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Forums - Nintendo - Nintendo lowers forecast from 55 billion yen profit to 25 billion yen loss

DD_Bwest on 17 January 2014
Nem said:
DD_Bwest said:
750million... thats alot of money.

how much did they have in the bank? lol


Dunno if someone said it yet, but its 240 mil, not 750.

They still have plenty in the bank to survive many more years at this pace.

 

Back on topic... i wish i knew what they are losing money on. Their software sales are good, the 3DS is not sold at a loss. The Wii U might be. So is this an effect of the price cut? Ala PS3? If so, then its a temporary situation and things should improve with time.

I know they built a new Headquarters aswell. Dunno where that is factored in.


i was referring to the total size of the change, there forcast was off by 80 billion yen.  Investors went from being told of a 500million profit, to a 250million loss.  thats alot of money to be off by lol   



I am Torgo, I take care of the place while the master is away.

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Ha.. i won my bet, but i wasnt around to gloat because im on a better forum!  See ya guys on Viz

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Nem on 17 January 2014
Soundwave said:
Nem said:
DD_Bwest said:
750million... thats alot of money.

how much did they have in the bank? lol


Dunno if someone said it yet, but its 240 mil, not 750.

They still have plenty in the bank to survive many more years at this pace.

 

Back on topic... i wish i knew what they are losing money on. Their software sales are good, the 3DS is not sold at a loss. The Wii U might be. So is this an effect of the price cut? Ala PS3? If so, then its a temporary situation and things should improve with time.

I know they built a new Headquarters aswell. Dunno where that is factored in.

Inventory is probably killing them. When they make a Wii U, they still have to pay the component suppliers whether or not they sell the system or not. 

When you're not selling as many systems as you hoped, they pile up in the warehouse and that tab is on you until you can sell them. 

It's the same with the 3DS, they probably were anticipating higher sales and likely ordered more units than they were able to sell and now are stuck with them. 


If they ordered the number on their projection then yeah i can see that happening. But then it were overly optimistic projections that "broke the bank" and not the sales per se.

I'm saying this cause it does indeed seem dumb. Nintendo should be making a profit otherwise. They sell alot of software at max price (cause they dont usually cut those prices). We'll see how next year pans out.



Nem on 17 January 2014
DD_Bwest said:
Nem said:
DD_Bwest said:
750million... thats alot of money.

how much did they have in the bank? lol


Dunno if someone said it yet, but its 240 mil, not 750.

They still have plenty in the bank to survive many more years at this pace.

 

Back on topic... i wish i knew what they are losing money on. Their software sales are good, the 3DS is not sold at a loss. The Wii U might be. So is this an effect of the price cut? Ala PS3? If so, then its a temporary situation and things should improve with time.

I know they built a new Headquarters aswell. Dunno where that is factored in.


i was referring to the total size of the change, there forcast was off by 80 billion yen.  Investors went from being told of a 500million profit, to a 250million loss.  thats alot of money to be off by lol   


I see. I thought you meant the new projection cause you mentioned their money in the bank. That money is only gonna go down 240 mil. Beeing off for 750 mil is kinda bad though.



curl-6 on 17 January 2014
oniyide said:
curl-6 said:
oniyide said:
curl-6 said:
I wouldn't shed a tear if Iwata went, he's proven his incompetence time and again; what scares me is that his replacement might be some fuckhead who whores out Nintendo's games on smartphones and destroys their value and hardware business.

so would you care if this guy actually significantly improves Ninty's sales

If he did proper job of managing the company, I'd be pleased. I don't want some prick who'll give in to the "put your content on smartphones" morons.

thats not what i asked. Im asking if that strategy work and actually made them a profit and got them out of this rut, would you care? Lets not act like its impossible for it too work.

Depends. If they did it without undermining their hardware business, I wouldn't mind.



FinalFantasyXIII on 17 January 2014

Just give me that Mar E O! Just give me that Mar E O. Don't give a F! Dont give a F. Lol go Nintendo! They have games! Numbers don't matter! Games do! What are you like a Nintendo hater, that's so low bro.



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oniyide on 17 January 2014
curl-6 said:
oniyide said:
curl-6 said:
oniyide said:
curl-6 said:
I wouldn't shed a tear if Iwata went, he's proven his incompetence time and again; what scares me is that his replacement might be some fuckhead who whores out Nintendo's games on smartphones and destroys their value and hardware business.

so would you care if this guy actually significantly improves Ninty's sales

If he did proper job of managing the company, I'd be pleased. I don't want some prick who'll give in to the "put your content on smartphones" morons.

thats not what i asked. Im asking if that strategy work and actually made them a profit and got them out of this rut, would you care? Lets not act like its impossible for it too work.

Depends. If they did it without undermining their hardware business, I wouldn't mind.


fair enough, but why assume it will undermine their HW buisness, im assuming it wont. MS or Sony's HW buisness is doing great AND they have a presence on mobile



curl-6 on 17 January 2014
oniyide said:

fair enough, but why assume it will undermine their HW buisness, im assuming it wont. MS or Sony's HW buisness is doing great AND they have a presence on mobile

People buy Nintendo systems to play Nintendo games. If they can play those games elsewhere, they'll buy less hardware, which could reduce investment in Wii U.

I hope I'm wrong...



oniyide on 17 January 2014
curl-6 said:
oniyide said:

fair enough, but why assume it will undermine their HW buisness, im assuming it wont. MS or Sony's HW buisness is doing great AND they have a presence on mobile

People buy Nintendo systems to play Nintendo games. If they can play those games elsewhere, they'll buy less hardware, which could reduce investment in Wii U.

I hope I'm wrong...

come on, less use some sense. Ninty isnt going to put HW quality games on a phone, they CANT its simply not capable. By that logic no one would buy PS4s or Xboxs. Theirs an Infamous app game, is that hurting Sony's sales. the games sales? hell no it has great preorders same thing like Halo. It seems you think people are that stupid they will confuse the two or you dont have actual faith that Ninty CAN do it. Everyone else does i dont see why they would be different.



curl-6 on 17 January 2014
oniyide said:
curl-6 said:
oniyide said:

fair enough, but why assume it will undermine their HW buisness, im assuming it wont. MS or Sony's HW buisness is doing great AND they have a presence on mobile

People buy Nintendo systems to play Nintendo games. If they can play those games elsewhere, they'll buy less hardware, which could reduce investment in Wii U.

I hope I'm wrong...

come on, less use some sense. Ninty isnt going to put HW quality games on a phone, they CANT its simply not capable. By that logic no one would buy PS4s or Xboxs. Theirs an Infamous app game, is that hurting Sony's sales. the games sales? hell no it has great preorders same thing like Halo. It seems you think people are that stupid they will confuse the two or you dont have actual faith that Ninty CAN do it. Everyone else does i dont see why they would be different.

Truth be told, my faith in Nintendo hasn't been this low since the Gamecube days.



oniyide on 17 January 2014
curl-6 said:
oniyide said:
curl-6 said:
oniyide said:

fair enough, but why assume it will undermine their HW buisness, im assuming it wont. MS or Sony's HW buisness is doing great AND they have a presence on mobile

People buy Nintendo systems to play Nintendo games. If they can play those games elsewhere, they'll buy less hardware, which could reduce investment in Wii U.

I hope I'm wrong...

come on, less use some sense. Ninty isnt going to put HW quality games on a phone, they CANT its simply not capable. By that logic no one would buy PS4s or Xboxs. Theirs an Infamous app game, is that hurting Sony's sales. the games sales? hell no it has great preorders same thing like Halo. It seems you think people are that stupid they will confuse the two or you dont have actual faith that Ninty CAN do it. Everyone else does i dont see why they would be different.

Truth be told, my faith in Nintendo hasn't been this low since the Gamecube days.


well thats more of a you thing than Ninty, its not that I have faith im quite indifferent. Its just something they kind of have to do, if not now soon, everyone is doing it and its not hurting their bottom line