Submitted by zeal0us 244d ago | news

Nintendo posts $97M quarterly loss, despite Mario Kart 8 racing off shelves.

Mario Kart 8 enjoyed a great attach rate with shipments of 2.82 million by the end of June, but the vast majority of its success can be attributed to existing Wii U owners and not new buyers. Nintendo shipped 510,000 units of its home console across April to June, a quarter in which the company endured a 9.924 billion yen net loss, which converts to $97.2 million. (Mario Kart 8, Nintendo, Wii U)

Credit url: nintendo.co.jp
ritsuka666  +   244d ago
Mario Kart 8 enjoyed a great attach rate with shipments of 2.82 million''

Really impressive numbers considering the poor install base of WII U.
scissor_runner  +   244d ago
The new building is done but the r and d for the unified os and system must still be effectively lowering their earnings.

They may hold off on buying companies out for a while. Some of these companies have rotten eggs still in their ranks.

What's good is the games are coming. Sells might not have jumped yet Xmas may be big for them this year. The hype is dying off for the other consoles and Nintendo has a solid list.

Monster hunter
Wii fit u
Wii sports club
Mario 2 and 3d
Along with Lego, deus ex etc should prove to be long burn games with continued sales.

Bayo 1/2
Along with some indies will finish out this year.

Then you have rpg heaven in x and zelda coming in 2015. A possible starfox and splatoon.

The other question is when does the next handheld drop and will it be some sort of hybrid.

Also what is the forecast for japan's financial issues. Better yet when will that get better as that could be effecting sony also.

Otherwise the lost is falling and they still have enough money to keep doing the collaboration games and release other plans.

The toy line is going to be interesting though.

I think high end gaming is going to go vr and things are not looking good for most 3rd party studios next year. Hopefully they all see watch dog or gta 5 numbers they will all need it.
Concertoine  +   244d ago
Last year they didn't have much appeal outside of families and such with Wii Party U and 3D World, but this year they have hardcore games like Bayonetta 2 and Xenoblade and Fatal Frame which is uncharted territory regarding the system's appeal, so i think it will sell well in Japan especially this holiday.

If they can run commercials around the holidays on mainstream networks showing the family appeal and place ads on game-centric sites and youtube channels showing off the hardcore games then they will have maximized their potential, plain and simple.
Knushwood Butt  +   244d ago
There is a really small software library for the Wii U. Why is it impressive that Wii U owners pick up Mario Kart, which is the biggest release for months? There are no other Wii U software releases to compete with it. It's not like Watch Dogs Wii U version is eating into its sales or anything.
scissor_runner  +   244d ago
Actually people think watch dogs sucks.
Mario kart has proven game play that people like.

There is literally nothing I want to play on the other systems. Pc yeah I got a list.

I have a list of 20 games along with some old wii gems on the wiiu and it looks like I'm buying almost every thing that is coming out this year from nintendo. They just have a different style.
MotherLight  +   244d ago
This is apparently why they are delaying Captain Toad in EU. Sucks.
JuleyJules  +   244d ago
At least it will be a big game in January that way right after Christmas. Better January than February or March like it was for DKC:TF this year! 3 months to wait between SM3DW and DKC was ridiculous!
MotherLight  +   244d ago
True, I just hate delays in general or when certain places don't even end up getting the game at all after it was announced they would.

Would love for everyone to get it at the same time as it was originally planned but it seems to be a trend lately with a lot of games, happens to every territory almost.

Not that I don't understand why it happens, just wish it didn't is all. Luckily, yes, there are plenty of Wii U games to keep people busy until then so it's no big deal and thankfully it isn't a huge delay.
DonDon  +   244d ago
Yamouchi was prez for 3.5 generations at Nintendo. Maybe Nintendo should use that as a general rule and the chair should ask Iwata to swap places with someone who has new and fresh ideas. I think Nintendo lost more core fans since Iwata's been prez. They gained a truck load of casuals and children, but even they've moved onto phone games and kinect.
thehobbyist  +   244d ago
Nintendo doesn't have a single mobile game and Wii U has minimal "Motion Controls(I hardly think a gyroscope is motion controls)"

Fail troll 0/10
Concertoine  +   244d ago
I really don't get the unwavering love for Yamauchi. He was losing ground faster than Iwata, and was a stubborn dick if i'm honest. If he was president in the modern internet sensationalist world we live in, the press would rip a lot of his comments apart. The N64 is basically the root of a lot of problems within the company because of the cartridge format and its effect on that system's ability to attract consumers and developers.

