Video game publisher Nintendo says the company has returned to making profits, but sales of its new home console continue to slump.
During the first quarter, the company reported $831 million in revenue, down from the same time last year. However, Nintendo is back making money, generating net income of $87.7 million.
The company's DS handheld has lead their surge back to profitability, with sales of hardware up 12% from the same time last year.
But its Wii U home console is still failing to catch on with video game players. Life-to-date sales of the device sit at 3.61 million, with the company managing to sell only 160,000 units worldwide since the end of their last fiscal quarter.
"Nintendo never overcame the perception that the Wii U was a new controller for the Wii and not an entirely new system," said GameTrailers host Geoff Keighley in an interview prior to June's Electronic Entertainment Expo in Los Angeles.
Also at issue: a lack of games from Nintendo's flagship franchises. Titles such as Super Mario 3D World and exercise game Wii Fit U both launch in the U.S. this December, while other games including Mario Kart won't arrive until 2014.
Meanwhile, competition in the video game hardware space ramps up this holiday with the arrivals of Microsoft's Xbox One and Sony's PlayStation 4, each of which will feature more technical horsepower than Wii U.
However, Nintendo is sticking with its sales forecast of 9 million for the Wii U during its fiscal year ending in March.
Contributing: Associated Press
Follow Brett Molina on Twitter: @bam923.
During the first quarter, the company reported $831 million in revenue, down from the same time last year. However, Nintendo is back making money, generating net income of $87.7 million.
The company's DS handheld has lead their surge back to profitability, with sales of hardware up 12% from the same time last year.
But its Wii U home console is still failing to catch on with video game players. Life-to-date sales of the device sit at 3.61 million, with the company managing to sell only 160,000 units worldwide since the end of their last fiscal quarter.
"Nintendo never overcame the perception that the Wii U was a new controller for the Wii and not an entirely new system," said GameTrailers host Geoff Keighley in an interview prior to June's Electronic Entertainment Expo in Los Angeles.
Also at issue: a lack of games from Nintendo's flagship franchises. Titles such as Super Mario 3D World and exercise game Wii Fit U both launch in the U.S. this December, while other games including Mario Kart won't arrive until 2014.
Meanwhile, competition in the video game hardware space ramps up this holiday with the arrivals of Microsoft's Xbox One and Sony's PlayStation 4, each of which will feature more technical horsepower than Wii U.
However, Nintendo is sticking with its sales forecast of 9 million for the Wii U during its fiscal year ending in March.
Contributing: Associated Press
Follow Brett Molina on Twitter: @bam923.