Sales figures, studio acquisitions, accounts, developer transfer window, investments… if these topics interest you, you’ve come to the right place. We offer you an update on the past week’s business news.
- Nintendo: reorganization in Europe, news with DeNa
- Activision Blizzard: lower results during surveys
- Bandai Namco is revising its goals upwards thanks to the Elden Ring
- Take-Two: a mixed record, but GTA V continues to impress
- Short in the week’s news
- Our other business articles of the week
Nintendo: reorganization in Europe, news with DeNa
This week we learned that the Nintendo Switch has passed the milestone of 114 million units sold, that OLED now led sales, which are beginning to decline. In short, Nintendo is doing very well and is definitely starting to prepare for the announcement and launch of the next machine.
By the way, Mario Kart 8 Deluxe approaching 50 million copies sold worldwide, and Animal Crossing: New Horizons was named the best-selling game in Japanese history. All this data can be found in our dedicated articles that we have put down for you and let’s take a look at Nintendo’s situation in Europe. On the sidelines of the release of its results, the firm announced a reorganization of its European divisions.
Concretely, it means that Nintendo France, Nintendo Benelux and Nintendo Iberica will “disappear” in favor of Nintendo Europe, led by Stephan Bole, between 2023 and 2024. The news caused a stir, especially since Nintendo did not detail the consequences of these disappearances, contenting itself with saying that the aim was to improve commercial efficiency and to speed up decision-making. But don’t panic! Contacted by Gamekult, Nintendo France indicated that no office was closed and that employees do not have to pack their boxes. They all stay in place, stay just employees of Nintendo Europe AGand avoids having to move to Germany, where Nintendo Europe’s offices are located.
The activities of these three merged companies will continue in each of the newly created branches.
In the title we told you about news related to DeNa and Nintendo. During the publication of the financial results, Nintendo announced that a further step had been taken in the “digitalization” of its activity. Indeed, Nintendo and DeNa (the manufacturer’s mobile partner) have indicated that a new subsidiary has been created by the two entities. it is Nintendo Systems, 80% owned by Nintendo and 20% by DeNA. The purpose of this new device is to “To strengthen the digitization of Nintendo’s business, the joint venture will focus on research and development as well as the creation of value-added services to strengthen Nintendo’s relationship with consumers.” The work that was about to begin 3 April 2023 under the leadership of Tetsuya Sasaki, will focus on the Nintendo account. This account will move from Switch to the new console, so it is important for the company to strengthen this aspect.
Activision Blizzard: lower results during surveys
While waiting to know about the competition authorities will or will give permission for the takeover of the company of Microsoft, Activision Blizzard King continues to publish its financial results. Like so many others, the company therefore presented its results for the quarter ending 30 September. They therefore do not take into account the performance of Call of Duty: Modern Warfare 2 (2022) and Overwatch 2, which is a hit. The first reached billion dollars generated in 10 days, while the latter is said to have attracted more than 35 million players. Enough to herald very good results for the next quarter, but in the meantime, declining results have been announced. Revenue fell by DKK 300 million. compared to last year, corresponding to 1.7 billion Euro.
On his side, operating profit increased from 822 to 484 million euroswhile the net result is DKK 424 million. against 637 million last year. Nothing to worry about for the shareholders, who know full well that the falling figures will raise the bar. Because on the sidelines of Call of Duty Modern Warfare 2 and Overwatch 2, Activision Blizzard is preparing to launch a new expansion for World of Warcraft and Call of Duty Warzone 2.0.
where things could getting complicated is on China’s side. The distribution partnership between NetEase and Activision Blizzard ends in January, and the company is headed by Bobby Kotick I’m not sure if I can renew it. Finally, note that out of 368 million active users, 200 million are on Candy Crush, which 10 years after its launch continues to bring in a lot of money.
