The Big N just posted their financial results for their last fiscal year and for the first time in three decades they came up in the red for the year. This is due mostly in part to the 3DS price cut that happened last year. With the handheld being sold below cost and explosive growth thereafter, Nintendo was probably happy for market penetration, but not so much with the margin.
They loss to the tune of $530 million (£327 million) which while not a huge blow to Nintendo is still nothing to sneeze at. The company has a strong lineup of games coming this year and a new hardware launch with the Wii U. Also with their further acceptance and planned implementation of digital content with the Nintendo Network, Nintendo will surely recover and become profitable again moving forward. In conjunction Nintendo will likely reduce the manufacturing costs of the 3DS this coming year and return that piece of hardware to a profitable status.
This news isn’t that disconcerting because we all know that Nintendo never stays down very long. They will bounce back and if they get a good E3 under their belt may even reclaim some nay-sayers regarding their recent efforts. Stay tuned for more Nintendo related news, but until then watch this Nintendo training video from 1991.