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Reviewing Nintendo Finances

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Tyler and Kolby review Nintendos latest fiscal report which includes record setting R&D spending and older titles beating out newer titles in sales.
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we're going to get into some, some corp corp talk big Nintendo. Corporation, talk big, big business. Oh yeah, we're, we're putting the games aside. We're talking biz we're talking numbers, we're talking about finances. Were talking all that stuff. Your econ hats on folks, this is a feature, this is a feature, barrow boy, thomas, white head and intend to life. Yeah. Okay, Nintendo had a spectacular year. May have big plans, monster profits, big R and D spend and broader moves and entertainment. Some of this we touched on last week, but for the most part we did, um, he basically start this off by saying, if you want a very brief summary of the current status of Nintendo finances rich, he just says wealth, they're wealthy. The Nintendo had a very, very big year and we're gonna get into why they obviously just the hardware that they put out a second and none, but here we go again this past year. Uh, so from last, so the fiscal year I believe starts and it's like March, March, March is, I think how they do it. So over the course of the last financial year, Nintendo spent 93.2 billion yen, which is $850 research development, which is a record now. Return development from what I've read on gaming. It's just like looking in the engines basically improved, just improving the hardware itself, seeing how they can get it better. And I think a lot of this may be a good chunk of this comes from them beefing up the online servers which you have had the experience to try out with monster Hunter rise I believe. Yeah, I guess I suppose that is true. That does exist on physical servers. So through that definition, yeah, that's probably a good, a good educated guess. Right. There another good um, another good assumption that could be that this is because they're trying to look at what they can do to make the intend to switch pro. If we're talking about enhancement tend to switch system, what they can do to make that better than the one they have now which is going to be a tall task because the one they have now is still selling just like rapid fire and more and more and more because you see the switch light variations, you see switch variations, they're basically just selling the same concept just putting different colors and themes. I don't know if we're going to get a switch pro for another year to honestly right now I really don't think we need one to be honest. People are saying that uh you know through the grapevine of twitter uh that they wouldn't be surprised that we saw switch pro E three and I don't think Nintendo historically is done like hardware reveals at E three. I think it's strictly like a gaming thing. Like a software sort of imagine imagine they keep your form. I mean if again if breath awhile to is going to be like the hallmark of the new switch pro era 23 title baby exactly what some people are claiming it will be, you know, they might want to show it off as best as possible. So they might also kind of tangentopoli reveal the switch pro that's the theory I've seen just going off of just going off the rails or did you see that one tweet that said they're not going to give us breath for a while to, until we discovered everything and breath of the wild Yeah, that that barrel rolling thing has been making the rounds. I had no idea. I didn't even know you could push barrels over. I don't I don't do the debs know what they created with that and that's why it's taking so long. Like if that's the case like I'm perfectly okay. I've never been more okay with the game taking its time more than this. But I mean, yeah, if there, I assume it will be quicker because they're reusing, they're reusing a lot of hard rules assets so they don't have to completely make them from scratch like they did before. So it's not going to get it knock on wood. It's not going to get a again that's delayed for four years or something or anything. But I don't know. I just don't know. I don't know either. Yeah. Well that's not what this is discussions E three the three episodes in a few weeks. Don't worry. That's true. We're coming up on it, so. Yeah, well, we can do this podcast first E three. Oh that's true because you didn't even have one this, wow, 20 19, we didn't have 2019, we were in august the podcast. And then last year we didn't have one. So we have to get the suits with the suits and tie out baby. That's true. We gotta address it. That's going to be an occasion to remember. My God, it is. Anyway. Anyway, anyway, back to back, big biz discussion, back to ties and finances. Uh one more thing that he points out in this is that, you know, the Mario Kart live home circuit thing. The that could be a reason why they have the R. And D. Costs and maybe there's finding more ways because I got the Awada book. I don't know if I said this on the podcast, but I gotta read the allotted book and like his goal with the we was to expand the gaming population. I'd say they succeeded with how big that council is and how many cats, quote unquote