Ubisoft posts 32.3 million euro loss for first half of fiscal 2012, expects big Q3

by Jordan Mallory on Nov 6th 2012 2:00PM

Ubisoft has released its earnings for the first six months of fiscal 2012, which ran from April 1, 2012 through September 30, 2012. In that time, the publisher garnered overall initial profits of €192.7 million (about $246.8 million), which is a 21 percent increase over the €158.4 million ($202.9 million) Ubisoft had accrued by this time last year.

After deducting research and development costs and SG&A expenses, however, that figure drops to a loss of €32.3 million, or $41.3 million. That loss is less substantial than the €37.1 million loss Ubisoft posted at the end of the first half of fiscal 2011, to the tune of 14.8 percent.

Ubisoft CEO Yves Guillemot attributes the year-over-year increase in gross profits to Ghost Recon: Future Soldier (its performance in the digital segment, specifically) and Just Dance 4, while also claiming that the operating loss reported for this period was due to "large-scale marketing campaigns for Assassin's Creed 3 and Far Cry 3."

Looking forward, Guillemot predicts a "record" second half for fiscal 2012, based on the anticipated performance of Assassin's Creed 3, Far Cry 3 and Ubisoft's stable of upcoming Wii U titles. As such, the company's year-end target for sales has been increased from a range of €1.16 - €1.20 billion to €1.20 - €1.26 billion. Similarly, Ubi's target range for operating income has been raised slightly, from €70 - €90 million to €70 - €100 million.

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Nintendo reports $461.2 million in losses for fiscal 2011

by JC Fletcher on Apr 26th 2012 10:30AM

Nintendo's announcement of losses for the fiscal year ending March 31 remains shocking, even though we had advance warning in the form of company forecasts. The actual results, with net sales of ¥647 billion ($8 billion!) were ¥12.3 billion lower than forecasted. The full-year loss was 37.3 billion yen ($461.2 million).

Nintendo said its effort to boost 3DS sales was successful, and that software sales were slower than expected in the US and Europe over the holidays. In addition, the reduced selling price of both the Wii and the 3DS, and, of course, the strong yen, contributed to the losses. The 3DS was actually dropped below cost in the 2011 price cut, the financial report reveals.

By the middle of the next fiscal year (the one that started April 1), Nintendo expects to stop selling 3DS below cost – we assume not by raising prices, but by reducing production costs. In addition, it expects to improve its fortunes with New Super Mario Bros. 2, the 3DS Animal Crossing, the new Brain Age game, and an Asian launch of the 3DS. Oh, and, of course, the Wii U.

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Sega game sales down in first half of fiscal 2012; Rise of Nightmares fails to hit the heights

by JC Fletcher on Oct 31st 2011 10:27AM

The net sales for Sega Sammy's consumer division were down 13.7% year over year in the six months ended September 30. Sega brought in 33.4 million yen ($428,655) from its home game business, part of the 152.6 million yen in overall net sales.

The 29.9% slump in company-wide net sales is mostly attributed to a slowdown in demand for new pachinko machines and "the settlement payment for patent licensing". Within the consumer business, Sega cited "weak" sales of its titles, especially in the west, which, Sega claims, continues to experience "headwinds such as sluggish personal consumption."

Sega named three "major titles" released in the period, and detailed their sales. Captain America: Super Soldier, released only in the west, sold 450,000 units across four platforms. Rise of Nightmares sold 200,000 worldwide. The other major release, the Japan-only PSP soccer management sim Sakatsuku 7 Euro Plus, also sold 200,000.

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Take-Two takes 49% more in revenue in fiscal 2011

by JC Fletcher on May 24th 2011 5:30PM

Take-Two let out a hearty (but metaphorical) "Yee-haw" today, reporting a 49 percent rise in net revenue year-over-year for the fiscal year that ended March 31. Thanks to hits like Red Dead Redemption (8.5 million units shipped, the company announced today!) and its Undead Nightmare expansion, and the five-million-selling NBA 2K11, Take-Two brought in $1.14 billion in net revenue. Its net income rose to $48.5 million for the fiscal year, a welcome change from the previous year's $123 million loss. With that kind of money, Take-Two should be able to survive the losses from when Duke Nukem Forever doesn't actually come out. (Kidding, mostly.)

