Perfect World guides soft earning next quarter..
ValenaHaiko - Heavens Tear
Posts: 35 Arc User
PWRD, which is NASDAQ traded stock for PWE, has been slaughtered by 25% today, as even though their first quarter sales topped analysts, but the guidance for the second quarter is soft...
Do they predict that PWI is going down hill? And all those full month of pack sales is indicating that player's appetite for charging credit card is falling?
Would there be 2 months of pack sales now to crank up revenue?
b:laugh
Do they predict that PWI is going down hill? And all those full month of pack sales is indicating that player's appetite for charging credit card is falling?
Would there be 2 months of pack sales now to crank up revenue?
b:laugh
Post edited by ValenaHaiko - Heavens Tear on
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Comments
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Lets not give them any ideas...[SIGPIC][/SIGPIC]0
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ValenaHaiko - Heavens Tear wrote: »PWRD, which is NASDAQ traded stock for PWE, has been slaughtered by 25% today, as even though their first quarter sales topped analysts, but the guidance for the second quarter is soft...
Do they predict that PWI is going down hill? And all those full month of pack sales is indicating that player's appetite for charging credit card is falling?
Would there be 2 months of pack sales now to crank up revenue?
b:laugh
Oh please no....b:cry[SIGPIC]http://pwi-forum.perfectworld.com/image.php?type=sigpic&userid=5843465009&dateline=1276709082[/SIGPIC]
~Made by the amazing Forsakenx~
"Hogwarts is full of Communists?!"--Lingie
"No. I'm actually the reincarnation of a God. Retired. Hi."
"My life is one whole WTF moment."0 -
I predict packs will be an everyday thing now. Everyday, there will be at least one kind of pack in the cash shop.0
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While PWI may be their flagship game, keep in mind that:
1) PWE has 7 games in the hopper, not just PWI
2) short-term movements in the stock market (speculation) are seldom indicative of a company's long-term prospects (valuation)
Nothing to be in a spin about really. b:pleased0 -
I made this thread not to be a discussion about the investment in the stock. But just to kinda see how the company is going to drive the game.
Obviously, as many has realized, the GM nor this forum will drive what's going to happen to this game, but the financial decision of the company is.
Yes, PWI is not the sole revenue source, but it's the largest revenue they get from. Looking at what's been happening to their earnings, and what had happened in the past:
1. There was no packs whatsoever when this game started.
2. They started with anniversary pack, that was suppose to be a short period, then it was extended, then it came back after 2 weeks being taken out.
3. Then they started with 2 weeks sale of the packs...
4. Then it is a month (as just happened last time).
It has been a reality that many of the occasional cash shoppers had been dissatisfied with the high gold prices, and they stopped cash-shopping, the main driver for the revenue nowadays are those pack gamblers.
There are 2 things that they could do to boost their revenue:
1. Simply have to do pack sales more often.
2. They have to crank up new products to compete with the market.
For those that hope that they will expand this game or make it better, you can forget it. There is just simply much less return in spending their dollars in making this game better, than to make new products.0 -
Sadly PWI was never meant fo the long run. Notsure if you're noticed, but they dont fix bugs, they never balanced classes, they add uninteresting crappy incomplate content (just to say they're doing anythng at all) and have little interest in keeping the gamers entertained. PWI is going downhill, as its been for several months. Only reason why packs sold alot is cuz players thought with all those end-game gear they could build up for upcmoing challenges. Challenges that never came and most likely never will.
Enjoy the game as it is or bail out as it wont ever get any better. Even though they could make this a pretty great game, history has shown they're unwilling to do so.PWI:
"Free to play. Pay to win"
[SIGPIC][/SIGPIC]0 -
I know a few people that used to be heavy cash shoppers that have recently stopped charging. Why?
Lack of bug fixes, lack of new content, removal of existing content (ex, weekly tournament) and just signs that the developers dont care about the game.
