News Article

Nintendo Reportedly Has 812.8 Billion Yen in the Bank

Posted by Thomas Whitehead

Steak dinners are on Satoru Iwata

It's well known that Nintendo is set to announce losses for this financial year, with its latest projections from earlier this year predicting a loss of 45,000 million Yen. While that may seem like a grim statistic, a feature in UK magazine Nintendo Gamer has sifted through Nintendo's bank accounts and found an extraordinary nest egg, details below.

Buried in reams of financial data is the revelation that Nintendo have 812.8 billion Yen (£6.7/$10.5 billion) in the bank - enough for it to take a 20 billion Yen loss (£163/$257 million) every year until 2052. Then there's almost 469 billion Yen (£3.8/$6.0 billion) held in premises, equipment and investments. When that runs out - we're in the year 2075 by this point - they've got some of the most valuable intellectual property in gaming to sell off before the company goes out of business.

Assuming that the data has been interpreted correctly, and considering the fact that Nintendo's overall loss this year will be the first in its history, that's an impressive bank balance. With 3DS sales showing improvement and Wii U on the horizon, it looks like Nintendo has the assets to push for success.

[via gamesradar.com]

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User Comments (67)

Lan

#4

Lan said:

I don't know if this is a lot. Can we get figures for other companies too for comparison?

Kyloctopus

#6

Kyloctopus said:

As long as Nintendo is good for my lifetime, I'm good considering I'm gonna die by probably 2050. I actually expected more than $10.5 Billion.

CorbsAdmin

#7

Corbs said:

It's more about losing your confidence with gamers and publishers than money sometimes. Nintendo has done a fantastic job of injecting new life into the 3DS and they need to knock one out of the park with Wii U to get the third-party developers and publishers on board.

shingi_70

#10

shingi_70 said:

But apparently from what I hear they're still doomed becuase they aren't making Mircosoft and Apple amounts of money.

Also we will see how the effects of HD devlopment take toll on the big N.

thebluelight1

#12

thebluelight1 said:

@shingi_70 but Microsoft not only make Xbox, they also make the world's most popular computer operating system and Office to help them make a bit of money, Apple make computers, tablets, phones, MP3 players, iTunes etc. Nintendo makes at most two consoles and two handhelds at a time and more often than not just one of each, I would be really surprised if they managed to make Apple/MS amounts of money.

AddADashOfSalt

#13

AddADashOfSalt said:

@thebluelight1 Nintendo is a GAMING company. They try to put in Netflix but Apple and Microsoft werent complete gaming companies. Nintendo has the best actual games and consoles because the focus on the games and gaming consoles. I actually like only a few consoles at a time, I dont have to spend thousands to get all of the current games. And Microsoft only has one console out and Apple makes a copy of what they already made in a differant form; the ipad is a big ipod touch. The Mac has almost all of the same games the ipod touch does. THe Nano is the Shuffle with a screen.

DestinyMan

#14

DestinyMan said:

Well, I can expect them to still be around in my lifetime then. Nintendo must be very, verty good with their money, and they have to be since they're a corporation. This also shows how ignorant people are when blathering about Nintendo being doomed. Even when they were in their roughest waters (GameCube and Nintendo 64 eras) they were still in good fiancial standing.

I wouldn't compare Nintendo's wealth with Microsoft's since Microsoft is a computer corporation at its heart. Video games are just a bonus.

Alienfish

#16

Alienfish said:

Considering that they have been strictly a toys and then gaming company throughout their existence I'd say that number is pretty staggering. I know I definitely helped them get there.

shingi_70

#18

shingi_70 said:

@kurtbro900

Not a Fair graph at all. That graph factors in Nintendo Operating costs as a whole company. The Sony and Mircosoft are only using Infomation from the Gaming sides of the companies. This causes a misdirection as your miscounting the fact that the 360 and PS3 make money but are bogged down by other failing products that happen to be in the entertaiments divisions.

To have fair numbers you would have to comapre the nintendo numbers to Mircosoft and Sony as awhole. But then Nintendo wouldn't look so good would they.

Chris720

#19

Chris720 said:

Sheesh... that's a staggering amount of money... if I had that amount of money I'd be set-up for at least 10 lives. :O

thebluelight1

#20

thebluelight1 said:

@3Dangerous3Dash ...that was my point, Microsoft and Apple are bigger companies therefore make more money, was that not clear? Nintendo might make more money than the other two based off of dedicated games hardware and software sales but they will make more money from the other aspects of their companies. "Apple makes a copy of what they already made in a differant form"? Game Boy Pocket was just a small Game Boy, 3DS is just a DS with a 3D display, etc etc.

Shiryu

#22

Shiryu said:

My god...they're doomed! They better trade in those Mario Bucks for Bison Dollar. Every Bison Dollar will be worth five British pounds. That is the exchange rate that the bank of England will implement after he kidnaps their queen.

pastasauce

#23

pastasauce said:

@shingi_70 That's just the graph that every other site has been showing alongside this story. And obviously a gaming only company wouldn't look good next to an entertainment super company.

