Analysts Predict Nintendo’s Earning Results
Later this week, on April 27, Nintendo of Japan will announce its 2016 fiscal results (for the period from April 1, 2016 through March 31, 2017). This is a highly anticipated event among investors as they’ll get a better picture as to how well the Nintendo Switch has sold and you can bet they’ll also be eyeing Nintendo’s forecasts for the next year as well.
According to analysts polled by data provider Quick, they expect Nintendo to report a net profit of 94.4 billion yen ($856.6 million) for the year, which is more than five times fiscal 2015’s profit. They believe that revenue will come in at 477.6 billion yen, slightly above Nintendo’s forecast of 470 billion.
Analysts also expect Nintendo to give firm numbers on hardware and software sales of the Nintendo Switch. They expect somewhere between 2.3 million and 2.5 million will have been sold during March, well above Nintendo’s internal projections of 2 million. They’re eager to find out how many Switches Nintendo is projecting to sell for the next 12 months, but they do caution that Nintendo might keep that number on the conservative side to mitigate the risk of having to revise the forecasts downward if demand wanes. As far as software, they expect 20 million pieces will be projected to sell for the next 12 months, but anything over 25 million will be a positive surprise.
Of course, Nintendo will also need to address the other areas of its business. This includes smartphone games, which Nintendo is supposed to release two to three over the next 12 months. We already know Animal Crossing is one of those titles, but the other two remain a complete mystery. It will be very interesting to see how Super Mario Run and Fire Emblem Heroes have performed in the marketplace.
Of course, with the negative news surrounding the discontinuation of the NES Classic Edition, we could possibly hear some news if the rumored SNES Classic is truly coming to the market this year. Also, don’t be surprised if we hear an update on Super Nintendo World, the upcoming Theme Park Destination coming to Universal Studios.
We will have full details from Nintendo’s financial earning results later this week. Hopefully it’s good news!
[Source: Takashi Mochizuki via MarketWatch]
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.
