Originally Posted by
TrekkiesUnite118
Let's look at why they lost money though. They lost money because they tried a strategy they had never done before, selling their systems at a loss. It didn't work out, just has it really doesn't work out well for Microsoft or Sony when they do it. The Xbox division has almost never made any profit for Microsoft as a whole. If that division didn't have the foundation of Microsoft to stand on, it would have gone out of business years ago. And Sony is literally bleeding money as we speak thanks to just about every one of their other divisions failing miserably.
Sales have gone up, and they are making a profit now, thanks to new 3DS sales, software sales, and Amiibo sales. If you actually look at the breakdown, a huge chunk of Nintendo's profits come from hardware sales and licensing fees. Flushing that down the drain won't help anything.
And then there's the fact that Nintendo has a huge cash reserve that they've recently used to invest in expanding their development studios and ramping up HD development.