they thought it would be like the Wii. they thought wrong.
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Nintendo lowers forecast from ¥55B profit to ¥25B loss [3DS 18M->13.5; WiiU 9M->2.8M]
- Thread starter mackaveli
- Start date
they thought it would be like the Wii. they thought wrong.
Sobering for Nintendo, I'm sure. 100B Yen profit goal is firmly sent packing, as well. smh
So we all end up with another xbox one? No thanks
They could just present it as a typo - the meant to hit 9m in three years not one. Assuming the next two years are better than this one.
Jesus.
These numbers are no surprise. The writing has been on the wall since the fall. This is just Nintendo accepting what everyone knows.
Next comes the really interesting part: What changes are they going to make, and what is their strategy to get out of this hole.
When's that earnings call again?
Next comes the really interesting part: What changes are they going to make, and what is their strategy to get out of this hole.
When's that earnings call again?
ElectricKaibutsu
Member
Hm? I didn't mention Iwata, nor did the person I was quoting... I was speculating on some of the changes that could be made at Nintendo.
Is anybody really surprised? Honest question.
Iwata has been saying "let's wait it out. One game can change everything" all year. Meanwhile, back at the ranch, the sales of the Wii U (and Wii U software) have been in the toilet. since. launch.
This should come as a surprise to absolutely nobody.
Nintendo needs a major shake-up at this point. They needed one ages ago, but now the writing is on the wall. There is no recovery to be had by staying the course. It's time for heads to roll.
Iwata has been saying "let's wait it out. One game can change everything" all year. Meanwhile, back at the ranch, the sales of the Wii U (and Wii U software) have been in the toilet. since. launch.
This should come as a surprise to absolutely nobody.
Nintendo needs a major shake-up at this point. They needed one ages ago, but now the writing is on the wall. There is no recovery to be had by staying the course. It's time for heads to roll.
graywolf323
Member
we knew it had to happen but damn this is even harsher than expected
Randolph Freelander
Member
In context, over the same period, Wii shipped 18.6 million consoles and couldn't meet demand.
DragonSworne
Banned
How does Iwata exactly care about games?
given the years they had sitting with the wii and ds you'd think they'd try to make the virtual console into a really great feature instead of yet another thing they don't understand.
my guess is that there's concern that people wouldn't want 2d mario for their consoles when they could play the first game on their phones for a dollar.
Yamauchi should've done a better job with the N64 and Gamecube.
PetriP-TNT
Member
Holy Nintenbomba
Who is gonna take the dive?
Mario Kart 8 will save them. Then lets just wait for the next big title to launch (in 2016)
Who is gonna take the dive?
Mario Kart 8 will save them. Then lets just wait for the next big title to launch (in 2016)
Mutanthands
Member
Iwata...I don't see it working out for him.
He should announce that he is stepping back into software, maybe as the head of world-wide studios. Continue to be the public face of Nintendo, since he's very good at it.
And then put out the call for a new CEO. Maybe he can help choose. From his big corner office with the big window...
He should announce that he is stepping back into software, maybe as the head of world-wide studios. Continue to be the public face of Nintendo, since he's very good at it.
And then put out the call for a new CEO. Maybe he can help choose. From his big corner office with the big window...
I don't think anyone is really surprised by most of the forecast reductions. But seeing it translate to the financials of the company highlight just how much damage their strategic blunders are costing. The revised financial projection casts the situation in stark relief: they are in deep trouble.
See? That's the problem.
Concise and to the point.
bobbychalkers
Member
Not even that. While they were still in the Yamauchi era of scaring 3rd parties, Nintendo had a really competent western front for a while. Iwata pretty much put an end to that.
SwiftDeath
Member
So in essence Nintendo just dropped their forecast more than 750 million USD?
Uncle Rupee
Banned
He spent decades working as a developer.
I wouldn't call that "understanding". We all saw all the heat Microsoft got for the Xbox One and they reversed their DRM. USA is Nintendo's biggest market, they should stop catering to Japan so much and cater to us for once by giving us better online functionality and more multimedia options. At least give us what PS3 and Xbox 360 have.
MrGame&Watch
Member
They should just go private
RedAssedApe
Banned
lol @ original WiiU forecast.
Two years of operating losses I think is enough for Iwata to step down. In a company that has never had one before the 3DS/Wii U - I have a feeling tolerance levels won't be high.
