Nintendo Financial Results Briefing: Fiscal Year Ended March 2011

The Nintendo fiscal year ended March 2011 reflects a period of significant financial contraction for the company. Net sales dropped to 1,014,345 million yen, down from 1,434,365 million yen in the previous fiscal year. Operating income experienced a sharp decline, falling to 171,076 million yen from 356,567 million yen, while net income decreased to 77,621 million yen compared to 228,635 million yen in the prior year. This downturn was compounded by a lower gross profit ratio of 38.2 percent and substantial non-operating expenses, largely driven by foreign exchange losses totaling 49,429 million yen.

The company’s performance was heavily influenced by the lifecycle stages of its primary hardware platforms, the Nintendo DS and the Wii. While both platforms maintained a portfolio of million-seller software titles—such as Pokémon Black and White for the DS and Wii Sports for the Wii—the overall hardware and software sales volumes reflected a maturing market. The fiscal year also marked the transition toward the next generation of hardware, highlighted by the launch of the Nintendo 3DS in Japan, the United States, and Europe during the final quarter.

Geographically, the results encompass global operations, with detailed breakdowns provided for Japan, the Americas, and other international regions. The financial data is presented through consolidated statements of income, quarterly performance transitions, and unit sales figures for hardware and software. Additionally, the report outlines the impact of fluctuating exchange rates on sales and assets, noting the company's exposure to the U.S. dollar and the Euro. The document concludes by providing a forward-looking perspective, detailing the product launch schedules for the Nintendo 3DS and Wii, alongside a list of upcoming third-party software titles intended to support these platforms in the subsequent fiscal year.