Many comments on here don't really seem to understand this report. It's really quite bad. Turning a profit during the quarter that has Christmas isn't "good". Their business is built around turning a BIG profit during Q3. They didn't, and as such will lose money for the year. They have record high inventory which means they aren't selling anywhere close to what they are used to. They did worse than they did last year, when they should have done much better. Wii U is failing as a product and 3DS isn't doing as well as they would like.
The bright sides here are Pokemon was a very good seller, and Zelda on 3DS seems to be well received. Wii U does have nearly 6 million units in the wild which is something to build on. But Wii U will take a major shift in momentum to be a success and it's safe to say that Nintendo's handheld business has declined 25% or more in the last few years. These aren't positive things when looking at the state of the company.