Nintendo Suffers Q2 2012 Losses, But Not as Bad as Expected
July 25, 2012 1:21 PM
comment(s) - last by
Nintendo had a net loss of 17.23 billion yen in the quarter ended June 30, 2012
Nintendo announced a net loss and drop in revenue in its Q2 2012 quarterly earnings report, but the video game giant has seen worse days.
According to the earnings report, Nintendo had a net loss of 17.23 billion yen in the quarter ended June 30, 2012. However, the good news is that the company's net loss was 25.52 billion yen during the same time period last year, meaning that Nintendo is doing a bit better these days.
Nintendo also posted a 9.7 percent decline in revenue to 84.81 billion yen. The reason for the losses? A strong yen and slow sales of its Wii gaming console, according to reports.
Nintendo has also faced a lot of issues with its portable 3DS over the past year. The handheld was released in March 2011 and initially
had poor sales
due to a lackluster lineup of titles (says Nintendo). This led to the company's decision to slash the price from $249.99 to $169.99 in August 2011.
3DS sales boomed
(especially in Japan), and by March 2012, Nintendo celebrated the 3DS' one-year anniversary with
4.5 million sales
But the 3DS has been up and down with its sales. Earlier this month, Nintendo CEO Satoru Iwata said 3DS sales in the U.S. and Europe
Also, the company posted its
first annual loss
ever in April 2012, where it suffered a 37.3 billion yen operating loss and a net loss of 43.2 billion yen.
But Nintendo has a lot to look forward to this year. For instance, the company will release its new Wii U gaming console that features a controller with a 6.2-inch screen, an accelerometer, gyroscope, microphone, speakers, stylus, front-facing camera, sensor strip and rumble support. With the Wii U's release will also come Nintendo's own
social network called Miiverse
Another new addition to the Nintendo family is the
, which is a larger version of the 3DS available for $199 in Japan this month and in the U.S. next month.
Despite all of these new releases, it remains to be seen how Nintendo will fare against not only other gaming companies like Microsoft's Xbox division (which attracts core gamers more so than Nintendo), but also against mobile device makers for gaming on smartphones and tablets.
Looking ahead, Nintendo predicts a net profit of 20 billion yen, an operating profit of 35 billion yen and revenue of 820 billion yen for the year through March 2013.
This article is over a month old, voting and posting comments is disabled
RE: Why give these numbers in Yen?
7/27/2012 11:51:14 AM
It converts to roughly $220 Million.
"I modded down, down, down, and the flames went higher." -- Sven Olsen
Nintendo CEO: 3DS Sales "Weak" in U.S., Europe
July 5, 2012, 1:30 PM
Nintendo to Release Larger 3DS XL in Japan Next Month, U.S. in August for $199
June 22, 2012, 10:46 AM
Nintendo Introduces "Miiverse" Social Network
June 4, 2012, 11:00 AM
Nintendo Revenue Plummets, Posts Annual Loss for the First Time
April 26, 2012, 10:37 AM
Nintendo Celebrates 3DS Birthday with 4.5 Million Sales Milestone
March 7, 2012, 6:27 AM
Nokia HERE Maps to Arrive on Samsung Galaxy Smartphones This October
August 29, 2014, 9:14 AM
Microsoft's Standalone Kinect 2 Goes On Sale Oct. 7 for $150
August 28, 2014, 4:33 PM
Apple Builds Not-So-Secret Secret 3-Story Tower for iPhone 6/iWatch Unveil
August 28, 2014, 3:41 PM
Intel Offers up Penny Sized 3G Modem for Smart Appliances, Etc.
August 28, 2014, 3:25 PM
T-Mobile Will Also Carry the HTC One (M8) for Windows
August 28, 2014, 2:59 PM
Apple’s iPhone 6 to Get NFC Payment Capabilities, September 9 Event Confirmed
August 28, 2014, 11:43 AM
Most Popular Articles
Microsoft's Surface 2 Tablet Family Gets a $100 Price Cut
August 25, 2014, 1:16 AM
Owner of "Decepticon" Maserati Ordered to Appear in Court This Thursday
August 25, 2014, 7:55 AM
SpaceX Falcon 9-R Rocket Suffers Malfunction, Self-Destructs During Test Flight
August 23, 2014, 9:36 AM
LG Posts Teaser Video of Its “Round Face” G Watch R Smartwatch, Set for IFA Lauch
August 24, 2014, 2:49 PM
Second ZMapp-Treated Patient Dies of Ebola, Supplies Run Out
August 25, 2014, 7:03 PM
Latest Blog Posts
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information