The Wii U May be a Flop, but the 3DS is to Blame for Net Loss

[benji232]

Fusioncode said:
Nintendo clearly expected the 3DS to sell so much more than it did, they shouldn't have ignored the rise of smartphones and tablets. The 3DS has already hit it's peak, and it's going to go down this year. The WiiU will improve over last year, but it's being sold at a loss so I'm not sure what Nintendo can do to return to profitability. At least for now they seem kinda stuck.

Actually, if it weren't for those taxes that they have to pay, I do believe that they would have been much closer to breaking even (they would probably still have had a small net loss). Next year, they will have a better margin on every 3ds sold and the wiiU will either become profitable or be incredibly close. Couple that with some big releases (smash and kart) and tons of other 3ds games that have yet to be announced (I assume), I can see them gaining a couple peanuts in profit. Still, being in the black is better then in the red. And I doubt 3ds will decline that much, I'm expecting a 5% decline YOY.