These factors are making some people that used to be heavy spenders stop charging, in order to show that they don't support the way the game is being run.[SIGPIC][/SIGPIC]
"My understanding of women only goes as far as the pleasure. When it comes to the pain, I'm like any other bloke - I don't want to know."0 -
I said it before and I'll say it again:
PWE management just cares about the money. Fixing bugs, adding content, keeping customers happy...all costs money. They'd much rather pocket that money than spend it on us or the game. I agree with an above poster in that PWI was not made to last, nor do I see it lasting passed this year. Once Forsaken World comes out, this game will be put on the back burner and will be left to implode upon itself.0 -
ValenaHaiko - Heavens Tear wrote: »PWRD, which is NASDAQ traded stock for PWE, has been slaughtered by 25% today, as even though their first quarter sales topped analysts, but the guidance for the second quarter is soft...
Do they predict that PWI is going down hill? And all those full month of pack sales is indicating that player's appetite for charging credit card is falling?
Would there be 2 months of pack sales now to crank up revenue?
b:laugh
Doubtful.
I suspect that the business model for each of PWEs games is that they have several months of profit loss when they are first released while the player base is built up and then they can release the profit making packs, charms, what have you, that the obsessive player needs/must have.
BoI was just released, FW is coming up (er, sometime....haven't been paying attention to that one) and HotTK is going beta in August. Since those have been or are in heavy development they're nothing but loss.
If anything, once those games are released and start supporting themselves (say, this fall), we should start seeing a slight drop in things like pack sales, as PWI will (hopefully) no longer be the main bread winner.
As for PWI profits in itself, most of the profit from the game would have been seen in first quarter, after the release of Rising Tide. There hasn't been a big content release recently to spark fresh interest/new players, so its natural that profits from PWI alone are somewhat flat through 2nd quarter.[SIGPIC][/SIGPIC]0 -
ValenaHaiko - Heavens Tear wrote: »It has been a reality that many of the occasional cash shoppers had been dissatisfied with the high gold prices, and they stopped cash-shopping, the main driver for the revenue nowadays are those pack gamblers.
If Gold prices are high, people who put real money into the game get more value for their dollar. For example, an occasional cash shopper who used to buy a Gold charm every couple of weeks used to pay $4 for the charm, and that same occasional cash shopper today still pays $4 for the charm. So nothing has changed for them in terms of item pricing.
However, they now also have the option of paying $4 and getting about 1.4 million, versus before when they used to get only about 500k for $4.
I realize that as a fellow forum junkie, we all need to band together in our hatred of high Gold prices, and that we all must agree that they are bad bad bad and bankrupting the game, however, as an in-game merchant...
...money talks...
And frankly what it's telling me is that as Gold prices have gone up Gold sales have sky-rocketed. I can easily fill buy orders for 700 Gold in one single day, and that's when Packs are NOT on sale.
Packs or no Packs, the game certainly appears to be raking in cash far faster than it was last year at this time. PWI is a business, and business is good.[SIGPIC][/SIGPIC]
PWI Merchanting Guides: warrenwolfy.wordpress.com0 -
WarrenWolfy - Sanctuary wrote: »and business is good.
Though apparently not as good as last quarter. b:victory
As an addendum to my last post, its worth keeping in mind that PWI is only a small slice of PWRD, and for all we know the loss may be coming entirely from the Chinese market and has nothing to do with the North American/Malaysian/European markets. The outta control Chinese gold sellers that are causing the 20% drop in DQ prices may be the cause for drop in profits for all we know.
Basically, trying to predict PWI game behavior from PWRD stock is something that's going to be very difficult, at best, for anyone outside of the PW hq marketing department.[SIGPIC][/SIGPIC]0 -
A quote from the Earnings Announcement under Business Outlook:
In order to lengthen the life cycle of the Company's existing games to maintain sustainable growth, the Company decided to decelerate some of the in-game promotions and monetization activities in the second quarter to further nurture the games and grow user base.
So between now and the end of June, we won't see another pack sale? b:chuckle0 -
In order to lengthen the life cycle of the Company's existing games to maintain sustainable growth, the Company decided to decelerate some of the in-game promotions and monetization activities in the second quarter to further nurture the games and grow user base.