Im not saying Iwata is necessarily better, but Yamauchi was no genius either. He was just there at the right time and made a few ballsy decisions that payed off, then everything after the SNES was a downward slope.
randomass171  +   244d ago
@Concertoine I'm not sure I get it either. DonDon and a couple of others said they wanted Nintendo stock to go back to the Yamauchi family without much regard for whether or not any of them know anything about gaming. If Iwata was to give his position to someone else I would want it to be someone like him who is close to game development like Sakurai or someone like him. Yamuchi's era with Nintendo ended on a low point for the company and Iwata gave the company a lot of success with Wii and their DS line. Firing him really won't really guarantee a better Nintendo and it can even lead to a worse one.
wonderfulmonkeyman  +   244d ago
A bad thing, but at least it's not worse.
The wii u is selling at a profit now, for one thing, and their E3 raised interest in the system by quite a bit.
randomass171  +   244d ago
Wii U only recently went from around half of the Xbox One's numbers to just about the same amount. They're lucky to be even there IMO. If Nintendo can keep momentum ten they can at least outsell Xbox One over their life times. As I've said before though this console generation will pretty much belong to PS4.
Dunban67  +   244d ago
Please look at Iwatas statement re the Wii u in the investor Q and A- the Wii u is NOT selling at a profit - only the remaining inventory from last fiscal year are selling at a profit because the losses were written off last year - any Wii u s manufactured and sold this year are done so at a loss
Chrono  +   244d ago
All because of U.
LOL_WUT  +   244d ago
And Wii ;)
DirtyPimp  +   244d ago
wish the best for nintendo
arkard  +   244d ago
Que the doom articles.
Gh05t  +   244d ago
Not like it is unwarranted, posting losses again and again.

I'm not one that says Nintendo is going anywhere but this isn't good news and there hasn't been a whole lot of good news (fiscally) for Nintendo in a while so it only perpetuates the ideas that there is a problem, that if something doesn't change it will happen.
thehobbyist  +   244d ago
These losses are less than their last set of losses and this is the first time they're encountering losses in over a decade.

The doom articles are unwarranted.
Gh05t  +   244d ago
Maybe you are reading something I am not but I went strait to the investor relations section and financial highlights and they go back to 2011 and its defiantly not all gains so I don't know how this is the first loss in a decade when 3/5 years over all its been losses.

they are also net asset less (worth less) than they were 5 years ago.

Gemmol  +   244d ago
@ghost did you forgot what came out in 2011, and was getting ready to come out in 2012, its either you didnt think before you post, or you was trying to troll, lets hope its the first choice.....before the 3ds and Wii U, Nintendo never sold at a lost, they went and stupidly following Sony and Xbox, where you make a product and later on make profit......Gamecube never lost a profit since it came out, let me post you a link since you like to post a link...... http://gimmegimmegames.com/...
mikel1015  +   244d ago
Much better in comparison to last year. They're on their way to a recovery. Let's hope that the next quarter improves now that it didn't have the extremely low sales of April and May to drag it down.
Dunban67  +   244d ago
Last quarter Mario Kart accounted for aprox half thier software sales

What games this quarter are going to "carry the load" and make it a better quarter for this one?

