Outline of financial results for the fiscal year ended March 31, 2011 and earnings forecast for the fiscal year ending March 31, 2012
Outline | Presentation by the President (Text) | Q & A
Presentation (outline) by Yoshihiro Mori, Senior Managing Director, Nintendo Co., Ltd.
This outline is based on "Earnings Releases" and "Supplementary Information about Earnings Releases" for the fiscal year ended March 31, 2011.
- (1) Briefing of financial results for the full fiscal year ended March 31, 2011
- * Comparison with the previous fiscal year.
Operating results for the full fiscal year ended March 31, 2011 are as follows;
* Percentages indicate the changes from the previous fiscal year.Net Sales: 1,014.3 billion yen -29.3%* Gross Profit: 387.9 billion yen -32.6%* Operating Income: 171.0 billion yen -52.0%* Ordinary Income: 128.1 billion yen -64.8%* Net Profit: 77.6 billion yen -66.1%*
(Main reasons for the decrease in net sales)
Although "Nintendo 3DS" was launched, the unit sales of hardware and software of "Wii" and "Nintendo DS" for this fiscal year were down around the world. The decrease in unit sales was mainly due to a lack of appealing software titles which encourage consumers to buy. Other reasons were the stronger yen against the US dollar and the Euro for this fiscal year, which caused a decrease in net sales by about 86 billion yen year-on-year and price reductions for "Wii" and "Nintendo DS" series hardware from the last fiscal year to this fiscal year.
(Main reasons for the decrease in gross profit ratio)
Gross profit ratio was 38.2%, down by 1.9% year-on-year. The main reasons were price reductions for "Wii" and "Nintendo DS" series hardware, and appreciation of the yen in spite of the fact that cost reductions of products made progress.
(Main reasons for the decrease in operating income)
Operating income was down mainly due to the decrease in net sales. The size of the decrease percentage in operating income was larger than the one in net sales compared to the previous year mainly because a proportion of selling, general and administrative expenses over net sales rose.
(Main reasons for the decrease in ordinary income)
Ordinary income was down mainly due to foreign exchange losses (49.4 billion yen) led by appreciation of the yen as well as the decrease in operating income. 0.2 billion yen of foreign exchange losses were recorded in the last fiscal year. - (2) Briefing of earnings forecast for the fiscal year ending March 31, 2012
- Earnings forecasts for the full fiscal year ending March 31, 2012 are as follows;
* Percentages indicate the changes from the previous fiscal year.
Net Sales: 1,100.0 billion yen 8.4%* Operating Income: 175.0 billion yen 2.3%* Ordinary Income: 185.0 billion yen 44.4%* Net Profit: 110.0 billion yen 41.7%*
Estimated foreign exchange rates at the end of the fiscal year are 83 yen is equivalent to 1 US dollar, and 120 yen is equivalent to 1 Euro.
Forecasted unit sales for the full fiscal year ending March 31, 2012 are as follows;
Software unit sales do not include the quantity bundled with hardware.Wii Hardware 13 million units Wii Software 120 million units Nintendo DS Hardware 11 million units Nintendo DS Software 67 million units Nintendo 3DS Hardware 16 million units Nintendo 3DS Software 62 million units
For the fiscal year ending March 2012, "Nintendo 3DS," which we aim to make spread more widely, will contribute to our financial performances throughout the year. We strive to expand our business by strongly appealing to those who do not have our systems with newly launched titles during the fiscal year and our long-selling "evergreen" titles on "Wii" and "Nintendo DS."
The forecasted annual dividend per share is 460 yen, up by 10 yen year-on-year, provided the actual results meet the forecasts.
Forecasts referred to above are based upon management's assumptions with information available at the time the announcement was made and, therefore, involve known and unknown risks and uncertainties. Please note that such risks and uncertainties may cause actual results to be materially different from the forecasts (earnings forecast, dividend forecast and other forecasts).
Outline | Presentation by the President (Text) | Q & A
