The first quarter financial report is in for Nintendo, and it is a mixed bag in terms of its overall outlook.
The bad news is headline catching, as Nintendo is reporting a ¥17.23 billion ($220 million) loss for the first quarter of the year, the third year in a row for losses in the quarter for Nintendo. Thankfully, the net loss is down from last year’s posting of ¥26 billion ($332 million), but it is still not the sunniest outlook overall.
Apparently, a contributing factor, at least according to Nintendo, is the slowdown in 3DS hardware sales again, which only reach 1.86 million units sold for the first quarter. However, the grand total for Nintendo is now over 19 million 3DS machines sold since its launch last year. Nintendo is also boasting about the hardware and software sales of the 3DS, which increased to 162% and 63%, respectively. Of course, last year’s numbers were fairly miserable. All of this is also likely attributed to the price drop of the system itself that has boosted sales. It also is confirmed by Nintendo that they are no longer taking a loss for every 3DS sold, meaning they can start increasing revenue and income for the following year in the handheld market.
Overall, the report does paint a more sunny outlook for Nintendo as a company, which took their first net loss in over 30 years at the end of the 2012 fiscal year. And with the Wii U bring a huge question mark in terms of its overall launch success, Nintendo is likely looking for any good news financially.
Source: Nintendo Co