I wonder if we'll see a forum ticker-tape-parade, now that the company has decided to do what everybody keeps asking them to do?[SIGPIC][/SIGPIC]
PWI Merchanting Guides: warrenwolfy.wordpress.com0 -
In order to lengthen the life cycle of the Company's existing games to maintain sustainable growth, the Company decided to decelerate some of the in-game promotions and monetization activities in the second quarter to further nurture the games and grow user base.
If they do this. They will QUICKLY learn how much they have pissed off even the very dedicated players.
To which, if they don't do something to ease the growing grudge, hatred, and aggrresion, they will forever be screwed in how their cash influx is.
So what they need to realize is the following:
PWI = Cash. (<---Done)
PWI = MMORPG (<---Done)
PWI = MAJOR Playerbase (<---only close to done thanks to spoons >.>)
PWI Playerbase = pissed (<----not done)
PWI Playerbase pissed = General Managers (GM's) of PWI not doing ANYTHING to help the community (<----NOT done)
If they can realize those things above, then they will be able to make this game a truely superior game to all other games for they will have the backing of the Player base, the playerbase's Credit/Debit Cards, and their own cash.
But enough of me rambling....back to topic <.<0 -
Absoluth - Heavens Tear wrote: »Sadly PWI was never meant fo the long run. Notsure if you're noticed, but they dont fix bugs, they never balanced classes, they add uninteresting crappy incomplate content (just to say they're doing anythng at all) and have little interest in keeping the gamers entertained. PWI is going downhill, as its been for several months. Only reason why packs sold alot is cuz players thought with all those end-game gear they could build up for upcmoing challenges. Challenges that never came and most likely never will.
Enjoy the game as it is or bail out as it wont ever get any better. Even though they could make this a pretty great game, history has shown they're unwilling to do so.
WHOOOO! That's the spirit.0 -
It is only 25% just some jitters over the Euro economy and what is happening Thailand and it isn't the Dow Jones.Looking for a decent casual understanding Faction.0
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LifeHunting - Heavens Tear wrote: »If they do this. They will QUICKLY learn how much they have pissed off even the very dedicated players.
Wait so if as the post you quoted hints at they stop major CS sale after major CS sale (ie: packs ), and focus on increasing the player base .. players will be peed off ?0 -
mah brain iz bamboozled!!!!!!b:sad[SIGPIC][/SIGPIC]
Semi Retired Psychic of Radiance faction//Entering full retirement upon the release of ĠuildẂars2 or an otherwise drastic change in PWI management.
"Exploiting a glitch is a violation of the ToS under User Conduct:
(l) Using or exploiting any bugs, errors, or design flaws to obtain unauthorized access to the Service or to gain an unfair advantage over other players"-frankieraye ............guess he changed his mind.0 -
when i click on a ranom person that has this godlike gear +10 and 12 gamble material..i ust shake my head at the failness i see.and oh MystiMonk u lvl slow cause u have to many alts taking up your rl time.,0
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Thelas_Carr - Sanctuary wrote: »While PWI may be their flagship game, keep in mind that:
1) PWE has 7 games in the hopper, not just PWI
2) short-term movements in the stock market (speculation) are seldom indicative of a company's long-term prospects (valuation)
Nothing to be in a spin about really. b:pleased
Those numbers are for the global company with the headquarters in China, not only for PWI, which is only a subsidiary of the mother company.
But PW stock value is continually going down since november 9, 2009, when it peaked at $49.08, with the usual up and down of course. But the trend is going downward. From 49.08 to 24.60 in 7 months is quyite a drop.
I guess investors don't expect a good return for their money after seeing the numbers in the report and are selling their stocks to get rid of it.[SIGPIC][/SIGPIC]
Thanks Brit for the sig b:laugh0 -
im hoping for more packs tonight after maintenance! i want to sell my gold!I Want To Eat Estasi & Send Her Into Extasy!! b:victory
May The Force Not Be With You!0 -
nimh88 wrote:In order to lengthen the life cycle of the Company's existing games to maintain sustainable growth, the Company decided to decelerate some of the in-game promotions and monetization activities in the second quarter to further nurture the games and grow user base.Axemanek - Heavens Tear wrote: »im hoping for more packs tonight after maintenance! i want to sell my gold!