casuals. You got just playing those games. May be that the art, maybe a lot of that too is they're just trying to find ways to like his vision is to grow the gaming landscape because the switch, it's on track to be the most like second most successful console Nintendo's had first. If you want to, if you want to say the Dss, it's each own thing rereleased. Yeah. The only, the only real, the only Donald has left the fault. We obviously, and maybe this is their way of with the motion controls or with the friendly game with Mario Kart live home circuit. It all falls into the same umbrella of how can we get casual people who don't really play video games that much? How can we get them into it? Maybe get their families and stuff like that. And Nintendo's always made that a priority and they succeeded that over the years. Would Nintendo land count as research and development? You can be completely separate separated from these stats. I'm looking here. I feel like honestly if it was included in the stats to be a lot bigger, I think so too. So yeah, it's probably its own thing. Never mind ignore me. Yeah. 880 million in R and D, which is a record. And they had a 10 point it's a 10.8% 10.8% increase over the previous year, which is a lot in a big finance talk. Yeah. All right. Moving on from R and D. Still still in corp talk. We talked a lot about this last week. The Mario movie may just be the beginning of them looking into animation projects. We talked about this with a bunch of tv shows and movies and we talked about this with uh what shows we'd see what types. And the editor of the in light of this, the editor of netflix, Castle Vania discusses. But he's basically just like dude, like we just want to crack at this, we just want to do we want to do this so badly. Like and he said that there's a there's a precedent for it because the what's this guy? Uh let me find the guy's name that will make it easier. Oh my goodness. Uh I think David how he had David how he was he's the editor on the Castle Vania anime series on netflix. Castle Vania smashed so maybe one day. But say one day. Yeah, he said that the pressing for it is because they have there's operative time manga that they've already so they've already adopted it for manga format and like you said last week, there's a lot to mango, there's a lot of mango out there, Nintendo and Nintendo land there. He said for him personally and a lot of people he's talked to whenever the rumors of a live action Zelda netflix show up. Obviously we're pumped at the same time where I was like, I feel like it's worked better as an anime. I agree, I don't want to speak to my co workers, but if you look around the office at powerhouse animation, we're all nerds were all huge fans of Zelda and Metroid. I feel like anyone would chomp at the bit to make a show like this, but we did we dance around a little bit last week with like what? Let's just not start with the obvious one. Zelda Zelda would absolutely be better as inanimate because as you said last week, I think anime would be a much easier way to make the protagonist take a link, an interesting character. It be hard for like an actor to be hard to get a mainstream actors like, okay, just your job. Don't. Yeah, okay, so here's your line. Alright? Here you go. Take some breathing exercises, you fucking scream when you swing that sword. All right, It's just yeah, just link high. Yeah, And then do some back flips and go, yeah, it's F. W. W tall task. But I I would pay to see Tom Holland try that out though. Remember that rumor? Oh my God, do I ever Tom Holland's link? Oh my God, I would be okay watching him try to do that. Yeah, I think so too. All right. Regardless, I would get my girl, I would get my girlfriend to watch Zelda. Know if Tom Holland was in it. Okay, Well it looks like she's out. If it's anime was about to say she's no, I mean if it's also anime, she would also be interested regardless. So yeah, we already got one. You already got a few, a few customers ready to go. Three customers if you want to eat. I mean Brooke would totally wash it to write things like more customers and then the random podcast guys got through the audience is there, you know, just make a great all six of us, just reading off the dark a little bit. There was any doubt about Nintendo's interest in this area. A smaller line. The financial results may sell the matter. It was confirmed intended was nominating illumination founder chris Meledandri and it's an outside director which will likely be ratified in june coming up to be clear Outside directors typically brought on board to advise and guide on key topics, which Mellon Dari can certainly offer elimination of the company producing the Mario movie having developed a number of successfully in the movie brands such as Despicable Me. But from what I've read into that, they're strictly just like animating it. And if this is true, this will be the first guy's name I've seen. It actually has input on like the story because apparently me and motives making the story. There's a lot of jokes saying that there's going to be zero story because all bargains, no story whatsoever, which is a good point. I have no idea what the story is going to be for our movie because Mario can't really talk either to be honest or at least not