Nintendo NX Releasing In March 2017
As if a stiff slap across the face of Nintendo fans everywhere, it has been officially announced that the NX will launch in March of 2017 globally. This was revealed in the Operating Results of Nintendo’s outlook for fiscal year ending March 31, 2017.
- Analysis of Operations
(1) Fiscal year ended March 31, 2016
During the fiscal year ended March 31, 2016, for Nintendo 3DS, Animal Crossing: Happy Home Designer and Pokémon
Super Mystery Dungeon were released globally and both became hits, selling 3.04 million and 1.22 million units respectively. There were also multiple hit titles from third-party publishers. However, due to the lack of major titles like Pokémon Omega Ruby/Pokémon Alpha Sapphire and Super Smash Bros. for Nintendo 3DS, which energized the entire 3DS business during the prior fiscal year, the worldwide sales of the Nintendo 3DS hardware and software were 6.79 million and 48.52 million units respectively.
With respect to Wii U, Splatoon sold 4.27 million units and Super Mario Maker sold 3.52 million units, both becoming blockbusters and contributing to energizing the Wii U platform. In addition, The Legend of Zelda: Twilight Princess HD, which was released globally in March, got off to a good start. The global sales of the Wii U hardware and software reached 3.26 million and 27.36 million units respectively.
In addition to the above, amiibo sales continued to maintain momentum and showed strong performance globally. The figure-type and the card-type sold approximately 24.70 million units and approximately 28.90 million units respectively. Furthermore, sales of additional download content for Nintendo 3DS and Wii U increased and total download sales reached 43.9 billion yen. Moreover, our first smart device app, Miitomo, was released globally in March and started off well.
As a result, net sales were 504.4 billion yen (of which overseas sales were 368.9 billion yen or 73.1% of the total sales), and operating income was 32.8 billion yen. Due to re-evaluation of assets in foreign currencies, exchange losses totaled 18.3 billion yen. As a result, ordinary income was 28.7 billion yen and profit attributable to owners of parent was 16.5 billion yen.
(2) Outlook for fiscal year ending March 31, 2017
For Nintendo 3DS, we will release Pokémon Sun/Pokémon Moon globally in winter of 2016 (holiday 2016 in the U.S. and late 2016 in Europe). These are the latest titles from the Pokémon series, which has sold 200 million units worldwide since the first title from the series released 20 years ago. We will also release a number of titles including Kirby: Planet Robobot and Metroid Prime: Federation Force. Strongly anticipated titles from third-party publishers are also scheduled for release. With the release of these titles, we will re-energize the platform and aim to expand our reach globally to a broad audience, including female and younger consumer demographics.
For our dedicated video game platform business, Nintendo is currently developing a gaming platform codenamed “NX” with a brand-new concept. NX will be launched in March 2017 globally.
As for amiibo, we will continue to expand the product lineup in order to maintain momentum. At the same time, we will aim to further expand sales by offering new gaming experiences with the use of amiibo. For our content download business, we will continue to offer appealing additional download content that enhance the characteristics of each game. We believe this will keep games actively played and maintain their popularity. Also, for our smart device business, following Miitomo, we will continuously release new apps in order to expand the revenue base as a business.
Based on these efforts, we project, for the fiscal year ending March 31, 2017, net sales of 500.0 billion yen, an operating income of 45.0 billion yen, an ordinary income of 45.0 billion yen and profit attributable to owners of parent of 35.0 billion yen. Unit sales of the major products used for the forecast are listed on page 15 under the heading of “(5) Consolidated sales units, number of new titles, and sales units forecast” in the “Others” section. Exchange rate assumptions for the major currencies used for the forecasts are 110 yen per U.S. dollar and 125 yen per euro.
Craig has been covering the video game industry since 1995. His work has been published across a wide spectrum of media sites. He’s currently the Editor-In-Chief of Nintendo Times and contributes to Gaming Age.