Nintendo s numbers were very bad this Q- and the trends are not looking good either-
GamingSinceThe80s  +   244d ago
They lose $97 million and people wonder why all we got only digital rewards for earning gold and platinum this year.We are lucky they have any kind of rewards program at this point.
mcstorm  +   244d ago
Its down from last year and as long as the loss carrys coming down Nintendo will be ok. The WiiU and 3DS are 2 great consoles and have a great line up of games now too. Nintendo need to start shouting about them and im sure they will soon be back in the +
danny818  +   244d ago
that sux... but they will recover forsure
Paprika  +   244d ago
Such a shame, Mario kart sold great, they need 2 or 3 titles between q1/2 to sell as well as that, and a strong lineup for the Christmas period. They will need a few new ip's quite soon. They will survive on what they have for sure, Zelda will be huge, smash bros too! But I wish for a focus on a new SNES era of epic rpg's, possibly a new console pokemon game... possibly an mmorpg!
Fishermenofwar  +   244d ago
My daughter stole my SNES from me and won't return it along with Final Fantasy 2 and Chrono Trigger
Gh05t  +   244d ago
Can you blame her? Those are two great games.
Paprika  +   244d ago
Haha awesome, loved my SNES! Wii need 'we lol' a new wave of just simple, artistically beautiful rpg's again. Isn't there a dragon quest mmo on Wii u actually?
Gh05t  +   244d ago
I would love to see a Pokemon console game and if they made another Mario RPG game I would love that too. I was also thinking a cool game like a Mario Tactics style would be sweet since you have all the characters you would need in the Mario Universe. Also an RPG/Tactics game with a bunch of the characters from Smash Bros would be pretty awesome too (may be a Licensing Nightmare though). I dont own a WiiU but if they started releasing games like that I would be hard pressed not to find a reason to pick one up (Assuming the WiiU screen controller was optional).
Paprika  +   244d ago
Yeah. I'd love a pokemon mmorpg on the wiiu. Also a new f zero and wave race would be welcome titles! Oh, and super Mario 64HD would be epic! Gotta love the potential of the wiiu!
AllAboutGaming  +   244d ago
Is Nintendo selling the Wii U at a loss? Does anyone know? Seems like they should make a healthy profit on each console based on the tech inside.
InTheLab  +   244d ago
They are not making a profit on each sold. They need to SELL one additional game to make money. The problem is, they bundle every console and those still aren't selling. Why would a kid's mom buy an additional game if it comes with two or three....

I believe they were making money back at launch but after the price drop, they need software sales to produce a profit.
deafdani  +   244d ago
As far as I know, that's old news. That was at launch. The Wii U has been profitable for a while now, in the sense that each Wii U sold posts a small profit for Nintendo. But they still haven't sold enough to make up for all of their operating losses, so they still posted a financial loss.
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Gemmol  +   244d ago
That was a while back @inthelab, as of the last earning reports, Wii U are sold as profit now, and this is why the loss this time is much less from the last earning report. The loss will keep going down so it seems next earning reports will show a small profit
randomass171  +   244d ago
@deafdani But Wii U also had a price drop so there is no way to be totally sure about how profitable the console is. Although I think we can assume that one or two games sold puts them at a profit though.
MSBAUSTX  +   244d ago
Gemmol is right. They were losing with it initially but now there is a profit for each unit sold. Couple that with the hard hitting tiles coming the rest of this year and next, Nintendo will start seeing the loss cut down a lot over the next year. Also there are games that everyone wants that have yet to be announced. Nintendo made it abundantly clear in their stream at E3 that they have heard our voices crying for a new Metroid game by making fun of the guy asking for one. They will release a new star fox, Metroid, and a new Zelda is already coming next year. Couple that with the great bundles now and to come with Super smash and Toad, they will start making even more profit. They are not going to make as much money as they did off of the Wii when it is all said and done, but the system will have made them something. People comparing it to the Dreamcast are ignorant because that system lost Sega their ass completely. Sega was already in the hole when they started it. Nintendo is not. The 3ds is freaking selling like hot cakes and the games are too. Nintendo will run its course with the Wii U and more than likely release something amazing and powerful in the future. But for now they are loosing money but we still have 5 or 6 years to go with this current generation. By the end of it, Nintendo will have made some money off of Wii U.
Fishermenofwar  +   244d ago
That Avi..DYING!!!!!! LOL
Fishermenofwar  +   244d ago
Almost 3 mill in a month!!! Holy crap on a cracker!!
MilkMan  +   244d ago
Oh there is an easy fix for this...RELEASE MORE GAMES!
thehobbyist  +   244d ago
Could say the same for PS4 and Xbone. At least Nintendo isn't delaying every other game until 2015.
MilkMan  +   244d ago
I know you cant answer here cause of this dumb bubble thing, but to be clear I am a fan of Nintendo. I own all the systems and I love their games.
But this strategy they have of releasing 1 or 2 games every quarter is a pretty insane.