The question is how much leverage stockholders will have. They not only will want to kick Iwata out, but they'll want to push Nintendo to release games on mobile phones. Give them one, but not the other.
The question is how much leverage stockholders will have. They not only will want to kick Iwata out, but they'll want to push Nintendo to release games on mobile phones. Give them one, but not the other.
Schnozberry
Member
They lost money. Not the end of the universe. They are sitting on billions in cash reserves and even more in assets.
They just need to go back to the drawing board and try again. Sony lost money in even greater amounts on the PS3 for 3 straight years.
casinoman921
Member
2014 will be an interesting year. Nintendo won't be going anywhere soon, so hopefully some big changes are in store. Just please nothing involving smartphones/tablets :/
7DollarHagane
Banned
when a quality software lineup with among the highest review scores and game of the year awards among any publisher in the industry isn't enough, I'm at a loss.
Hardware is really dragging them down.
Make money off your handhelds and stop spending so much trying to keep up in the big budget money pit of home console gaming.
Yes, i know PC makes as much sense as Smartphones, financially, but I would love to see Nintendo release an incredible PC controller that can be used for their games and launch their own Steam type service whereby you could play their games on PC/Mac. Alongside it continue to dominate the handheld space and make quality software there.
I do think it would be interesting to contrast this with the losses Sony experienced before, during, and after the PS3's launch. I wonder if the WiiU loses Nintendo anywhere near as much as the PS3 lost for Sony.
Hardware is really dragging them down.
Make money off your handhelds and stop spending so much trying to keep up in the big budget money pit of home console gaming.
Yes, i know PC makes as much sense as Smartphones, financially, but I would love to see Nintendo release an incredible PC controller that can be used for their games and launch their own Steam type service whereby you could play their games on PC/Mac. Alongside it continue to dominate the handheld space and make quality software there.
I do think it would be interesting to contrast this with the losses Sony experienced before, during, and after the PS3's launch. I wonder if the WiiU loses Nintendo anywhere near as much as the PS3 lost for Sony.
Yes sadly. Tis a harsh reality.
They don't have enough cash to do that at their current valuation unless they're willing to take on around 4-6 billion in debt to do it.
Horseticuffs
Full werewolf off the buckle
Honestly, we all knew the Wii U would tank but I really had higher hopes for the 3ds. My beautiful darling -_-
DragonSworne
Banned
Heads up for anyone who thinks Iwata is stepping down: he shifted more of his goons on the board of directors over the last few quarters. Iwata isn't going anywhere.
D
Deleted member 17706
Unconfirmed Member
Fire everywhere.
Jesus Christ.
"Guys, remember when we said we were going to make 55B Yen in profit? Well, we're not only going to make even half of that, or, well, any of it, but we're actually going to lose 25B Yen. Oops."
Did Wii U hardware NPD numbers come to light? Did they even hit 400k?
Jesus Christ.
"Guys, remember when we said we were going to make 55B Yen in profit? Well, we're not only going to make even half of that, or, well, any of it, but we're actually going to lose 25B Yen. Oops."
Did Wii U hardware NPD numbers come to light? Did they even hit 400k?
vinnygambini
Why are strippers at the U.N. bad when they're great at strip clubs???
I don't know what to say quite frankly. I'm at a loss of words especially as the Yen is especially in their favor. Inventory markdown?
I'm glad I sold my stock at a profit, however Nintendo can simply not continue plunging its head in the sand and think everything will be fine. Their my favorite company out there; however, changes need to be made point blank.
I'm glad I sold my stock at a profit, however Nintendo can simply not continue plunging its head in the sand and think everything will be fine. Their my favorite company out there; however, changes need to be made point blank.
Warm Machine
Member
Beginning to think it was.
the only surprise here is if iwata honestly meant what he was saying. this is the management that slashed the price of the 3ds early on, dropped the price of the gamecube to $99 before it was two years old, and rushed mario kart 7 to the market so it would come out for the holiday season. the stance with the wii u is particularly odd because for over a year they seemed to pretend it didn't exist.
Aquamarine
Member
I expected this. Nintendo had a much weaker-than-expected holiday, so now that the holiday is over and all the sales figures are in, it's time to make some FY guidance slashes.
He developed some of Nintendo's most memorable games.
PetriP-TNT
Member
Wait, how is 3DS down that much? Everyone owns one? But didn't Pokemon just launch?
Maybe the plan is to sink the company's public worth so much that such a plan would actually work.