much. Well he has, I think he has a voice, like the animated show. Yeah, I mean it's not like link, it's not like at all, not entirely in the games. It is because he has a very few lines in the games. If you're going to super Mario super show you have to make them like rough and tough Brooklyn accent, Mario Mario was about to say, hey there paisanos, uh Mario, so you gotta have flash bags. I know right, But I don't know, I don't know if they would have to take a lot of pages. I think from I think the best story they could do would probably be taking a lot of beats from the Mario and Luigi RPG series. I think so too. Does the paper Mario might be a little too detached from the actual Mario kind of style? I think that is a side series technically. Yeah, Mario and Luigi is its own RPG side story as well, but I think it's the most likely sort of tone or story complexity that they could go for for a movie because I don't, if you're just making a movie on one of the mainstream like Mario games, I don't think it's possible to be honest, but I think, I don't even know what gave me to do it off. Yeah, the original Mario bro's would be like a 30 minute movie uh great, but they Mario and Luigi, that would be the kind of series that could take a lot of inspiration from because you know, again that's another one that has really good writing. It's got a lot of unique characters, the characters that the main characters besides Mario, Luigi, peach Bowser, they're all a bit more fleshed out in those games. So that could give obviously actors a bit more breathing room with them. So if I had to put my money on it, I'd say that would be the tone I'd be expecting that be kind of like again, story detail and character dialogue tone that I would go for for that movie. But I mean Miyamoto could just pull something completely crazy and stunned me. So yeah, I don't, it's going to be a kids movie obviously. And so I don't know what the story can't be too complex because your audience is. I believe like kids, like people like us, we're gonna see right through it. I would assume like a lot like the sonic movie was for kids, the sonic movie was very safe and it works very well and I think that they're going to do the same thing here where it's just gonna be a safe story, it's gonna be a safe plot. Don't really take any chances, anything like that. And we're not going to get like as far as the extensive cast of characters go like I don't think we'll see a daisy. I think we'll see a warrior. I don't think we'll see a wall E. G. That's later down the line. I love to see them but I don't know what if it's just what if it's just like not even like the main market was just Mario golf or something. The story, they dropped the trailer Mario memorials on the pitch was about to say what is this like the Mario sports game or something like it's a sports movie. Both Mario oh my God maybe. I mean I have no problems with that. You watch a Mario version of like blindsided. Yes I would. Oh my God. And then you could have daisy and Gianluigi because there's what's being character. Yeah. Yeah. They have cool renders the sport. It's a Mario kart movie. I'm the first one that I'm the first one. That theater as I would say that you're, you're, you're waiting overnight for that shit. Oh my God, I'm camping outside regal. Uh apparently it's opening back up, which is I heard. Yeah. I honestly just in time for the Black Widow, I, I definitely thought that place was done like that whole area near where we live. That mall area is just going downhill. So fast year does pretty well though. I think, I mean honestly, Covid rocket to say it got mega rock last year, $27 popcorn bins. Honestly surprised is still standing. But again, tangential Mario movie. I think it will be good. I want to watch it. Yeah, I want to see it to just to see where the bases for Nintendo animated product. That's going to be the motivation for probably most people I think. Yeah, like okay, what is a Nintendo capable of? What, what, what did miyamoto get that giant brain of his involved in? Uh me and my man. Finally the last topic of a corpse talk. Tyler older titles outperformed new releases in the past year of Nintendo when reflecting on the last financial year, it's possible that in between gleefully rolling around in moans of chris banknotes intended to reflect on Mayer disappointments with new game releases. But before we get into disappointing game releases, between 1st and 3rd party sales for software, uh 230.88 million units that is up 37% from last year. So jesus christ Nintendo is making money. Nintendo is doing all right. Yeah, they're doing okay. Now as far as new releases go, there was the number one game of Nintendo last year was a new release. You probably guessed it by now. A union of Time to its animal Crossing. New Horizons is the best sale is the best seller. Uh, it had just crushed all across the board. It's number two best selling game on the switch. Like no shock there, but a lot of titles that did well. Super Mario three D all stars, No shock here either over nine million sales. Now there's officially discussed, quite say discontinued very lightly because there's still, it's physical copies are everywhere. Super Mario three D. World spouses Fury and only has 5.6 million sales despite only