Nintendo just posted its financial results for the first nine months of fiscal year 2014, with all the income figures in the black.
The Kyoto-based console manufacturer explained the results as follows:
During the nine months ended December 31, 2014, for “Nintendo 3DS,” “New Nintendo 3DS/New Nintendo 3DS XL,” launched as the newest members of the “Nintendo 3DS” family in Japan in October, got off to a good start and continued to sell well. However, as sales of the “Nintendo 3DS” hardware in the United States and in Europe, where “New Nintendo 3DS/New Nintendo 3DS XL” were yet to be launched, did not grow sufficiently, the global sales of the “Nintendo 3DS” family hardware were 7.08 million units.
As for the “Nintendo 3DS” software, “Pokémon Omega Ruby/Pokémon Alpha Sapphire” and “Super Smash Bros. for Nintendo 3DS” enjoyed robust sales with 9.35 million units and 6.19 million units sold respectively, while titles such as “Tomodachi Life,” “Mario Kart 7” and “Pokémon X/Pokémon Y” showed steady sales. There were also a number of hit titles from third-party publishers in the Japanese market. As a result, the global sales of the “Nintendo 3DS” software were 53.04 million units.
With respect to “Wii U,” Nintendo released two big titles, “Mario Kart 8”and “Super Smash Bros. for Wii U,” which enable family members and friends to have fun together in their living rooms. These titles sold 4.77 million units and 3.39 million units globally, and the global sales of the “Wii U” hardware and software reached 3.03 million and 20.59 million units respectively.
As a result, net sales were 442.9 billion yen (of which overseas sales were 323.2 billion yen or 73.0% of the total sales) and operating income was 31.6 billion yen. As a result of exchange gains totaling 51.0 billion yen due to depreciation of the yen at the end of this period compared with the one at the end of the last fiscal year, ordinary income was 92.3 billion yen and net income was 59.5 billion yen.
Nintendo also posted an update to the lifetime sales of Wii U and 3DS hardware and software by the end of calendar year 2014.
This means that during the last quarter (from October 1st to December 31st) Nintendo sold 1.91 million Wii U units and 4.99 million 3DS consoles.
The company also revised its full year forecast lower than the earlier prediction for net sales and operating income, but higher for ordinary income and net income:
Based on the sales performance for the nine months ended December 31, 2014 and afterwards, net sales and operating income are expected to be lower than our original forecasts.
Also, considering recent trends in foreign currency exchanges, assumed exchange rates for the fourth financial quarter as well as at the end of the full fiscal year have been revised as follows: 115 yen per U.S. dollar (previous rate: 100 yen), 130 yen per euro (previous rate: 140 yen). As a result, we have revised up the ordinary income and net income forecasts.
To complete the picture, we also get a full breakdown of software and hardware sales by region for each platform, including the forecast for the full fiscal year, with Nintendo hoping to reach 9 million units sold for the Nintendo 3DS and 3.6 millon Wii U by March 31st, 2015.
In order to achieve that goal, the house of Mario and Zelda will need to sell 1.92 million 3DS units between January and March and 570.000 Wii U consoles.