Nintendo has released its full nine-month financial results. It reaffirmed what Nintendo revealed earlier this months during their disastrous financial forecast. This was due to poor sales of the Wii U and lower than expected 3DS sales. However, software sales for both platforms are up.
For the nine months of the current fiscal year the company made $4.8 billion, down 8.1% from the same period the last fiscal year. Profits took a bigger hit sliding to $96.7 million, down 30%. Nintendo narrowly avoided making a loss, but it will still end up in the red for the entire fiscal year.
It was the Wii U that is causing serious issues for the company. Only 2.41 units have been sold the entire nine months, down compared to the 3 million they sold the previous fiscal year. For comparisons sake, the PS4 sold 4.2 million units and the Xbox One sold 3 million units in only a month. Previously, Nintendo had hoped to sell 9 million units during this fiscal year, but was forced to slash that to 2.8 million. Software sales for the console came in at just under 16 million units.
“The Wii U hardware still has a negative impact on Nintendo’s profits owing mainly to its markdown in the United States and Europe, and sales of software, which has high profit margins, did not grow sufficiently,” the company revealed.
3DS has sold 11.65 units. down from the 12.7 million it had sold the previous year. Lifetime sales for the handheld now sit at 42.75 million units. Software sales were through the roof hitting 57.25 million units. Pokemon X and Y combined together sold 11.6 million units, an amazing number considering that they are exclusive to one platform.
AFP is reporting that CEO Satoru Iwata will be taking a 50% cut to his salary while board members will take somewhere between 20-30% cuts in their pay. The company will hold a conference with analysts on Thursday to outline plans for a new business strategy.