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Nintendo posts 1H 2011 net loss, forecasts first annual loss in at least three decades

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Mario running with green shell
Mario running with green shell

After years of unprecedented DS and Wii sales, Nintendo's used to milestones — but not this kind. Nintendo this week announced its earnings for the six months ending September 30th, posting a ¥70.27 billion ($927 million) net loss and adjusting its annual forecast to an overall ¥20 billion for the full fiscal year ending March 2012. That's in stark contrast to the ¥110 billion profit it forecasted back in April, according to The Wall Street Journal. If it holds true, this will be Nintendo's first annual loss in at least three decades (it started reporting earnings in 1981).

Nintendo cites "weaker than expected" DS and 3DS sales and yen appreciation for the variance, and the Wii home console of course doesn't have nearly the same sales momentum it used to. The company swapped a ¥54.23b operating profit from the same period last year to a ¥57.35b loss. No doubt the holiday season will bode well, but with the 3DS' drastic price cut, it's clear the House of Mario overestimated the appeal of its glasses-free 3D portable.