arriving in february, which is pretty solid. Yeah. Then then it's a bunch of older titles such as Rain fit adventure, breath of the Wild martin party was just got an update. Oh my God. And then they added online, they added multiplayer to super Mario party this and two year old games. Getting updates on fire and was in that range. That's true. The much delayed DLC for fire and the much, the second DLC being delayed two years later, it's an actual time skip. We had to wait and uh, he says here, mixed fortunes for other, um, for other games franchises. Here we've, we've talked this game to Death agent plan B, 3.7 million sales. That's a record for most so serious. That's a record for a warrior style games musso technical technical term. Uh, fail. You want about 3.7 million sales. It's a record is The King say what you want about that too. But regardless that's still successful, that's still really good. three million sales for clubhouse 51 worldwide classics, 51 games in one can't beat that and pay tomorrow. The origami King also a little bit over three million. Not great honestly. For actually I take that back tomorrow the way I can't origami King when I look back on, not a great game, but over three million sales. Still nothing to really scoff that. It's still pretty solid, especially for like the just looking back on Origami King. Just such a weird, weird timeline with that, it gets like a shadow drop trailer and then releases like a month later. Oh, that's true. That was the one. We were like, oh, this is how Nintendo is going to handle game releases, uh, this year, but really they didn't really stick to that to be honest. Yeah, which, you know, it's fine. But yeah, it was definitely an interesting, uh that was that it was an interesting scenario for that game in particular. 1.5 million copies for Zenobia conquers definitive edition is solid. Considering the fact that as he puts it it's a niche I. P. For Nintendo. Um I mean yeah right now it is but I feel like they want they wanted to be mainstream. I think that's obvious. Yeah people I see people like lambasting it all the time on social media. People that has a huge fan base and not almost a huge their famous very loud. Yeah I mean I see a lot of like their defenders are out there. I feel like I feel like it's going to climb its way up to be honest to be a mainstream. I don't know if it will reach its not going to reach the platoon level. Yeah I mean platoon probably platoon is enormous, but I don't know. I think it stands to grow substantially. I mean we just had pirate Mitterrand smash, which you know, smash is a fantastic advertisement for games. Uh, so I think, you know, we could stand to to gain a lot in the coming years. It needs a solid, it needs another solid entry. It does, it needs a solid entry that appeal that like is able to get a big appeal, you know? Yeah, for sure. So because they have what defended Grant's number, Chronicles McConnell's in addition. Great game played it myself. Z. McConnell's X. I know next to nothing about Chronicles two I think got a bad rap when it first came out. But now the time is going on. People look back on that game more fondly again, could that be recency bias as a paramedic or I don't know. But regardless people still like to seem like they like that game and yeah, whatever. I'm assuming they'll be as Big Chronicles, definitely not simply Cardinals three. Yeah. Well bring and who just who knows? But this is the interesting one though. Mario Kart live home circuit sold 1.27 million. What do you think they tend to think about that? Success or failure? When did you first come out? I think october october when it came out 1.271 point 27 million because I was like their big quote unquote holiday release. I think if I remember correctly, I mean it was closer to that time. Yeah, but I'm not sure. I don't know because that seems like that seems like a pretty big investment. It does. I mean you have the cars with the cameras in them and all that. Mhm. I'm not sure if they're okay with that to be honest. Yeah, but I mean this is Nintendo we're talking about so you know that's not me saying like oh 66 digits, what a what a disaster. But you know it's Nintendo, they're shipping out like 30 million copies of of an animal town simulator. So I don't know, I don't think, I don't think that's up to the bar that they probably would have wanted. You know, after the investment they probably made. I'm not saying I'm not saying they lost money but as far as like the Mario Kart name, they probably thought that could propel it to a lot a little bit more. Yeah, I think that's a good that's a good prediction there. I I don't know, I don't think it was up to there to what they thought it was going to do. I don't think they were planning for it to do too much better than it did. I'm not saying like, oh, it's going to shift 10 million units, but I think they would I think maybe around two million, maybe a bit over two million is maybe what they were they would have expected. Yeah, we're on the same levels of paper Mario and well, again, we talked about the clubhouse 51. Yeah, I think it's not really a game though. It's not, it's true. Even still, I think they expected it to do a bit better considering Mario Kart eight is the best selling game on the switch. Uh, you