H1-2016: Nintendo net sales up 19.1%; hardware sales higher than software sales

BENGALURU: Nintendo Company Limited (Nintendo) reported 19.1 per cent growth in net sales at Ą2,04,182 million for the six month (half-year) period ended September 30, 2015 (H1-2016, current six-month period, current half-year period, current period) as compared to Ą1,71,399 million in the corresponding year ago half-year period. Hardware sales at 50.4 per cent of total sales in the current half-year period were more than Software sales which were at 49.2 per cent of total sales as compared to comparative numbers H1-2015.

The company reported operating income in the current half-year at Ą8,977 million as compared to an operating loss of Ą215 million in the corresponding year ago period. Ordinary income (including income from interest from interest, etc., totaling Ą7536 million) declined 26.4 per cent to Ą16,346 million in H1-2016 as compared to the Ą22,196 million (including income from interest, others totaling Ą22,96 million) in H1-2015. Net Income attributable to owners of parent declined 19.8 per cent in the current period to Ą11,466 million from Ą14,300 million. Net income per share declined 21 per cent to Ą95.46 from Ą120.81.

Geographical Sales break-up

Of Nintendo’s Net sales of Ą2,04,182 million, overseas sales was Ą1,44,678 million or 70.9 per cent of the total sales. 

Please refer to Fig A below. In the current period, while Japan witnessed the highest growth in percentage terms in sales at 29.9 per cent (Ą13,698 million)as compared to H1-2015, in terms of absolute yen, ‘The Americas’ saw the highest growth of Ą18,455 million (26.4 per cent) in absolute yen. Sales from ‘Europe’ in terms of absolute yen declined by 720 million to Ą48,288 million from Ą49,008 million in the corresponding year ago period.  Sales from ‘Other’ regions in H1-2016 increased 20.4 per cent to Ą7,981 million from Ą6,630 million in H1-2015.

Share of sales from ‘The Americas’ increased by 2.5 per cent to 43.3 percent in H1-2015 from 40.8 per cent, while those of Japan increased by 2.4 per cent to 29.1 per cent from 26.7 per cent. Share of sales from Europe declined 5percent (declined by Ą720 million) to 23.6 per cent from 28.6 per cent while share of sales from ‘Other’ remained the same at 3.9 per cent.

Ninetendo

Category wise sales break up

In H1-2016, share of Hardware Sales increased to 50.4 per cent (Ą1,03,002 million) of total Sales from 46.4 per cent (Ą79,553 million) of total sales, while share of Software sales declined to 49.2 per cent (Ą1,00,462) of total Sales from 49.2 per cent (Ą1,00,462) as compared to the corresponding year ago period. Please refer to Fig B above. Share of ‘Other’ category which includes Playing cards, Karuta, etc., remained the same at 0.4 percent (Ą716 million in H1-2016, Ą636 million in H1-2015) of total sales.

Ninetendo says that during H1-2016, for Nintendo 3DS, New Nintendo 3DS and New Nintendo 3DS XL, which were launched during the previous fiscal year as the newest members of its 3DS family, continued to expand their sales with new colour variations, and the global sales of the Nintendo 3DS hardware reached 2.28 million units.

As for the Nintendo 3DS software, the company says that Animal Crossing: Happy Home Designer became a hit, marking 2.02 million units in sales. In the Japanese market, titles from various genres such as Rhythm Tengoku (temp.), Fire Emblem Fates: Birthright/Conquest and Pokémon Super Mystery Dungeon became popular with a wide variety of people, informs Nintendo. In addition, a third-party title sold over a million units as well.

In the overseas markets, popular Nintendo titles such as Super Smash Bros. for Nintendo 3DS continued to show steady sales. The company says that as a result,the global sales of the Nintendo 3DS software reached 19.20 million units. With respect to Wii U, Super Mario Maker, which was released globally in September offering a new taste to the Super Marioseries, marked 1.88 million units in sales and got off to a good start.

Splatoon, which was released in May, marked 2.42 million units in sales and contributed to vitalizing the Wii U platform. The worldwide sales of the Wii U hardware and software were 1.19 million and 12.37 million units respectively.

For amiibo, the newly released card type amiibo showed strong initial sales. At the same time, figure type amiibo have continued to maintain strong momentum and enjoyed robust sales.

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