Thursday April 26, 2007 9:48 am
Nintendo Has Record Year on DS, Wii Sales
Nintendo just announced their financial results for the fiscal year ending March 31, 2007, and the numbers are huge. Revenues are up 90% to 996.5 billion yen, over $8 billion US. Profits are also up, nearly 150% to 226 billion yen, nearly $2 billion in profit.
Nintendo moved over 23 million DS handhelds, just an insane number, along with 5.84 million Wii consoles. The Wii number seems to be short of Nintendo’s projections of 6 million units—this would seem to point to a genuine supply constraint on Nintendo’s part. Some analysts had suspected that Nintendo was holding back shipments of the Wii because Nintendo had “made their numbers” but Nintendo’s results would seem to indicate that this was not the case.
Nintendo’s projections have them selling 14 million Wii consoles in the upcoming fiscal year, and 22 million DS handhelds. 22 million would seem to be a conservative estimate, given their strong sales from the previous year. 14 million Wii consoles moved, though, would seem to indicate a fairly decent ramp up in Wii production in order to meet their targets. Overall, though, the console that both Sony and Microsoft dismissed seems to be poised to challenge for the lead in worldwide sales.
Nintendo’s full press release continues below
NINTENDO POSTS RECORD YEAR ON STRONG NINTENDO DS SALES, BREAKTHROUGH RECEPTION FOR WII
April 26, 2007
Nintendo Co., Ltd., today reported final consolidated fiscal year revenues of 966.5 billion yen and operating profits of 226.0 billion yen for the year ending March 31, 2007, an increase of 90 percent and 150 percent, respectively, over the same period one year ago. Both numbers are record highs for the company.
The results are due largely to full-year sales of more than 23 million portable Nintendo DS™ systems globally, along with 123 million Nintendo DS games. Since introduction, the Nintendo DS has now eclipsed lifetime sales of 40 million systems.
In addition, in less than five months since introduction, the company sold 5.84 million of its new Wii™ home video game systems globally, virtually every one snapped up immediately by consumers, along with nearly 29 million Wii games. Wii has taken a step toward becoming a cultural phenomenon, appealing widely to both avid and previously disinterested game-playing audiences.
For the fiscal year beginning April 1, 2007, Nintendo projects sales of 14 million Wii systems and 55 million games worldwide. The company projects sales of 22 million Nintendo DS hardware unit sales and 130 million software units sales. Nintendo forecasts consolidated sales increasing nearly 18 percent to 1.14 trillion yen, and operating profits growing nearly 20 percent to 270 billion yen.
All financial projections are based on an anticipated ratio of 115 yen to the U.S. dollar, and 150 yen to the euro. Using this estimate, recurring and net profits for the year are projected to be flat in anticipation of a foreign currency reevaluation loss.
For more information about Nintendo, please visit Nintendo.com.
Note: Forecasts announced by the company referred to above were prepared based on management’s assumptions with information available at this time and therefore involve known and unknown risks and uncertainties. Please note such risks and uncertainties may cause the actual results to be materially different from the forecasts.
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