Nintendo posts Q1 net profit, Wii U shipped 160K worldwide

by Sinan Kubba on Jul 31st 2013 4:00AM

Despite a 3.8 percent year-on-year drop in revenue, Nintendo posted a healthy ¥8.62 billion net profit in the first quarter of fiscal year 2013, or just under $88 million. However, the concern for the company must be the new low Wii U shipments dropped to. The console only shifted 160,000 units across the three months, less than half the figure of the previous quarter, leaving it at 3.61 million shipped to date.

Nintendo attributed the Q1 net profit to substantial currency exchange gains due to the depreciating value of the yen, although it also noted better profitability on 3DS hardware contributed to increased gross profit. Nintendo forecasts its net profit to rise to ¥55 billion by the end of the fiscal year, around $562 million.

The Wii U, which Nintendo noted still sells at a loss, struggled severely, as did its games with just over 1 million software units shifted worldwide in the three months ending in June 2013. Nintendo put its poor performance down to "few key first-party titles this quarter to strongly drive the hardware sales," and reiterated its intent to amend that in the second half of 2013 and through to next year. Nintendo still forecasts 9 million Wii U shipments across the fiscal year of April 2013 to March 2014.

News is rosier on Nintendo's portable side, with the 3DS shipping 1.4 million hardware units and just over 11 million software units in Q1. A significant contributor to the software numbers was Animal Crossing: New Leaf, which after coming to the west this summer added just over 1.5 million worldwide across the quarter. Luigi's Mansion: Dark Moon was another important asset, shipping 1.43 million units. Animal Crossing: New Leaf now has life-to-date global figures of 5.4 million, while Luigi's Mansion: Dark Moon is at 2.65 million.

Finally, the Wii reached a significant landmark, shipping a further 210,000 units worldwide to take it to the 100 million mark.

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Take-Two Interactive bags 405% year-over-year profit increase during Q3 2013

by Jordan Mallory on Feb 5th 2013 4:55PM

Take-Two Interactive has released its financial report for the three month period ending on December 31, 2012, or "Q3 2013" in technical terms. The company raked in net revenue (read: gross income) of $415.7 million during that period; a 75.9 percent increase over the $236.3 million it earned in Q3 of fiscal 2012.

Net income (read: profit) was also up year-over-year, $71.3 million during Q3 2013 versus $14.1 million in 2012, which is an astonishing 405.9 percent increase. Meanwhile, Take-Two's nine month year-to-date figures are reporting a loss of $51.9 million, down from the $41.9 million loss reported at this same time in fiscal 2012.

Revenues accrued from digital sales were up 244 percent year-over-year, an increase that Take-Two attributes to Borderlands, Borderlands 2, XCOM: Enemy Unknown, NBA 2k13, the Grand Theft Auto series and all of those games' respective DLC.

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Nintendo cuts annual profit forecast by 70%, first-half loss of $351 million

by Sinan Kubba on Oct 24th 2012 8:00AM

Nintendo slashed its annual net profit outlook by 70 percent, following first-half losses of approximately $351 million, 40 percent greater than expected. Ahead of the Wii U launch, the Japanese company now expects net profits of ¥6 billion ($75.2 million) for the fiscal year ending March 31 2013, compared to initial forecasts of ¥20 billion ($251 million).

In those initial forecasts Nintendo predicted losses of ¥20 billion for the six-month period ending September 30, but today revealed a significantly greater figure of almost ¥28 billion ($351 million). The company cited weaker than expected overseas sales of 3DS hardware and software, along with increased yen appreciation.

Nintendo also revealed the 3DS shifted 5 million units across the six months, taking the console to over 22 million worldwide sales to date. The company now expects 17.5 million sales for the 3DS by the end of the fiscal year, down 1 million from initial projections.

Nintendo of course expects the Wii U to takes figures back into the black in six months time, with the company now predicting 5.5 million units sold worldwide by March 2013.

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Nintendo cuts profit forecast by 82%

by Alexander Sliwinski on Jul 28th 2011 10:01AM

If it wasn't clear already: the 3DS has not been a home run for Nintendo. In its revised earnings forecast for the fiscal year ending March 2012, the company dropped its estimated profit to ¥20 billion ($257M), an 82 percent drop from the ¥110 billion ($1.41B) it expected. The company stated the modification had been done to reflect "trends of stronger-than-expected yen appreciation and sales performance, the decided price reduction of the Nintendo 3DS hardware, and the sales outlook for the holiday season."

A similar cut in Japan (effective August 11) will take the system from ¥25,000 (around $317) to ¥15,000 ($190).

The steep profit reduction isn't Nintendo's only glaring concern, as the company couldn't regain investor confidence after announcing the Wii U at E3 and its stock currently sits at five-year lows.

For the first quarter ending June 30, Nintendo saw its net sales cut by half from the same period last year to ¥93 billion ($1.2B), causing a ¥38 billion ($489M) loss in operating income, with a net loss for the quarter staying relatively even to last year's at ¥26 billion ($334M).

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