The lights are on
Nintendo has released its first quarter 2014 earnings results, along with information on hardware units shipped worldwide. Financially, the report is good news, with a return to positive net and ordinary income, with ¥8.62 billion ($88.1 million) on the bottom line. The product-based information tells a mixed story, though.
First, the good news. The 3DS, which was the best selling hardware in the United States for the past two months, continues to show strong performance across the world. In the quarter ending June 30, 2013, 1.4 million handhelds were sold.
Unfortunately, the Wii U exists on the opposite end of the spectrum. Only 160,000 consoles were sold around the world over the three month period, bringing the total to 3.61 million. This quarter saw total first-party software sales for the console only amount to 1,030,000 units for the Wii U.
To put the software sales in perspective, Tomodachi Collection, a 3DS title released online in Japan in April has sold 1,390,000 alone. That's more than the entirety of Nintendo Wii U software. Nintendo has also reported that the 210,000 Wii units were sold worldwide this quarter, which has the legacy hardware outpacing its nine-month old Wii U.
Nintendo is holding steady its forecasting, which puts the company at ¥55 billion net income ($563.3 million) at the end of the current fiscal year. Additionally, sales projections remain unchanged, with Nintendo targeting sales of 900,000 Wii U units and 1.8 million 3DS handhelds.
Our TakeAs I mentioned when the June NPD report was released, the 3DS continues to be a powerhouse. Nintendo has every reason to celebrate the ubiquitousness of its handheld hardware. It's a great system and one that carry everywhere I go, especially with the new Street Pass games and relay system.
The Wii U is in trouble, though. 160,000 units in three months, with the Wii outpacing it still is a problem for Nintendo. The only way Wii U demand is going to pick up is with a steady flow of strong titles. That isn't going to come from third parties. Nintendo has admitted it underestimated the shift to HD, and the slow trickle of games needs to turn into a flood.
There have still been no announcements about a new Zelda game. Metroid, Star Fox, F-Zero, and Kid Icarus are absent. Super Smash Bros. and Mario Kart won't arrive until well into calendar 2014.
Pikmin 3 (which is selling very well in Japan), The Wonderful 101, third-party titles are going to motivate some, but not in the numbers that Nintendo needs. Is the company in trouble? No. But it's impossible to deny that the Wii U needs something big to jumpstart the engine. As time goes on, it's only going to get harder.
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As much as I enjoy my Wii U the fact that it will once again be so far behind in power compared to PS4 and Xbox One that 3rd party companies are going to give the Wii U some dumb downed port or completely skip the platform altogether. The new systems aren't even out and already third party developers are skipping the Wii U. Hopefully the Nintendo faithful and those amazing 1st party games can keep the Wii U afloat.
Nintendo really should just focus on handheld devices. They seem like they can do those much better than they can with home consoles.
(I'm saying this even though I own a Wiiu and 3DS)
I still really want a WiiU, but at his rate I'm scared it will die out and be a waste of money.
Wow, looks like the handheld won this one.
They better get to work on those games then.
And don't let Reggie half ass them at some attempt to cater towards Moms and Dads,we want legitimate Nintendo IP's to come back with amazing games.
I own a WiiU and i love it. For those who bad mouth the WiiU more than likely never played one. Untill then , shut the fook up.
This is just a guess, but here is what I see as part of their problem. The success of the Wii was due in large part because of casual gamers. Now that's coming back to bite them in the ass. Casual gamers aren't going to run out to buy the latest hardware.
Hang in there Nintendo, It;s only a matter of time.
Most of the games I bought a wiiu at launch for aren't even out yet and they were all supposedly launch titles. Nintendo needs to get off its ass and start giving us games so we can buy them. What a concept.
Those 900,000 Wii U units sold on the end of it's fiscal year are likely not going to come together.
Makes perfect sense really. 3DS has many great titles, Wii U not so much. The solution is so simple Nintendo! Wii U needs games. Great games.
Theyll bounce back
Nintendo needs a new system
I've been wanting to try out the Wii U for a while now, but I honestly can't justify paying $300-$350 for it when the PS4 is literally right around the corner for only $100 more. IMO, Nintendo needs to drop the price like they did with the 3DS. From what I remember, when the price for the 3DS when to $169, it started selling like crazy. So maybe if the Wii U went down it might start selling more.