Nintendo profits dive as Wii loses appeal

Nintendo’s profits have taken a steep 66% fall this quarter, which the company has blamed on crawling demand for its Wii gaming consoles.

Its operating profit for the first quarter of 2009 came to 40.4 billion yen ($426 million), against a 119.2 billion yen profit for the same quarter in 2008.

Nintendo had so far managed to ride out the economic rollercoaster but slowing demand for the Wii and exchange rate fluctuations have dragged the Tokyo-based gaming giant down. Sony also put up a 25.7 billion yen loss in its first quarter results (ending June 30th) earlier this year, while last week Microsoft announced a 17% decline in revenue to reach $13.10 billion for its fourth quarter (ending June 30th).

Despite bleak quarterly financial results, Nintendo will not be making changes to its full-year forecast, standing by its projections of a 12% decline to reach 490 billion yen. It’s expected to be Nintendo’s first annual loss in four years.

Print | Email | Discuss this article

| Share |

READERS' COMMENTS

Click here to post a comment

Add your Comment All posts are sent to the administrator for review and are published only after approval. ArabianBusiness.com reserves the right to remove any comment at any time for any reason. Please keep your responses appropriate and on topic. Arabian Business would like to point out that only comments relevant to the story will be published. Any containing personal insults or inappropriate language will not be approved.
Name *
Remember me on this computer
Email *	(Your email address will not be published)
City
Country
Subject *
Comment *
Notify me of further comments
Enter the words above *
Please click post only once - your comment will not be published immediately.

MORE FROM ARABIANBUSINESS.COM