Nintendo ran up a loss of 43 Billion Yen (~$530m) for the Fiscal Year ending March 31st.
Nintendo posted the first ever loss for the year today. The reasons for this are the Wii getting old and the 3DS being sold below cost. Nintendo predicts a profit for this fiscal year though. The obvious reason is that Nintendo hopes to land a big hit with the new Wii U this Fall. I am not a big believer in the new tablet integrated gaming console.
Don't Miss: Victoria's Secret Fashion Show 2016
Nintendo plans to stop selling the 3DS below cost in the middle of the fiscal year 2013 ending March 31 2013. The price cut last year jump started the sales for the new 3D portable console. The launch price was just too high. Nintendo 3DS hardware sales during the fiscal year were 13.53 million units and the sales of Nintendo 3DS hardware in Japan exceeded five million units, which is the fastest record of all dedicated game platforms.
I have never seen a gaming console get more expensive after a year. What is Nintendo thinking? The only way stop selling the 3DS below cost is to reduce manufacturing cost. It would kill the 3DS if Nintendo raises the price again.