Nintendo Falls Short Of Wii U and 3DS Sales Goals, Ends Fiscal Year With A $229 Million Loss

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News Posted: Wed, May 7 2014 12:05 PM
Thank you Nintendo, but your profits are in another castle. Such is the paraphrased message Nintendo's accounting team had to deliver after going over the numbers for Nintendo's fiscal year ended March 31, 2014. Sales for the year totaled 571.7 million yen (around $5.6 billion), down from a revised forecast of 590 million yen (~$5.8 billion). Back in April of last year, Nintendo had optimistically forecast sales of around 915 million yen (~$9 billion).

The end result is that Nintendo posted a net loss of 23.2 million yen, which works out to around $229 million in U.S. currency. On the bright side, Nintendo had previously forecast a net loss of more than $245 million, though there's not much to celebrate when you look at the past three years and see a $1.18 billion loss.

Wii U

Nintendo blamed its poor performance on lower than expected Wii U and 3DS console sales.

"The net sales were lower than expected due to the fact that the sales units of the Nintendo 3DS hardware, and the Wii U hardware and software did not reach their expected levels," Nintendo said in a statement. "The operating loss increased from the forecast due to the increase in inventory write-down and research and development expenses compared with the forecasts in addition to the decrease of net sales."

Despite continued optimism from Nintendo, there lies a tough road ahead. The Wii U is no longer the only next-generation game console on the market -- it's now facing competition from Sony's PlayStation 4 and Microsoft's Xbox One systems, both of which launched in November of last year. Furthermore, Nintendo recently said it doesn't have any plans of releasing new hardware at this year's E3 convention, instead choosing to rely on new games like Mario Kart 8 to dig the company out of a hole.

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well, people are getting tired of the same games over and over again

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lol explain COD. If you actually play the games, they are awesome. People that play the Wii U know what's up. It's not the same games over and over...you should actually play them. They provide a unique experience every time.

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every cod has been rubbish since cod waw, I had a wii and sold it 4 months after I bought it, yeah games are great for a few days, then they are boring

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wii's suck

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mad on every comment lol

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The problem is not that games will bore you out at a certain point, it is the challenge to find a game that never gets bored.

For me iy would be Cities XL Platinum.

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They should stop region locking all of their games. While I was in Japan, I couldn't buy any games for my 3DS, so I stocked up on PlayStation games since they aren't region locked.

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All I have to say is I don't have an Xbox ONE or PS4 but I have a WiiU and will get a 3DS soon. #NintendoFTW

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Sad to think that nintendo is dead.

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Bet I can guess their next game. Mario something?

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Maybe the standard thinking of Nintendo Execs will finally change. Or maybe the Execs will change. For years the average user knew Nintendo was being driven into the ground by refusing to listen to gamers. Now the numbers are showing what we already knew. The question is, is it too late?

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bas tastes in gaming then sry..so your gonna refuse great games that will have soon ps4 and xbox for a wii u?? wii u is embarrising

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You know what is embarrassing? The fact that you spelled embarrassing wrong XP

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BobHorton replied on Mon, May 26 2014 6:44 PM

Nintendo will be fine. They're just terrible at becoming complacent. The Wii and the DS were huge successes so their sales goals for the new consoles were aiming for similar heights.

Well sadly, it doesn't work like that. You need to keep making exciting things, there's only so much you can do with reputation.

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