Bandai Namco is revising its goals upwards thanks to the Elden Ring
December 8 Next, during the Game Awards, there’s a good chance a Bandai Namco representative will take the stage to claim the title of Game of the Year. The things are obviously not acquired yet, but the Elden Ring is one favorite. In the meantime, the publisher has published its results for the first financial semester, and we can say that all is well. The situation is so favorable that the company has raised its targets. For the period from April to September, Bandai Namco announces a turnover of 3.2 billion euros against 2.6 billion last year, an operating result that almost doubles by establishing itself to 1.1 billion euroswhile the net profit increases from DKK 270.9 million to DKK 456.1 million.
Unsurprisingly, and putting aside Dragon Ball, which remains the flagship license, it is Elden Ring and its 16 million copies sold that allows the company to achieve such results, followed by titles such as JoJo’s Bizarre Adventure: All-Star Battle R and Digimon Survive. In total, Bandai Namco has distributed over 24.5 million games worldwide, and expects to have sold 46 million at the end of the financial year. Based on these results, the company has adjusted its objectives. Now the company expects to announce a turnover of 6.4 billion eurosan operating profit of DKK 876 million net profit of DKK 650 million for the entire financial year. What touches the record, established during the previous fiscal year.
Take-Two: a mixed record, but GTA V continues to impress
This is the great paradox of certain accounts: we can go very well, and show results in sharp decline. This is the case with Take-Two Interactive, which suffered heavy losses in the quarter ended September 30. The turnover, at 1.4 billion, has increased, but the operating profit is -252 million euros, while the net profit goes from +10.2 million to -256 million. And yet all is well. In reality, these colossal losses are explained by the gradual digestion of the acquisition of Zynga, which cost Take-Two $12 billion. As indicated in the balance sheet, everything is going well:
We continue to make excellent progress integrating Zynga, and we remain very optimistic about the great long-term growth potential of the mobile industry, which is expected to reach more than $160 billion in gross revenue over the next four years.
The words are clear, mobile is a priority for Take-Two, which will not neglect large productions. What emerges from this balance is the enormity growth in revenue in the game. According to the data provided, these recurring expenses (in-game currency, DLC, in-app purchases and advertising) have increased by 95% and now represents 79% of revenue Overall. At the end of the financial year, Take-Two Interactive was to announce a revenue approaching 5.5 billion eurosaccompanied by a net loss of DKK 630 million.
On the gaming side, the data provided is astounding, as is often the case when it comes to Grand Theft Auto V or Red Dead. Take-Two proudly announced that GTA V had crossed the crossbar of 170 million copies distributed worldwide, integrated into a total of DKK 385 million for the franchise. NBA 2K continues its journey with an episode 2K23 already distributed to 5 million units, and a franchise, accounting for 130 million units distributed. To complete the podium, let’s add Red Dead, med second opus now sold 46 million units, out of a total of 70 million for the entire license. Behind these three monsters we find Borderlands with 16 million copies for 3, 77 million for the Civilization franchise with a total of 63 million games distributed, and the Bioshock license, which accounts for 41 million copies shipped.
Short in the week’s news
- 35 million players have launched Overwatch 2 since its launch on October 4.
- Animal Crossing: New Horizons has been created the best selling game in history in Japan. It surpasses the first generation of Pokémon.
- Roblox revenue increased 2%, but losses for the quarter amount to 300 million
- riot will edit even League of Legends and Teamfight Tactics in Southeast Asia.
- Ubisoft repay pre-orders for the remake of Prince of Persia: The Sands of Time, but the project is not not cancelled.
- Three former members of ZA/UM (Disco Elysium), take the new shareholders to court for wrongful dismissal and fraudulent takeover.
- Remedy revenue up 7% despite underperforming Alan Wake Remastered.
- 10 million players have played Death Stranding.
- Lionsgate plans to develop a AAA based on the John Wick license.
- Call of Duty Modern Warfare 2 crossed the billion mark generated in 10 days.
- The Project CARS license is dead. EA has canceled ongoing work.