Nintendo's first-quarter financial results

Nintendo are Still Losing Money! But Why Well.... Nintendo's first-quarter financial results, released this morning, saw the publisher post a loss as projected - but 3DS sales are on the up.

The net operating loss stood at ¥17.2 billion/$220.4m, an improvement on the previous year's ¥25.5 billion Q1 loss, with sales down by ¥9.1bn ($116.4m) on this time last year. Nintendo sold 1.86 million 3DS units during the quarter, in comparison to 710,000 over the same period in 2011, at the time of the console's European and North American launch, which means an increase of 162%. Software sales stood at 7.39 million, a 63% increase.

Nintendo has been selling the 3DS at a loss since the post-launch price cuts, but the financial results report that as of July 25th it is no longer selling at less than the manufacturing price, meaning that the company can start making money from sales of the console from this point onwards.

A online user called HisDivineOrder from IGN said:

'Nintendo is losing money, has to drop the price on its 3DS within the first six months, and admits to losing momentum... and you don't think smartphones are having an effect?

You should not delude yourself. They're having an effect. And Nintendo pushing the 3DS XL out to get the same buyers to buy new 3DS's again is proof of that.

Soon, they'll be acting like all the 3DS XL's out there weren't bought by a lot of the same people who bought 3DS's, claiming larger marketshare.

But we'll know differently.'

Nintendo is a arcade company that's why its losing money because no one plays arcade now these days.

There not really an arcade company. There make games that no one wants to play anymore.