2.8M Units Sold, But $96M Loss
This morning, Nintendo reported a quarterly loss of ¥9.9 billion yen, or more than $96.4 million, on sales of $730.5 million. It’s a very surprising number, especially given the positive impact Mario Kart 8 was intended to have on the company’s fortunes.
That’s not to say MK8 didn’t have an impact–just not quite the one most hoped. The game sold 2.8 million units worldwide in the quarter. And it’s important to note more than half a million Wii U systems were sold in the period, way up from a paltry 160,000 in the same quarter last year. But the same quarter in 2013 brought an ¥8.6 billion profit, so this year’s result is an amazing reversal of fortune. It appears most who bought MK8 already owned the system.
Nintendo, in part, blamed the negative turnaround on changes in company accounting procedures.
This means the Holiday season will be looked at closer than ever by investors, and makes upcoming months more important than ever. The new Super Smash Bros. will certainly need to outperform, and Sonic Boom for the Wii U and 3DS simply cannot be lost in the fray.