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Forums - Nintendo - Nintendo Q1 Earnings July 31st (Results Inside - Profit)

Soundwave said:

The 3DS is starting to fall waaaaaaaay behind the DS.

3DS 10th quarter (this recent one) April-June 2013 - 1.4 million shipped

DS 11th quarter (chose this one because it's the closest equivalent) April-June 2007 - 6.58 million shipped

That's a pretty huge gap.

Excluding the Virtual Boy, is the Wii U the worst performing Nintendo console ever, so far?



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JGarret said:
Soundwave said:

The 3DS is starting to fall waaaaaaaay behind the DS.

3DS 10th quarter (this recent one) April-June 2013 - 1.4 million shipped

DS 11th quarter (chose this one because it's the closest equivalent) April-June 2007 - 6.58 million shipped

That's a pretty huge gap.

Excluding the Virtual Boy, is the Wii U the worst performing Nintendo console ever, so far?


Well outside of the NES/Famicom which had more limited releases (ie: NES was released only in New York City as a test market initially for instance), yes I think Wii U is the worst selling modern Nintendo hardware excluding the Virtual Boy.

SNES, N64, Game Boy, GBA, DS, 3DS, GameCube, and obviously Wii all sold quicker out of the gates.



Soundwave said:
JGarret said:
Soundwave said:

The 3DS is starting to fall waaaaaaaay behind the DS.

3DS 10th quarter (this recent one) April-June 2013 - 1.4 million shipped

DS 11th quarter (chose this one because it's the closest equivalent) April-June 2007 - 6.58 million shipped

That's a pretty huge gap.

Excluding the Virtual Boy, is the Wii U the worst performing Nintendo console ever, so far?


Well outside of the NES/Famicom which had more limited releases (ie: NES was released only in New York City as a test market initially for instance), yes I think Wii U is the worst selling modern Nintendo hardware excluding the Virtual Boy.

SNES, N64, Game Boy, GBA, DS, 3DS, GameCube, and obviously Wii all sold quicker out of the gates.

I mean, I´m impressed the system is doing so terrible, especially in 'Others'..10K across the entire region?...practically dead.

Their performance in the Americas is a bit of a shocker too..I wonder if they can get out of this mess, and if they can, I wonder if it´ll be enough to reach Iwata´s goal..if not, guess he´ll be leaving next year.



Soundwave said:
travis said:

Ok I really need someone to explain me how you can do operation loss and net profit at the same time. What does these things mean exactly? Are you in the green as soon as you do net profits? What does stockholder look at exactly?


Stockholders look at both.

Operating income is basically your income (loss or profit) from you actual business. So if you and me run a hot dog stand, our operating income is based on the money we make from the actual business of selling hot dogs. Lets say we made $50 this year from selling hot dogs. That's an operating profit of $50.

Net income is your company's income when everything else on top of operating income is taken into account. So things like currency flucuation, sale or purchase of factory equipment, maturation of corporate stocks/bonds, issuing of salary bonuses, etc. are taken into account. Lets say our net income turns out to be $25. But we made $50 from selling hot dogs right? Well lets say we also spent $25 during this period buying new hot dog making equipment, so factoring that in, our $50 profit from operating income becomes only $25 net income.

Operating income basically tells you how well a company's core business is doing.

Net income tells you overall how much profit or loss a company is taking in when other factors not related to the core business are factored in.

hey thanks for the clarification! What would be an exemple of situation where Nintendo has Operation loss but net profits in the end?



travis said:
Soundwave said:
travis said:

Ok I really need someone to explain me how you can do operation loss and net profit at the same time. What does these things mean exactly? Are you in the green as soon as you do net profits? What does stockholder look at exactly?


Stockholders look at both.

Operating income is basically your income (loss or profit) from you actual business. So if you and me run a hot dog stand, our operating income is based on the money we make from the actual business of selling hot dogs. Lets say we made $50 this year from selling hot dogs. That's an operating profit of $50.

Net income is your company's income when everything else on top of operating income is taken into account. So things like currency flucuation, sale or purchase of factory equipment, maturation of corporate stocks/bonds, issuing of salary bonuses, etc. are taken into account. Lets say our net income turns out to be $25. But we made $50 from selling hot dogs right? Well lets say we also spent $25 during this period buying new hot dog making equipment, so factoring that in, our $50 profit from operating income becomes only $25 net income.

Operating income basically tells you how well a company's core business is doing.

Net income tells you overall how much profit or loss a company is taking in when other factors not related to the core business are factored in.

hey thanks for the clarification! What would be an exemple of situation where Nintendo has Operation loss but net profits in the end?


Well this quarter is basically an example of that. They had an operational loss (meaning their game division lost money) but made a net income profit anyway because of currency flucuations -- the weakening yen is pushing up their bottom line.



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kowenicki said:
The power of Abenomics

The very weak yen saves Nintendo from another loss. Abe save Iwata.

Sony too when they announce. Abe saves Kaz.

As for shipments here? Poor, any other view is spin. 3Ds down YOY by 30% and WiiU is on hiatus.

Nintendo have kept the forecast at 9m to March for the WiiU? wtf are they smoking?

3DS shipments are down due to the overshipment of 3DS' in Q3 of 2012. 3DS sales are up YOY.

I expect -5% in market today.



Vinniegambini said:

Nintendo is down by over 2.5% in Japan compared to a 1.4% Nikkei drop. Nintendo has lost over 7% within the past 5 days.

I'm expecting an operating loss and a small net income, nothing significant. Nintendo's stock price should drop considerably. Again, the Wii U's failure + limited income is hindering Nintendo's profits greatly as the original Wii's revenue is quickly drying up.

I'm looking to add a position to Nintendo (I sold at 17.40$) once the bearish cycle ends, near Monster Hunder 4 release.


Well done!  You could pull off a major sell and buy back here.  I didn't wait that long to sell, so my bonus will not be as good.



"Nintendo expects to sell 9 million Wii U consoles this fiscal year"

Joke and outright lie on Nintendo's part, they know full well they're not going to ship that and can't!!!

They have 8.84m to go with 3 Q's, this current Q isn't going to be huge, they're essentially expecting 7 mill shipped in the holiday season?? I mean combined PS360 only managed that ONCE in their lifetime ....

Come on Nintendo your investors deserve better.



 

Seece said:

"Nintendo expects to sell 9 million Wii U consoles this fiscal year"

Joke and outright lie on Nintendo's part, they know full well they're not going to ship that and can't!!!

They have 8.84m to go with 3 Q's, this current Q isn't going to be huge, they're essentially expecting 7 mill shipped in the holiday season?? I mean combined PS360 only managed that ONCE in their lifetime ....

Come on Nintendo your investors deserve better.

I agree I was excepting Nintendo to slash numbers down to 6 million but i guess they believe their titles for the fall and winter can carry them through.  With a 10k shipment for the rest of the world this past quarter, I dont see how retailers will pick up that much inventory, especially when you have retailers outright saying they are not stocking anymore for the rest of the year.

More still if you mirror this quarter after the 84k shipment quarter the gamecube had in the same quarter 2003, even with a price of $149, shipments that year totaled 5 million.



160k in a quarter? Is it a new low?