Nintendo finally making a profit on 3DS sales
Sales boost puts Nintendo in the green for now
After a wobbly launch, controversial price cuts, and a $220 million loss so far this year, the good news is that Nintendo is finally making money on 3DS sales. I’m sure a Hello Kitty cake is already on its way over to head office, with the “WE’RE DOOMED” pink icing edited to include the words “maaaaaaybe not”.
Although both Sony and Microsoft have always sold new consoles at a loss, Nintendo has previously shown reluctance to do so, with the 3DS price cut only happening in response to poor launch sales and that meant a massive loss for the company in the first quarter. With the subsequent boost in sales, however, Nintendo was later able to break even on manufacturing costs versus pricetag, and then turn a profit.
“Compared to the quarter a year earlier, global sales of Nintendo 3DS hand-held game hardware increased 162 percent, while Nintendo 3DS software rose 63 percent,” said Nintendo in its latest financials. “In addition, the company announced that as of July 25, 2012, it was no longer selling Nintendo 3DS hardware below manufacturing costs.”
To date, Nintendo has now sold 19 million 3DSes since launching in Japan in February last year, with 1.86 million sold in the last quarter.
The Bigger! Better! 3DS XL model launches this weekend, but I’d bet there’s a whole lot of pressure on the Wii U to save the day now.
If you are interested in picking up the device, then check out MyGaming’s Nintendo 3DS XL pricing comparison.
South African gamers also have the chance to get their hands on Nintendo’s new handheld at 3DS XL community events in Joburg, Cape Town, and Durban, to see if they’re sold on the beefed-up device.
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