AddADashOfSalt

#24

AddADashOfSalt said:

Actually, the DS did almost nothing...the 3DS does a lot more. I have the iPod touch but it seems more of an "everyday" sort of thing, not solely made for gaming. The 3DS is way more than a DS, 3D, Netflix, eShop, better wifi play, etc. Nintendo moves on, motion gaming, 3D, touchscreen, etc. They have to update what they have to make people happy, example DSiXL or GameBoy Pocket. People wanted those updates. Apple...has so far made a faster iOS and added a camera, plus maybe HD graphics, while Nintendo made a 3D screen and motion gaming. Apple and Nintendo do make copies but Nintendo moves on and Apple makes the same device over and over again. Mac is a little bit differant from iPad, which is a big iPod touch. Personally, I'm not gonna pay $300 more for a big iPod touch than an iPod touch.

ThomasBW84Admin

#28

ThomasBW84 said:

@kurtbro900 I didn't use that graph because I wasn't convinced about its accuracy, and the focus was on Nintendo's financials anyway.

@thebluelight1 was right, you can't compare Nintendo's bank balance directly with Microsoft and Sony as corporations, as those businesses are so much more than just video games. Considering Nintendo's focus on one industry, its done exceptionally well (in my opinion) to get to this sort of position. This year's losses will be its first ever, and I'm sure it'll be doing everything possible to avoid further losses in future years.

HaNks

#31

HaNks said:

i hope their cash reserves are well diversified into other currencies and even gold. BOJ are still printing yen like it's gone out of fashion and fast running out of ink. one of most troublesome economies along with US and UK for hyperinflation risk.

Hardy83

#36

Hardy83 said:

This is why I hate our societies. lol
I struggle to make ends meat, and you have giant companies like Apple and Nintendo just hoarding piles of cash and just laugh, as they demand more money from us.... T-T

thanos316

#40

thanos316 said:

i read this same report before somewhere else i think but its good to hear it again. some noobs must really think ninty is doomed. the wii does so much more than gaming and appealed to a very wide audience so that must have to produce money for them. and even going further back the game boy and ds hasn't been doing too shabby themselves, yes they may have some set backs but they have money in the bank. well billions in the bank to be exact. lets hope the wii u is excellent, no holding back.. oh yea so yall know again NINTENDO IS DOOMED.. LOL....don't mind the billions in the bank

19Robb92

#41

19Robb92 said:

i hope they put the cash to good use on the WiiU and 3DS as well as future systems.

ChosenOne25

#42

ChosenOne25 said:

Nintendo made so much money because of very low production costs. Producing many of the DS games cost so few resources because size of the game was so small and graphics very low. Still these games were sold for $40+ and sold a lot. Nintendo won through game design over graphical power and it paid out in money. Same goes for Wii games, much less production costs, but sold for high price. It's all about gameplay and ideas not only graphics - Nintendo knows that :D

RaylaxStaff

#43

Raylax said:

I will probably die before Nintendo does.

Frightening thought, that.

ImDiggerDan

#44

ImDiggerDan said:

I'm fairly certain that I contributed about 5% of that bank balance with all the DS games I bought.

JustAnotherUser

#45

JustAnotherUser said:

Waring! A troll approaches
Phff. A banker makes that in a year.
NINTENDO SUCK!! They should be bought by Apple.
The troll ran away

Good for them :D
I see they can afford to sell the Wii U at a low price then ;)

Bankai

#48

Bankai said:

It's a pity that having money in the bank isn't the most productive use of it for a business, then, isn't it?

kyuubikid213

#49

kyuubikid213 said:

Does this mean that the Wii U will launch at $400 at most?

Or maybe another price cut?

Or even perhaps cheap(er) Wii U games?

The possibilities are endless...until 2052. I will be...57. If I live to be 90, that means I will only have to live during the 10 years Nintendo actually fails. BRING IT ON!! NINTENDO FOR LIFE!!

grumblegrumble

#51

grumblegrumble said:

Wow, I wonder how much of those billions are mine. lol. Umm, can i get a refund?? JK. Lol. I love my Ninty games too much.

Intrusion7

#52

Intrusion7 said:

Well all you people cant really compare these companies because they are different.Apple_inc is a multinational corporation that designs and sells consumer electronics.Microsoft Corporation is an American multinational corporation headquartered in Redmond, Washington, United States that develops, manufactures, licenses, and supports a wide range of products and services predominantly related to computing through its various product divisions.Nintendo is just a gaming company.And that chart is actually correct.comparing them in only things they compete in is only fair.ok so apple doesnt make more or microsoft or sony.but its fair.those companies will blow them out in other charts.so it really doesnt matter.I mean Nintendo makes the best games.so they excel in that financial department.but i mean come on.technology is everything in this generation.microsoft makes TVs stereos computers etc.you need a computer to make a game.statistics show that there is a computer in over 93% in american homes.but not every1 owns a wii and even if so.the wii makes a new system what every 6-10 years or so.when microsoft evolves every year.same for apple and sony.

DestinyMan

#53

DestinyMan said:

Looking at these numbers again, it's no wonder that Nintendo have been around since the late 1800's.

