shows WiiU software sales of 11.69 mln. Current Vgchartz WiiU soft sales are 5.19 mln.


1. Why is difference so big. I can understand 15-20% of extra sales from eShop, but here we speak of a difference of 225%!!!

Shipped =/= sold.

The games are on the shelves, and Nintendo has pocketed their money off them. Unfortunately, few others have done the same.

Any reports from mad retailers totally overstocked with WiiU games, anybody?



Barozi on 30 January 2013
Sharu said:

I have some questions, which I can't answer!

Nintendo shows WiiU software sales of 11.69 mln. Current Vgchartz WiiU soft sales are 5.19 mln.


1. Why is difference so big. I can understand 15-20% of extra sales from eShop, but here we speak of a difference of 225%!!!
2. Nintendo Figures for NSMBU and NinLand are roughly 4.4 mln if added together.
It means that we have 7.29 mln games more which were sold...
Do you have any crazy Idea, what these games could be?

Looking on the Miiverse, biggest communities are
ZombieU
COD
SonicRacing
Ass Creed3
Batman.

 But I personally don't see any of these games selling over a million copies currently... So what are these software sales???

Nintendo reports shipped, we report sold.

Read my post for a possible explanation. It seems clear though that even with digital numbers, the bolded games would never double their sales and even if they did it would only account for 1m, so that certainly would not be the answer.



NintendoPie on 30 January 2013
Train wreck said:

Nintendo has a odd way of reporting stuff, they consolidate their number on a ongoing basis.
Here is the quarter over quarter change:

for Q3 Nintendo had:

total sales of 342 billion yen (3.76 billion dollars)
operating income of 23 billion yen (252 million)
net income of 42.5 billion yen (461 million)

Last year for the same period

total sales 340 Billion yen

operating income of 40.9 billion yen

net income of 21.9

Those are quite nice numbers, to be honest.



Barozi on 30 January 2013
Sharu said:
noname2200 said:

Shipped =/= sold.

The games are on the shelves, and Nintendo has pocketed their money off them. Unfortunately, few others have done the same.

Any reports from mad retailers totally overstocked with WiiU games, anybody?

It's not the retailers fault really. For a game console with so many new games, the publishers (and Nintendo) must make sure that every single store that sells the WiiU must have a few copies (have you ever seen a store that only puts up one copy of a brand new game ?) of their games on the shelves.
Imagine that every single retailer worldwide that sells the WiiU only had 5 copies of (for example) Mass Effect 3 in stock when the WiiU launched, it will become clear that ME3 is massively overshipped as there are easily ~20k gaming related stores in the US alone.