I'm sorry to sound cold about this, but you act as if you're entitled to those grotesquely inflated prices we see whenever packs appear. You probably don't remember the days when gold was at a sane price... 120k at most. Is that a nightmare for you?
Just be happy that gold is high enough as it is. It's far too inflated already. When you want to sell me gold at 100k, let me know.LifeHunting - Heavens Tear wrote:If they do this. They will QUICKLY learn how much they have pissed off even the very dedicated players.
Oh man... it's been a year since we've seen normal gold prices.
... ._.[SIGPIC][/SIGPIC]
Yes, I'm still a stubborn holdout in favor of the old game. Haters gonna hate. ;]
Other Active Characters:
LigerKing (Barb), Girasole (BM), Shamsheer (Sin), ArborSoul (Mystic).0 -
Blancheneige - Heavens Tear wrote: »Those numbers are for the global company with the headquarters in China, not only for PWI, which is only a subsidiary of the mother company.
But PW stock value is continually going down since november 9, 2009, when it peaked at $49.08, with the usual up and down of course. But the trend is going downward. From 49.08 to 24.60 in 7 months is quyite a drop.
I guess investors don't expect a good return for their money after seeing the numbers in the report and are selling their stocks to get rid of it.
I saw this before and actually posted it somewhere else. It is interesting to note that this drop began after the first pack sale.....hmmmmmmmm......coincidence?
could it be possible that the packs (e.g. pay to win mode) caused or at least helped the nearly 50% drop and steady continual decline?[SIGPIC][/SIGPIC]0 -
Miugre - Heavens Tear wrote: »I'm sorry to sound cold about this, but you act as if you're entitled to those grotesquely inflated prices we see whenever packs appear. You probably don't remember the days when gold was at a sane price... 120k at most. Is that a nightmare for you?
Oh man... it's been a year since we've seen normal gold prices.
... ._.
And who are you to say what price per gold is normal or abnormal? Gold sellers want the most for their gold and players are willing to pay that price.[SIGPIC][/SIGPIC]
Making "non-trash-talkers" show their true color. RAGE ON! b:laugh0 -
RoidAbuse - Sanctuary wrote: »And who are you to say what price per gold is normal or abnormal? Gold sellers want the most for their gold and players are willing to pay that price.
It just gets me a little bit when people act entitled to certain prices. I've seen at least half a dozen threads/posts in the last couple months which basically boil down to "BRING PACKS BACK I CANT SELL GOLD FOR 500K QQQQQQ." -_- It all just seems greedy, really.[SIGPIC][/SIGPIC]
Yes, I'm still a stubborn holdout in favor of the old game. Haters gonna hate. ;]
Other Active Characters:
LigerKing (Barb), Girasole (BM), Shamsheer (Sin), ArborSoul (Mystic).0 -
Blancheneige - Heavens Tear wrote: »Those numbers are for the global company with the headquarters in China, not only for PWI, which is only a subsidiary of the mother company.
But PW stock value is continually going down since november 9, 2009, when it peaked at $49.08, with the usual up and down of course. But the trend is going downward. From 49.08 to 24.60 in 7 months is quyite a drop.
I guess investors don't expect a good return for their money after seeing the numbers in the report and are selling their stocks to get rid of it.Miugre - Heavens Tear wrote: »It just gets me a little bit when people act entitled to certain prices. I've seen at least half a dozen threads/posts in the last couple months which basically boil down to "BRING PACKS BACK I CANT SELL GOLD FOR 500K QQQQQQ." -_- It all just seems greedy, really.
Yet you seem to realize that gold prices are ENTIRELY set by the cooperation of sellers and buyers... if you realize this and you still whine about greedy players on either side, then you ARE one of those greedy players. Those who want to buy far, far below the market floor and those who want to sell far, far above the market ceiling are BOTH greedy... but they're not going to make an exchange and are thus just irrelevant to the overall market. Plenty of gold changes hands every minute so the market price is balanced by supply and demand.
It's sort of ironic you claim those wanting to sell for 500k QQers, but don't apply the same moniker to those wanting to buy for 100k. b:chuckle0
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