At least Sony and Microsoft have these free games to keep their fans going until not only first party games come out but third party as well.

Also, delays (of Sony's) are one thing. But this year alone the other two consoles will see Madden, Far Cry 4, Shadow of Mordor, Dragon Age Inquisition, Destiny, Metro Redux - All games I've preordered. Sniper 3.
I would have happily bought these for WiiU, even the pile of fail Watch Dogs.

Nintendo cannot sustain itself with 1 or 2 titles a year. That is insanity talking.

I want Nintendo to be around for a long time, but they need to get their act together and make themselves relevant again.

Fan love is only going to carry them so far.
JuleyJules  +   244d ago
Well, MK8 was out for one month of that quarter and is still selling into the next quarter. The next quarter July to September includes Hyrule Warriors everywhere, Bayonetta 2 & Fatal Frame V in Japan and interest in the Wii U is picking up. Compared to previous periods this is no so awful. Wii U in Japan continues to outsell the PS4 which is very interesting.
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DanielGearSolid  +   244d ago
Whats so interesting about it?

Wii U has alot of advantages over ps4 in Japan right now

Mario Kart(deserves its own category)

If Wiiu is still selling more when, games like MGS:TPP, KH3, and FFXV drop. That would be interesting
JuleyJules  +   244d ago
My point was that for months we heard that the PS4 was coming, Wii U sucks, PS4 and Xbox One were going to sell like crazy etc but that hasn't happened for Sony in Japan!

Yes, if big games are released and Wii U outsells or keeps pace with PS4 in Japan with new games I mentioned that would be very interesting!!

I do hope that Wii U picks up in sales the rest of this year and more 3rd party games start to come. While I can play some on my PC that don't come I'd rather play them on my Wii U because I really like using the gamepad and have lots of fun with the console!!

Later this year SSB on Wii U and the Amiibos should really help to sell units, show some profit and get gamers looking at Nintendo even more than Mario Kart 8 has.
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MSBAUSTX  +   244d ago
It will because along those PS4 games coming out there will also be, X Chronicles, Splatoon, Star Fox, and Zelda U. All of those titles will sell bunches. If those PS4 games were coming out alongside NOTHING from Nintendo then it would be bad. But they aren't. They are releasing against fan favorites from Nintendo and by the end of this generation Nintendo will not have sold more than Sony, but they will have made a decent profit.
Realplaya  +   244d ago
You act like the Wii U has no more games coming out.

Also in Japan it's not a given that any game will move consoles.
DanielGearSolid  +   244d ago
Well if the WiiU, 3ds, Ps3 and Vita are any indication

No console or handheld is automatic success in Japan anymore, takes time
InTheLab  +   244d ago
3m consoles sold in a fiscal year is terrible but at least it's not all bad. The 3DS should hold them up until they creep into next gen. We've never really seen this before. Usually the handheld sells enough to earn a profit.

This just gives you an idea how bad the WiiU is doing compared to the GC and N64. While both lost Nintendo a ton of money, they made profit all but one of the years of those two generations thanks to the handhelds.

If the 3DS is slowing down, it won't save Nintendo from an annual loss it's sure to have with the WiiU tanking as bad as it is.

I personally can't see the WiiU hitting 9m until late 2015 unless Amiibo takes off with the kids and a huge price drop.
DanielGearSolid  +   244d ago
Just how much of a lost are WiiU's sold at?

If we assume 3ds is profitable, the only thing that could be costing nintendo money is WiiU

Wat else are they spending on? Not like they have other divisions
InTheLab  +   244d ago
The last report I read said they needed to sell a game to make a profit after that first price drop.

So while they might be losing little on each sold, the problem is the amount of consoles they produced which sat in a warehouse and cost them money. If you can't sell to retail, you lose money and can't match what you did the previous year. This isn't a case of Nintendo losing actual money they've earned, only that they are not doing as well as the previous year's quater.

So this year they are producing a more reasonable number of WiiUs to match the lower numbers being shipped to retail but still not selling enough WiiUs.

