Nintendo Hits A Rough Patch This Quarter
At the end of this quarter, Nintendo reported a sales drop of 40% and a fall in profit of 60.6%. The main reason for the sales and profits drop is because of less demand of the Nintendo Wii. Nintendo also blamed currency fluctuations and because less blockbuster games being released around this time.
Net profit for the quarter dropped to ¥42.3 billion ($445.4 million) from ¥107.3 billion in the same period a year earlier. About 2.23 million Wii consoles were sold in the quarter. In the same period a year earlier, Nintendo sold 5.17 million consoles.
“There were fewer blockbuster software titles that briskly drove hardware sales this quarter versus the same period a year ago when titles like ‘Mario Kart Wii’ and ‘Wii Fit’ were launched in overseas markets,” stated Nintendo. The company is forecasting sales of 26 million Wii consoles in the fiscal year through March 2010.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry