What a $91 Million Loss Means for Nintendo | MONG

Nintendo has released their 2014 first quarter (Q1) financial results, showing off their landmark Mario Kart 8 software sales — however, they still have a loss of ¥9.4 billion ($91 million USD). While the gaming industry loves to keep up with their favorite companies’ sales and earnings, little know the meaning behind them. What does this operating loss mean for Nintendo and how does it affect them in the long run?

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4logpc1443d ago

Next to nothing.

Nintendo is expected to NOT post a loss end of the fiscal year.

lmcontaldi1443d ago

My point exactly in the editorial -- Q1 and Q2 mean nearly nothing to Nintendo. The real focus of their financials are around Q3 (the holiday season). Only if we see losses then should we start getting worried.

randomass1711443d ago

I did some googling after discussing it with another N4G user and he accurately pointed out that this loss is actually pretty small compared to the other losses Nintendo took and they have been going on a climb since their first loss in decades. First one was half a billion then a quarter billion and now less than half of that. So right now Nintendo is losing money but it looks like they are slowly getting back on track.

lmcontaldi1443d ago

If you saw later on in the article, I made a point that it is amazing the loss is so little based on the crazy lack of games (as apposed to last year). This may actually be suggesting a significant growth in people investing in their Wii Us or going to get them in the first place!

randomass1711443d ago

I think it is a little of both since Mario Kart just came out and we still have a ways to go before the rest of the Wii U must haves are out, especially Smash which is supposedly coming out just before Christmas. I'm curious to see Mario Kart and Smash sales at that time.

youndamie1443d ago

They can't have lunch this weekend.

1nsaint1443d ago

sure they can, the new smash and pokemon games that are coming up soon are easily gonna make 91 million.

I actually think the guys at sony should be more afraid about lunch-less weekends.
Playstation is doing extremely well but their smartphones and TV's not so much

Sony had a loss of over 1 billion last fiscal year and are riding on playstation to cut there losses.

I remember an article that said execs are having a 50% salary cut and aren't getting bonuses.

Spotie1443d ago

Just HAD to bring Sony in somehow, huh?

It was actually their PC and TV divisions, both of which have been dealt with, so to speak. And when your company is facing lean times, it really only makes sense that the ones making all the money would take pay cuts. That's what good execs do.

Oh, and they're expecting more than just Playstation to bail them out, which is why they've restructured virtually the entire company.

But what does this article have to do with Sony UN the first place?

BiggerBoss1443d ago

It's funny that you mention Sony execs taking a 50% pay cut, because Iwata took one earlier this year

SaveFerris1443d ago

Should've had the Luigi death stare on the dollar bill instead of Mario.

lmcontaldi1443d ago

Hahaha hindsight is 20/20.

stragomccloud1443d ago

It means it's time for some coffee!

InTheLab1443d ago

I doubt Nintendo will post a loss in the following quarters. They've scaled down production of the WiiU and only plan to sell 3.6m consoles over fiscal year. They set realistic goals this time around which helps maintain the appearance of a healthy company.

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