If it's not the WiiU dragging them down, I don't know what is. The 3DS is still kicking ass only not as fast as the year prior, so what's left?
jcnba28  +   244d ago
Wii U's are sold at a profit now.

gerbwmu  +   244d ago
I think it is pretty safe to assume Wii U will hit 9m around the end of 2014. Last year they sold around 1.5m in December. They are already around or over 7m. If sales continue as is they will be well with in reach of 9m come the holiday season. They might even make 10m by the end of 2014 if they do a good job marketing for the holiday season.
JuleyJules  +   244d ago
If they do it right and have a SSB/Amiibo bundle everywhere they could sell lots of units as you've said. Marketing is key and they need to do it right and push the MK8 bundles again close to Christmas. They need to capitalize on the increased interest they had after E3.
StrawberryDiesel420  +   244d ago
It's gonna be a big gamble for them building their next console to compete with PS4 and XBONE. If they fail, the company will be in big time trouble. I wouldn't worry until then, however, they better have some good ideas for a new console and launch with amazing games. If they don't, they're done. How will their next console compete against PS4 when SONY releases all those amazing games that we will see well before Nintendo's next version of the Wii.
Ck1x  +   244d ago
Well right now Sony isn't putting anything more than remastered games and I have no clue why people think that the WiiU will be short lived. Nintendo's next system will probably launch a year or so before PS5. There will be great games on all 3 systems, but people are delusional if they think that Nintendo won't have any games at all besides the ones we currently know of.
scissor_runner  +   243d ago
Nintendo should just let sony go first. Sony does not have any games that would literally stop of systems from selling. Combining handheld and home console development solves the game drought. The power issue is easy. Supporting standards and standard shader creation.

What would really be cool is if a true scaling platform is created. From handheld to console level to high end over kill with blu ray 4k playback at uhd levels and possible mod or development capabilities out of the box.

so an api supporting their current chip set all the way up to an Intel i7 would be great.
Ck1x  +   244d ago
Here's what people are not taking into account. That WiiU has picked up sales outside of the holiday shopping season. MK8 is going to get another major boost in November along with SmashBros because these types of games push hardware during this time of year.
randomass171  +   244d ago
Not to mention Smash Bros. controller bundles. That will be pretty helpful. :P
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Thepcz  +   244d ago
Mikito11  +   244d ago
Didn't mario kart 8 come out at the very end of June though? :S doesn't really show the true impact that game created for the wii u
Emanno  +   244d ago
I hope Nintendo can get their act together as a global company and not only caring about Japan mostly. If not then it could lead to bleeding money like Sony's financials. Mario Kart is helping but Smash should help the sales a lot more despite the poor install base.
#21 (Edited 244d ago ) | Agree(1) | Disagree(3) | Report | Reply
Ck1x  +   244d ago
Nobody is bleeding money like Sony right now!
CAB1802  +   244d ago
Oh damn, it would be worse if Mario Kart never came out
weekev15  +   244d ago
Tbh its not as bad as it looks. They lost $50mil due to exchange rates and had already booked a $15mil downturn to consolidate their head office/r&d buildings which means that without such rubbish circumstances they have a decent chance of returning to an operating profit next quarter. Just as well they have so many games coming out in q2...looks at release list...oh well.
patrik23  +   244d ago
Nintendo heads for third consecutive annual loss as Wii U flops


and now loss again.

DS 155 million to 3DS 44 million

wii 101 million to wii u 6 million

good job nintendo.

from 250+ million last gen to hopefully 75 million this gen
Gemmol  +   244d ago
what you was proving with these numbers, I can post numbers with you

Ps2 150 mil to ps3 80 mil
PSP 80 mil to ps vita 8 mil

good job sony
they went from 230 to 88 million in that gen
Gemmol  +   244d ago
Nintendo numbers will improve, this the smallest loss since the 3ds and wii u came out, so it will keep going down, they should be able to make a small profit this year on the last earning report
SLIGuy85  +   244d ago
This should be no surprise. All the titles in development right now are costing heavy. They're working really hard to bring us software, and I'm thankful.
randomass171  +   244d ago
I googled Nintendo's previous losses and you are right! Their biggest loss was around half a billion dollars. This is less than a fifth of that. The loss before it was around a quart of a million. So it looks the loss records are getting smaller and smaller. Not completely terrible all things considered.
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kenshiro100  +   244d ago
They'll be fine.

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