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Forums - Nintendo Discussion - Nintendo Investors Meeting - 8:00 PM EST (15 mins left)

czecherychestnut on 29 January 2014
sonicfan1373 said:
czecherychestnut said:
KingdomHeartsFan said:

I remember seeing another Nintendo Earnings report thread on this site like a week ago showing a loss...maybe I'm going crazy.


It would have been Nintendo's revised yearly projections thread, in which Nintendo revised their projections down for Wii U and 3DS and lowered their yearly results prediction from 55 billion yen to a -25 billion loss. 

The results in this thread are for the quarter, in which consoles sell 2-3x more than the rest of the year combined, meaning it was expected Nintendo would make a quarterly profit, but due to the previous quarterly losses (and the upcoming on) it will be a yearly loss.

But it appears that the results are compounded (April-December 2013) so it takes the loss of previous quarters into account. Furthermore, based on previous years results Q4 does not have a massive impact on their profits unless they are doing heavy R&D or paying large end of year taxes; so this does make me wonder about their end-of-year projection made on January 17.

But the net and operating profit numbers listed in the OP are for Q3 only, they aren't cumulative. Nintendo made an operating loss of ~$187million in Q2 and a $50 million operating loss the previous quarter, so basically Nintendo is currently even at the end of Q3. But sales are usually at their weakest in Q4, and you have to assume that Nintendo's development and general running costs are relatively constant (we have not heard of any large layoffs or studio shutdowns), therefore if revenue decreases in Q4 but costs remain broadly the same then they will lose money. 

If you want the cumulative results you can get them here. http://www.nintendo.co.jp/ir/pdf/2014/140129e.pdf

Note that the cumulative operating loss for 2013 is $1.5 billion YEN, or ~ $15 million US.  Cumulative net profit is ~$100 million. The financial report doesn't list individual Q3 results, but they've been calculated based on the previously reported earnings.



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Bruxel on 29 January 2014

nice one nintnedo. I was worried they were going to take another loss.

does anyone have a link or know when sony's numbers are in?



 

WII U // PC // 3ds XL // VITA

ZyroXZ2 on 29 January 2014

Hmmm, well, time to promote DKC:TF as much as possible. It may be the last title in Q4, but with Q3 showing profit, DKC:TF may decrease losses in Q4 and Nintendo's plan to lowball themselves may pay off: under-promise, over-deliver (sort of).



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superhippy420 on 29 January 2014
czecherychestnut said:
sonicfan1373 said:
czecherychestnut said:
KingdomHeartsFan said:

I remember seeing another Nintendo Earnings report thread on this site like a week ago showing a loss...maybe I'm going crazy.


It would have been Nintendo's revised yearly projections thread, in which Nintendo revised their projections down for Wii U and 3DS and lowered their yearly results prediction from 55 billion yen to a -25 billion loss. 

The results in this thread are for the quarter, in which consoles sell 2-3x more than the rest of the year combined, meaning it was expected Nintendo would make a quarterly profit, but due to the previous quarterly losses (and the upcoming on) it will be a yearly loss.

But it appears that the results are compounded (April-December 2013) so it takes the loss of previous quarters into account. Furthermore, based on previous years results Q4 does not have a massive impact on their profits unless they are doing heavy R&D or paying large end of year taxes; so this does make me wonder about their end-of-year projection made on January 17.

But the net and operating profit numbers listed in the OP are for Q3 only, they aren't cumulative. Nintendo made an operating loss of ~$187million in Q2 and a $50 million operating loss the previous quarter, so basically Nintendo is currently even at the end of Q3. But sales are usually at their weakest in Q4, and you have to assume that Nintendo's development and general running costs are relatively constant (we have not heard of any large layoffs or studio shutdowns), therefore if revenue decreases in Q4 but costs remain broadly the same then they will lose money. 

If you want the cumulative results you can get them here. http://www.nintendo.co.jp/ir/pdf/2014/140129e.pdf

Note that the cumulative operating loss for 2013 is $1.5 billion YEN, or ~ $15 million US.  Cumulative net profit is ~$100 million. The financial report doesn't list individual Q3 results, but they've been calculated based on the previously reported earnings.


I guess we will have to wait and find out exactly how bad Q1 is for Nintendo.   Alot is riding on Donkey Kong to boost Wii U sales.  They should spend invest marketing $$$, and give it a strong push in the next 3 - 4 weeks.    Software sales are way down compared to this week in 2013, and that is with the next gen consoles out.   



superhippy420 on 29 January 2014
ZyroXZ2 said:
Hmmm, well, time to promote DKC:TF as much as possible. It may be the last title in Q4, but with Q3 showing profit, DKC:TF may decrease losses in Q4 and Nintendo's plan to lowball themselves may pay off: under-promise, over-deliver (sort of).


They need to have a big Nintendo Direct about a week or so before Donkey Kong comes out and show off some new games and put out some release dates on some big upcoming titles.  People who see it will be more tempted to get a Wii U when DK comes out just by knowing other games will soon be on their way.



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Mystro-Sama on 29 January 2014

Iwata finally starting to get his shit together?



ICStats on 29 January 2014

[wrong thread]



My 8th gen collection

drake4 on 29 January 2014
zorg1000 said:
drake4 said:
Wiiu way over tracked on vgchartz, unless its sold out world wide.


How so? Vgchartz has it at 5.48m at the end of 2013. Thats means there were almost 400k on shelves at the time, is that low?


by the end of december only only 500, 000 wiiu in stores world wide just doesnt sound right  unless they stopped taking orders.  and yes 400 is extremely low when your talking world wide.



zorg1000 on 29 January 2014
drake4 said:
zorg1000 said:
drake4 said:
Wiiu way over tracked on vgchartz, unless its sold out world wide.


How so? Vgchartz has it at 5.48m at the end of 2013. Thats means there were almost 400k on shelves at the time, is that low?


by the end of december only only 500, 000 wiiu in stores world wide just doesnt sound right  unless they stopped taking orders.  and yes 400 is extremely low when your talking world wide.

Well there were a few reports of Wii U being sold out in America during the holidays and Europe sent back stock at some point last year so I dont imagine they were ordering a whole lot of units.



When the herd loses its way, the shepard must kill the bull that leads them astray.

DarkNight_DS on 29 January 2014

Is Nintendo conveniently leaving out the fact that they are currently paying for a new building in Japan and hiring workers to fill new positions?



Prepare for termination! It is the only logical thing to do, for I am only loyal to Megatron.