know, then again, there's obviously way less content in that experience than even just in Mario Kart eight. You're really buying it for the novelty. So I don't know. I honestly don't know what they expected. I'm not sure if this is right on the money to be honest, but I feel like they probably expected a bit more. Yeah, we talked about a couple of months ago, but when you're making, uh, when you're, when you're, when you're game sales are increasing by 37% from year to year, you can afford to take some chances. And I think Mario Kart live Home circuit was a chance. And I asked God, I think it missed its window because october november, I don't wanna say it was the toast of the end of Covid, but as far as like the heat of Covid, it was kind of drawing to a close. If this came out in june july august, maybe it's a bigger hit because when it's just, it's the quote unquote new Mario experience and I'm not sure home circuit is, it's a cool concept, but it's like, I think after 20 minutes like, okay, I've maximized this to my full potential to go along with the lab. Oh and home circuit and what On the wells. Nintendo's done as far as like kind of like switch extensions, Not bad in a high percentage, I'm wanting to say at the moment. Anyway. Right, Sorry, I, I got a notification on twitter, but I was gonna, do you remember way back in the ancient times of the Pokemon 25th anniversary uh, when I was still going on, remember how they wanted all those musical artists to do all those things. Oh no, what happened? Well, no, like, oh yeah, I do remember. Yeah, apparently it wasn't Katy Perry one of them. Exactly. There's a new update on that. Uh Katy perry put out a playlist on Spotify and the first letter of each song spells electric soon and then poke them on the official twitter account. Retweeted it and said we can hear the thunder in the distance. Is the pod, is this playlist out? I believe so yes. It's called Monday. It's just called Monday Play list. There's a bunch of songs but they all spell out electric soon. Katy Perry gives me like a lease vibes from universal electric gym lisa lisa. Yeah the electric uh zip striker striker. I definitely agree. I think it looks like looks like I know uh maybe if I cannot get copyright striking we can play with the songs in the podcast. But but the podcast immediately it wasn't like there's like a whole bunch more musicians you're supposed to do that like artists and such. Yeah. The Southerners celebrated the whole year. I don't know I guess that's true. I I didn't realize it would take this long. You know, is it going to take this long for every single other artists that they have to do? This post was in freaking host was in the post february one ready february man. Yeah, but I'm typing Katy perry into Spotify right now online. I don't I don't know, I mean I don't know, I don't know how Spotify works, but the official welcome on twitter seems to confirm it. So we're probably going to be seeing that. I hope they do more with like actually incorporating Pokemon into it then then posted. I'm not saying make a song about Pokemon or anything. I'm saying like do what post the enemy and stuff though. That was cool. So I thought that was cool too. I just wish that like the one song that post did for Pokemon was I only want to Be with you and they incorporated some critique city music into it. I want more. I want more of that was going to say it was like two times in the whole song. I think. I feel like if they're going to do this, they got to do like the whole thing like make the entire background, reading the song all Pokemon music. Tyler. I mean they don't have the money. You have the money to do that, don't they? Sorry. Where do they rank on the uh, on the scale again? I forget fifth uh, behind like one star Wars or something. Hello kitty. Just translate it right now And I know, come on. You know, it was a small anti company actually stop, stop stop cheating a Pokemon. Give us what we want. Give us the critique post Malone. Give us the critique rap battle. Oh my God, please, Katy perry! Oh my God, please. But uh, there's no playlist out. But yeah, you're right, It does spell electric and I just saw it on Spotify myself. I don't know when that's coming out. I kind of lost interest to be honest. Yeah, I mean, hey, it's something that I'm probably still going to tune into would have been a lot of tensions in this episode. We got completely okay, don't let that change. Don't let that straight to let you forget that. They just did absolutely nothing for Zelda's anniversary Zero. They didn't tweet about it, really didn't do anything. E three, They can redeem themselves, but we'll see actually wild anyway, Skyward sword july. But yeah, that's all I have on a big corp talk as far as Nintendo goes. Uh, always nice to spice up a little bit, I believe. Like our third episode, we talked about the switches longevity and we said to like almost two years ago, Oh my God, that it was like, it was like 78 years and already halfway through. We're looking for pictures looking pretty good. I was gonna say our predictions getting there. Yeah, we're looking really, really high right now. But Tyler, I texted, uh, I texted you that I had a bracket. I had brackets too.
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