<150k, yes. But the budget is a bit of a toss up depending on how you read what Takahashi said on the subject. Either its a small budget game in general, or a small budget game for the type of game that it is (open world). But the game did roughly in-line with its predecessor in Japan, on a dead-end console, and is seemingly doing considerably better than its predecessor worldwide (which wasn't very hard to do, all things considered).
Its not like we're talking about an established, high profile brand on a healthy console (its performance on the original Wii should be evidence enough of that). Xenoblade is nothing of the sort, and as such its performance was "fine". Its not a tire fire bad, its not breaking records like Splatoon, its just "fine". But as I said, the statement was nonsensical for a variety of reasons, Xenoblade wasn't the center-point of that. It was just a bullet point.
"Nintendo audience" is vacuous.