From a dev post in the forums.... consider that every ball is tracked when fired when reading the below;
Ballistics and Damage model 4.0 To make the gameplay feel real and provide more tactical depth: we will be gradually moving to the final damage model, which has passed several iterations before. To find out how previous systems worked please refer to the Damage 2.0 and Damage 3.0 posts on forums. The new system is in development. Testing of this new model will start by spring of 2015 or earlier.
Key new features Penetration classesPenetration exists now, but needs to be expanded for faster development and additions of new features. It also needs to be improved to allow for more customization of ships and weaponry. Cannons and ships will have a penetration class that will determine the ability to go through the armor. We believe that will provide more tactical diversity to combat. Ship armor will not be unified any longer. There will be weak spots to be exploited. Heavy planking at the waterline will make ship of the line more effective against lower level ships.
Angles and ricochetsHitting a ship at narrow angle will ricochet from the ship hull. Longer guns with higher cannonball velocity will have better chances to penetrate at angles. This will make positioning very important. This feature is completely new and gameplay might change significantly and will require testing.
Exact colliders and positioning of internal modulesWe are moving to the exact collision models that fully represent the shape of the hull. Same will be done with important internal modules. To blow up a bow magazine or break a frontal pump you will need to shoot at the front part of the ship.
Pass through shotsGun ports will be implemented in the damage collider models. If the cannon ball does not hit anything it will pass through the ship and could hit the next target
Crew damageCrew damage will also change significantly as crew will no longer be a unified mass of people. Crew will be located deck-by-deck creating the situations where you destroyed everyone on the top deck leaving intact gun crews on the gundeck. This system also will allow for potential expansions of detailed crew management if the need arise.
Ballistics changesWe were very unsatisfied with the ballistics of carronades and frog like double shot and have reworked the formulas to allow better customization of cannons and fast additions of new features. Reload penalties will be added to certain types of shot. New system could also allow for types of powder charge type weight if this feature is be needed. Gun sights experiments will continue and we will test a couple of implementations of the sights next year.
Carronades will receive long overdue love and will be a formidable close range choice of weaponry.
Feel free to provide suggestions, feedback, and improvement ideas.