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Wii U crucial as Nintendo posts first loss in 30 years

Wii U crucial as Nintendo posts first loss in 30 years
Nintendo hits banana skin on the race back to profitability
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Mario-maker Nintendo has posted its first financial loss in thirty years as Wii sales founder and smartphones boom.

The company lost 43.2 billion yen over the course of the last financial year (about $533m, £329m), but it had expected to lose 65 billion yen so it's not all bad.

Why the financial gloom? Well, Wii sales are dropping as the console ages, the Nintendo 3DS is selling at a loss to entice users in, big-title game releases have been few and far between - and the strength of the Japanese yen hasn't helped matters either.

Wee profits

Other monkeys on Nintendo's back are the increase in popularity of social gaming and smartphones, dismissing the need for a separate handheld console for many Nintendo's favourite customer, the casual gamer.

Nintendo head, Satoru Iwata, was understandably disappointed with the results: "Our target this year is not one I am satisfied with," he said, adding that 3DS sales in Europe have been particularly underwhelming.

But with a new 2D Mario game on the horizon and the ambitious new Wii U console slated for release by Christmas 2012, Nintendo reckons it can return to profit this year.

Can the Wii U turn things around for Nintendo? Check out the video preview below and let us know in the comments.

From BBC

News Editor (UK)

Former UK News Editor for TechRadar, it was a perpetual challenge among the TechRadar staff to send Kate (Twitter, Google+) a link to something interesting on the internet that she hasn't already seen. As TechRadar's News Editor (UK), she was constantly on the hunt for top news and intriguing stories to feed your gadget lust. Kate now enjoys life as a renowned music critic – her words can be found in the i Paper, Guardian, GQ, Metro, Evening Standard and Time Out, and she's also the author of 'Amy Winehouse', a biography of the soul star.