We’re a month into the second calendar quarter of the year, which means another earnings season has started!
In my largest list yet, above is the current schedule for a variety of public companies across gaming, media and technology spaces reporting fiscal results this month and next. It’s a handy way to keep track of the season, which I’ll update periodically based on new announcements.
There’s also the link below, which goes to a Google Doc displaying the same list for easy access to investor relations websites. I recommend bookmarking one of these, perhaps even both, though I admit I’m a bit biased! It’s the way I keep tracking of everything, so I love sharing it with everyone each few months.
Lastly, I briefly list out three stocks to monitor closely this quarter with some details on their situations. Whether established companies or new listings, Working Casual can cover them all. Which ones made the highlights? Check below the fold to find out.
I hope you and your families are well and on the road to vaccination, if not already there. Be safe!
Nintendo Co., Ltd: Thursday, May 6th
Early in May, Nintendo reports its latest annual results where we’ll hear about hardware, software and mobile results for the full year through the end of March. Last quarter, the Japanese gaming giant raised targets for sales and profit guidance along with Switch hardware units for the year to 26.5 million from 24 million. CEO Shuntaro Furukawa and the executive team are known lately for erring towards conservative guidance, so I expect a beat on all fronts. As it usually does, Nintendo will also share updated lifetime hardware sales for Switch, which will blow past 80 million and should eclipse both PlayStation Portable plus Game Boy Advance lifetime figures, in addition to a variety of major software title updates. In a move much decried by fans, its Mario 35th Anniversary celebration ended abruptly in March with a handful of titles going off market, a timing that’s curiously the same as its fiscal year end date. Combining that boost with steady hardware momentum and software output, it should be the best year for Nintendo in at least a decade.
Capcom Co. Ltd: Monday, May 10th
Yet another Japanese publisher that’s been very active the past 12 months is Capcom, one of the most consistent in the industry in terms of pace and quality of releases. It will also share annual results this quarter in mid-May. The company’s flagship this year so far is Monster Hunter Rise, which launched late in March on Nintendo Switch and surpassed 5 million units shipped in just over a week. Back catalog sales for Resident Evil franchise in anticipation of Resident Evil Village next month plus legacy Monster Hunter World titles along with supplementary launches sprinkled throughout 2020 will drive results to what I expect to be solid growth. Speaking of Resident Evil Village, I’ll keep a close eye on guidance for next year since the first mainline game in the series since 2017 releases during its fiscal first quarter, just before another Switch exclusive in Monster Hunter Stories 2: Wings of Ruin. I’m still maintaining my prediction for a return to the fighting game genre from Capcom as well, so will this be the year?
Roblox Corporation: Monday, May 10th
In one of the most sought-after gaming and tech IPOs this year, Roblox soared well above its listing price during its trading debut in March. The unique gaming platform targeted at a family audience is now trading at a market valuation of over $41 billion ahead of its first public earnings report for Q1, a capitalization comparable to an established industry peer like Electronic Arts (EA). Roblox is a distinct company in the sector, hosting more of a diverse avenue for content creators and game makers than an individual publishing or software development, and it’s available on nearly every mobile or PC device plus Xbox consoles. What it comes down to ultimately is its underlying financials and the ability to support this lofty valuation. In its March prospectus filing, the firm said daily active users rose 85% to 32.6 million and revenue reached just under $1 billion, an increase of 82% in 2020. Downside is costs outstripped sales, which means it’s currently recording a more significant loss than prior years. I’m skeptical of this current market cap given this situation, though I do see future growth potential if it’s able to monetize that growing user base.
Sources: Company Investor Relations Websites, The Sun UK News Company (Image Credit).