Nintendo Consolidated Results for the Six Months Ended September 2012

Nintendo’s consolidated financial results for the six months ended September 30, 2012, reflect a period of significant transition and financial challenge. The company reported net sales of 200.9 billion yen, representing a 6.8% decline compared to the same period in the previous year. This performance resulted in an operating loss of 29.1 billion yen and a net loss of 27.9 billion yen, driven by the appreciation of the yen, reduced sales in legacy hardware segments, and the initial costs associated with the upcoming Wii U launch.

The company’s core strategy remains focused on expanding the gaming population through the Nintendo 3DS platform. During this period, the 3DS series saw hardware sales reach 5.06 million units, bolstered by the introduction of the 3DS XL model. Software sales for the 3DS were particularly strong, totaling 19.03 million units, led by titles such as New Super Mario Bros. 2. Conversely, the Nintendo DS and Wii platforms experienced sharp declines in both hardware and software sales, signaling an accelerated generational shift toward newer hardware.

Geographically, the company’s sales distribution shifted, with Japan accounting for 36.7% of total net sales, followed by the Americas at 33.0% and Europe at 26.2%. Despite the reported losses, Nintendo maintained a stable financial position with total assets of 1.4 trillion yen and a capital adequacy ratio of 80.2%. Looking ahead, the company has revised its full-year forecast for the fiscal year ending March 31, 2013, projecting net sales of 810 billion yen and a return to profitability, contingent upon the successful market introduction of the Wii U system and continued momentum in the 3DS software library.