The top earners for the fourth quarter included, in Take-Two's estimation, "NBA 2K11, Top Spin 4, Major League Baseball 2K11, Grand Theft Auto IV: Complete and Red Dead Redemption: Undead Nightmare (standalone disc)." In addition, digitally distributed content accounted for 15 percent of net revenue in the quarter, driven by Red Dead Redemption, Borderlands, Grand Theft Auto and Civilization DLC.

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EA grows digital sales in Q4, stems losses for fiscal year

by Justin McElroy on May 4th 2011 5:50PM

EA enjoyed solid growth in the final quarter of its 2011 fiscal year (ending March 31), thanks in large part to a bump in digital revenue. Digital sales were up $67 million from the same period a year ago to $211 million. Good ol' boxed games weren't slouching though, as packaged goods revenue increased $44 million up to $838 million. In all, EA rebounded from its rough Q3 to record $151 million in profit during the fiscal fourth quarter.

The engine for that growth was a surprisingly impressive quarterly lineup for the company. Seven of its titles from fiscal Q4 have surpassed 1 million units shipped, with Crysis 2, Dead Space 2 and Dragon Age 2 all over the 2-million-shipped mark. DLC for those titles (like Dead Space 2's "Severed" add-on) was the cornerstone of digital profits, as well. Over its entire 2011 fiscal year, EA shipped 12 million units of FIFA 11, 7 million copies of Bad Company 2 (released at the tail end of FY10), and five million each of Medal of Honor, Hot Pursuit and Madden 11.

But it seems that, in the grand scheme, these titles weren't enough to alter EA's fortunes for the fiscal year, which ended in a $267 million loss for the company. We suppose there's still a bit of a silver lining, however -- those losses would seem to sting considerably less than the $677 million lost by EA just one year prior.

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Nintendo profits fall 66% in fiscal year, 3DS sells 3.61 million

by Alexander Sliwinski on Apr 25th 2011 9:36AM

Nintendo's net income dropped to ¥77.6 billion ($946 million) for its fiscal year ending in March, marking the company's third year of profit declines. The figure is also well below the ¥200 billion ($2.13 billion) Nintendo estimated it would make at the conclusion of its previous fiscal year. If only Nintendo had some kind of distraction so investors wouldn't notice ... OMG, guyz, "Wii's successor" in 2012.

Looking forward, Nintendo expects to have net sales of ¥1.1 trillion over the next year, a slight increase from the ¥1.01 trillion reported this year, but still below the ¥1.4 trillion in 2010 -- they may just be post-decimal figures when talking trillions, but those are hundreds of billions. The company is planning on a net income of ¥110 billion yen ($1.3 billion) by next March, through "vigorously" marketing the 3DS, releasing The Legend of Zelda: Skyward Sword for Wii and selling software from its "long-selling 'evergreen' titles."

Nintendo noted in its financial report that it has not suffered any direct damage of the recent "Great East Japan Earthquake," but that an indirect impact is predicted regarding "individual consumption patterns or economic conditions in the future."

Global unit sales life-to-date (March) of the Nintendo DS, 3DS and Wii hardware were 146.4 million units, 3.61 million units and 86.01 million units, respectively. Nintendo is expected to reveal a playable model of the "Wii's successor" at E3.

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Gamestop sees 'all-time high' sales of $9.47B for fiscal 2010

by Alexander Sliwinski on Mar 24th 2011 9:30PM

GameStop is gonna need a bigger moneybin, as the company reported "all-time high" sales of $9.47 billion for the 2010 fiscal year (ending January 29, 2011), with a record net profit of $408 million. During the fourth quarter, the company also saw a 4.8 percent increase in sales to $3.69 billion, with a 10 percent increase in net earnings to $237.8 million.

During the GameStop investors call, executives stated they would use information on customer purchases extracted from from the PowerUp Rewards program to help determine the 200 locations that will be shut down over the next year due to overlap. It's not all bad news: that same information will be used to open 200 stores "focusing on underserviced markets." GameStop also plans to "pursue opportunistic growth internationally."

The biggest sign that GameStop is doing its best to prepare for the inevitable was the 61 percent increase in "console and PC digital offerings," which brought in $290 million during the year.

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