Nintendo Drops Sales Forecast for Wii U and Other Devices

Nintendo Wii U Black | Nintendo US Official Website

Nintendo Wii U Black | Nintendo US Official Website

After reporting the sales results of their consoles during the previous quarter, Nintendo has cut its sales forecasts for their flagship devices. This includes Wii U, what was released recently.

The Wii U was launched last November 2012, as the company’s latest attempt to compete against smartphones and tablets that have shifted the competitive landscape for games.

The original Wii in 2006 allowed gamers to play simulated sports such as golf and tennis by making real-life movements instead of pressing buttons. The Wii U, on the other hand, has not been heralded as making such a significant change. That is despite the console’s new features like the GamePad, which incorporates a touch screen, camera, and stereo speakers.

A Negative Surprise from Nintendo

From an expected 5.5 million sales of Wii U, Nintendo cut down their forecast to 4 million. This estimate, according Bayview Asset Management’s Yasuo Sakuma, is “a somewhat negative surprise.”

The company was able to sell 3 million consoles by the end of last year, but they are now expecting fewer than 1 million sales within the first quarter of 2013. Hence, the sales of games for Wii U for this year would now total to 16 million instead of the previously predicted 24 million.

In relation to this, other Nintendo consoles are expected to ship fewer units this year compared to what was predicted last October 2012. The video-game maker speculates that previous generation of Wii devices will ship at 4 million by the end of March 2013. Thus, total sales of Wii since it release in 2006 have now reached 99 million.

Meanwhile, this year’s sales of Nintendo 3DS have slipped from 17.5 million to 15 million. However, longer-established DS consoles are likely to have 2.5 million of sales rather than 2.3 million, which was predicted last October. In turn, the company predicted total sales of 810 billion Yen within its fiscal year.

Nintendo also said that they will be posting an operating loss of 20 billion Yen, although its predicted net profit has more than doubled from 6 billion Yen to 14 billion Yen. The company pointed out the weakening of the yen against the Euro and US dollar as a contributing factor.

Additionally, the video game maker has reported profits of 14.55 billion between April and December 2012 compared to a 48.35 billion Yen loss during the same period in 2011. This only shows that Nintendo came back to the black during the first nine months of its financial year.

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