IR Information

Financial Results Briefing
for Fiscal Year Ended March 2012
Apr. 27, 2012
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This chart is for Germany, indicating the top 20 titles from January to March. As you can see, there are 10 titles for the Nintendo platforms. What is interesting about the German market is that the two “Mario” games, which are two of the strongest titles for the Nintendo 3DS, as well as many Wii titles are included in the chart.

High up in the German chart are dance fitness games, such as “JUST DANCE 3” and “ZUMBA FITNESS,” which were not as popular around this time last year, and we also have “Mario Party 9,” released just a short time ago. The others are some of the big titles that Nintendo released for the year-end sales season of last year.


This chart is for France, showing the top 20 titles from January to March. Here you can see nine titles for various Nintendo platforms. While this figure is certainly smaller than the previous year’s, what is unique is that the titles for Nintendo platforms are concentrated towards the top of the chart. For the Nintendo 3DS, we have the two big “Mario” titles, and for the Wii, we have the dance fitness games and the “Mario” titles.


This chart is for Spain, indicating the top 20 titles from January to March. There are nine titles for the Nintendo platforms.
You can see it includes a lot of evergreen titles for the Wii as well as two “Mario” titles for the Nintendo 3DS.


This chart is for the United Kingdom. It shows the top 20 titles from January to March.
The UK market is virtually the only market in Europe where the Xbox 360 has a strong presence. In fact, it dominates the PlayStation 3, and it is in stark contrast to the other European markets. The top-selling titles for the Wii tell us that dance games continue to be popular this year.

Although there are six titles for the Nintendo platforms, the two “Mario” titles for the Nintendo 3DS have the smallest presence in the world. We need to promptly improve this situation.


During the last fiscal year, we were confronted with the steep appreciation of the yen, significant price drop of the Nintendo 3DS in order to make the course correction and place it back on the originally expected sales track, and the failure to launch much-anticipated titles in a timely fashion in the first half of the term. Under these circumstances, we posted an operating loss for the full year, which was the worst result since we went into business in the video game industry. We feel greatly accountable for the result as executive officers.

Today, I would like to tell you about our prospects on how Nintendo will be able to enjoy a turnaround for this fiscal year.


Here are the sales forecasts of our major hardware and software on which our financial forecasts are based for this fiscal year.
The sales numbers of the hardware and software sales for the Wii include those for the Wii U to be launched in this year-end sales season. Also, please note that the numbers of sales of the software for the Nintendo 3DS and the Wii U include those to be downloaded through the digital distribution we plan to implement in this fiscal year, but exclude the Virtual Console software or download-only software.

As for the software sales as our revenue base, we expect an increase in the sales of the Nintendo 3DS from the last fiscal year. From this fiscal term, we will be in the harvest time for the software sales of the Nintendo 3DS. However, we have a more conservative sales forecast than that of the Nintendo DS for the third year, considering the fact that the momentum of the Nintendo 3DS overseas has not reached our anticipated level, unlike the domestic market.
On the other hand, we think that the software sales of the Nintendo DS and the Wii will rather significantly decrease due to the small number of games scheduled in this fiscal year. We don’t anticipate that the software sales of the Wii U can compensate for the decrease in those of the Wii because the Wii U will be launched as late as in the holiday season and then the total unit sales of the Wii U will be limited in this fiscal year. This is one of the reasons our business performance inevitably fluctuates when we change platforms.


I believe that you are most interested in the details of the Wii U. Since the Wii U will be launched in Japan, the U.S., Europe and Australia in the year-end sales season…


Therefore, we still have some time before the launch and I cannot say anything about the release date, price or the launch titles here.

Regarding the Wii U, just as we have been saying until now…


We will showcase the final format, and discuss the details and the software lineup for this year at E3 2012, which will be held in Los Angeles in the United States in June this year.
Also, in the week after the E3 show, we would like to organize an opportunity where we can showcase the same to the Japanese wholesalers and financial analysts who cannot attend the E3 show. The people in our appropriate sections will let you know as soon as we have settled on further details.

Please also be advised that, as we did for previous platforms that were launched in the year-end sales season, we will announce the launch date and price in each market sometime after E3.


I would like to tell you next about the product profitability of the Nintendo 3DS hardware, which affected our profit the most in the last fiscal year. As I informed you before, in the first half of this fiscal term we will get out of the situation that we sell the hardware below cost. We anticipate the improvement of the product profitability of the hardware alone.


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