Nintendo has just released its financial statement for the previous quarter and the results make for interesting reading.
Despite the fact that the manufacturer is beating away all competition from rivals such as Sony and Microsoft, net sales were down down by 40% compared to the previous year. Net income was also down at ¥42.3 billion, which represents a 60% fall.
The company had this to say about the results:
In the console business, there were fewer blockbuster software titles that briskly drove hardware sales this June quarter versus the same period a year ago when titles like Mario Kart Wii and Wii Fit were launch in overseas markets.
Those drops sound big but it's important to remember that Nintendo isn't losing money, but rather the company just isn't making as much profit as previously. And in the current economic climate, that's understandable.
[source kotaku.com]
Comments (22)
Or maybe it's due to the fact that hardcore Nintendo fans are ticked off with Nintendo's non-gaming approach and refuse to buy new software. Well, except me, I guess. Look at my username to see why
BTW, I refuse to be one of those guys who says "FIRST!!!! B) "...whoops...I just did...sorry people... :|
Will Work For Video Games!
Well, at least they have us to buy games from them still
at least we know Sony and Microsoft are not doing better than Ninty
I think Nintendo should charge us more for stuff to see them through the bad times, especially us in the UK.
Nintendo is printing money so they aren't in a sweat.
Doesn't surprise, but the Wii still PRINTS MONEY!!!
@NintendoPurist:
No, hardcore gamers alone are not where the money does come from. Ask Sony and Microsoft. With the Wii Nintendo was fighting against recession and a shrinking video market. By winning new customers, people who never played games before. By expanding their audience. So they could sustain. And it obviously worked.
Some say Nintendo now has abandoned their core audience, the hardcore Nintendo fans, but I am a Nintendo fan since 1996 and I've never been happier with any other console than the Wii. I never had so much fun playing videogames. And Nintendo still certainly does a lot for both their core audience and classic audience. Nintendo is aiming for all possible audiences and that's where the money comes from. They're trying to make everyone happy (well, everyone except bloody FPS HD graphic whores, but oh well...)
The reasons, why the sales weren't as good as before, are very obvious. Nintendo even says it theirselves, last time they had WiiFit and Mario Kart Wii, this time they had nothing. Wii Music was a mistake and a failure. But now with Wii Sports Resort and New Super Mario Bros. Wii I can see more sales coming in.
This kinda isn't news, it was expected and Nintendo said why. Last year they had a lot of big titles that launched in the middle of the year (Kart, Wii Fit, Brawl) and nothing much for the end of the year (Animal Crossing and ..... ?). This year they had nothing much in the middle of the year excluding the New Play Control games the only just released Wii Sports Resort. At the end of the year they'll have New SMB Wii, Spirit Tracks, Wii Fit Plus and majority or Resort.....
This quarter was down on last year.... no, really!
Old news is old. They even predicted this would happen, and are likely two steps ahead of it (as always).
It will be interesting to see if Monster Hunter 3 has a big impact on Wii sales in Japan -- especially with a black Wii that should sit nicely alongside the PS3 (though that monstrosity will still be hideous by comparison!).
They should release more VC games to make up the difference.
Nintendo needs to release VC games if they want more money.
Of course hardware sales are going to be down, a lot of people who want a Wii will have already bought one and there hasn't been any price drop, not to mention the exchange rate that means they make less profit from other regions. It would be crazy to expect profit to remain at the same level for a console that is 3 years old, i would expect profit to continue to drop or level off until the successor to the Wii is released
The global economy is in the crapper so this is expected.
They're still making money, as long as they make quality games and return to one-game week for Virtual Console, they'll be fine in this horrible recession.
This explains why games like Madworld and Excitebots: Trick Racing bombed. There trying to save money and they would lose money by adversiting them too much (Thought I did see some adversitment for Madworld.).
So I'm glad that they at least (unknowingly) explained why hardcore games on the Wii don't always sell well. Oh well, still happy with my Wii.
Yeah, are there really a whole lot of people who still want a wii but haven't purchased it yet? I feel like at some point console sales are going to go down, just because there won't be as many people trying to get it all at once. I bet with resort sales will be up a bit this month. Given how many hours of fun you can get from a single AAA title, it's really not the most expensive form of entertainment out there.
That's true, Token Girl. i mean, at some point console sales have gotta drop because everyone already has the console. Seriously it seems like EVERYONE does. Girls I'd never expect are gamers have a Wii. At some point it's going to stop and at that point Nintendo needs to focus on giving us more good games like Super Smash Bros., rather than shoveling out party games and casual crap.
its not that I think Nintendo isn't supporting their gamers,in fact I think they really are,unlike so many other people who seem to be blind to what Nintendo does, It's just that right now I have no money on me. If I did then there are 30-40+ games that I would like to buy for my Wii with none of those being crap,and that's not even counting the Wiiware and VC games that I would like to buy
Their printer of money is low on ink.
Could be reaching the install cap, now is the time to pile on the software.
(shouldn't they have been already?)
I mean how long does it take a company the size of Nintendo to produce additional Mii software? We could be seeing a new Wii Play/Sports/Fit every few months tops as budget titles. Since these are what new audiences have bought the system for it makes sense to bang out as many as they can think up ways to use the controller.
And for the core followers, they must have plenty of second party devs ready to make say, I don't know... sequels or spin-offs to classic Nintendo games for WiiWare like Super Mario Bros 4, or a new 2D Metroid, or Kid Icarus!
I love Nintendo games, but I cannot figure out what they are pileing all their resources into when the next original AAA title coming from them (Zelda) is going to arrive probably 2 years after the last (Brawl) which itself was delayed as a launch title.
Mario Galaxy 2 is a straight sequel with the same engine.
Pikmin 3 you might consider a AAA but when the hell is it coming?
Everything else could have been knocked together within half a year by most other large studios.
Ok - rant over.
NOTHING TO WORRY ABOUT
wm+ just hit,wii sports resort just hit ,monster hunter 3 about to hit,black wii about to hit,dragon qest ruling japan lots of games coming
it will pick up again for nintendo there ruling the roost at huge profits still
sony have reported yet more LOSS AND ARE STILL IN DA -RED
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