I know I've contributed to their account, and I still will in the future. I'll be 82 when 2075 comes around, so that's a comforting thought that I'll be an old man and still play Nintendo games. Nintendo for life!

timp29

#54

timp29 said:

The HD development cycle will probably see them take another small hit because Im assuming it iwll take slightly longer from design to ship of WiiU games.

God I hope they rename that console

XCWarrior

#55

XCWarrior said:

Now that we know this, and Super Analyst Michael Pachter's comments about the Wii U being toast. We can all come to one clear conclusion -

TOAST IS EXPENSIVE!

VincentV

#56

VincentV said:

@Intrusion7 Yeah. Microsoft rips off their customer in every market there isn't a formidable competitor w/ reasonable prices, except gaming (where they pay for promotions, screw Rare in vain hopes of claiming a good dev for their system, and they have Halo). Apple's pricey, and Linux has bad support. Windows means bad things for us; at least 7's half decent, but it's very expensive to upgrade, but cheaper than going w/ Apple still. We had to upgrade every time, only to see our new OS was somehow bad, yet better than the last. Xbox Live anyone? Microsoft's terrible. Yeah, it costs $ for running servers, support, and promotions. $70 for all that? No option for paying less for no promotions? Greedy. Apple's the mobile phone juggernaut, just as hard to beat as a juggernaut in Call of Duty. They charge phone companies $600 dollars for an iPhone, and customers only pay $200 something + activation fees. That's making the phone carriers look poor, even when they aren't. Ouch. Nintendo's game only, and they aren't so pricey. No wonder they aren't as profitable. They're gaming only, and look how much less they charge us (even w/ variant manufacturing costs, and I'll never change my stance on Microsoft; they've ripped me off to many times). I don't see how they could make as much profit as those companies even w/ dev costs, etc.

drumsandperc92

#59

drumsandperc92 said:

Glad to hear it. Even if the Wii U does eventually become a "dreamcast" scenario where it's an 'in-between' generations console and therefore is flop even if it is an incredible console, Nintendo will be ok.
The way I see it, is Nintendo knows they can't be so far behind in hardware now. They know they have to continue supporting and nurturing the casual audience they grew with the wii (hence all Wii mote & 'chuck support on the Wii U, and backwards compatibility) but they also know that they have to win back the hardcore audience which has been on a steady decline as the installbase for the big N ever since Gamecube, or, arguably, N64.
The Wii U seems like the perfect console to do this, but as I said, if it does happen to suffer in sales due to any or all of these following reasons; gamers don't feel the need for a new system yet so won't invest, hardware is better than current hardware but not so good that it won't be able to stand up to the next gen systems from the competition, it's too expensive due to the tablet controller, or a bevy of other possible reasons, I do know now thanks to this article that Nintendo's nest egg ensures that it won't go the Sega route of becoming software-only due to one failed system.
To be blunt, Nintendo can clearly afford to have the Wii U be an utter failure, and then make a comeback in the generation after this new one.
I'm very happy hearing this news, with the comfort knowing that Nintendo's worst case scenario being that the Wii U flops, they lose any money spent on the system/time/resources, they wait out the entire 8th generation (be it another 6 or 7 or 8 years or whatever it ends up being) and then come back strong with an up-to-date rock steady console in the 9th generation that in no way could be considered "in-between" generations or one generation behind in terms of power.
But here's to the Wii U and future news, I get more excited for E3 to see what this baby can do every day. How can anyone not love Nintendo? They are a game company for gamers and fans, truly, a source of never ending innovation, and if it weren't for them homeconsoles would not be what they are today, or what they will be tomorrow. as an owner of microsoft and sony platforms as well from the ps1 to the ps3, original xbox to the 360, as well as the n64 to the wii, even fanboys of competitors need to have love and respect for Ninty. But why am I preaching to the choir? After all I'm on Nintendolife :P

nfzeta007

#60

nfzeta007 said:

It really did amaze me when people thought Nintendo was going under just because of Wii GAMES sales (as the wii itself sold very nicely), even when the 3DS starting picking up people were still saying the same thing, bah i will just put that down as one of the mysteries of this world.
Also is it just me getting the facts wrong or did they strink that loss MASSIVELY with the 3DS comback, i could have sworn the losses were supposed to be high triple digit millions.

BulbasaurusRex

#62

BulbasaurusRex said:

It's this kind of dough that allows them to take the risks they do which continually innovate the market.

Malkeor

#64

Malkeor said:

@ChocoGoldfish

Well it has to go somewhere.

Unless of course the executives take turns swimming in a giant pool of money in the VIP section of the office where Reggie sometimes visits and they play pool volleyball.

Kagamine

#65

Kagamine said:

I think it's important to note that these "loses" aren't really that. most times when a company looses money, it just means thy didnt make as much as last year. So. if these stats are going by the norm, they still profited, just not as much as previous years.

lonlon-milker

#66

lonlon-milker said:

Wow that is a ton, I am glad for Nintendo but they probably got 20% from overpricing the n64. Games should not cost you 70 dollars.

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