Nintendo gets 46% profit fall last quarter

Discussion in 'User Submitted News' started by Guild McCommunist, Jan 27, 2011.

  1. Guild McCommunist
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    Guild McCommunist (not on boat)

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    Nintendo saw a 46% fall in its quarterly profits, with the dwindling sales of the Nintendo DS in the face of its immediate successor and the rising threat of Sony in the handheld market cited as reasons for the decline.

    Nintendo has cut its sales forecasts for both of its consoles available on the market, with predicted sales of the Wii cut to 16 million units from 17.5 million for the financial year while the DS takes a hit from 23.5 million to 22.5 million.

    Reuters is reporting that Nintendo's operating profit stands at 104.6 billion yen for the quarter, which sees a fall from the 192.3 billion yen from the same period a year ago.

    The news comes in the immediate aftermath of Sony unveiling its PSP successor, the NGP, and mere days after Nintendo finalized its launch plans for the 3DS.
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    May seem a harsh drop but it's expected. They're not really pushing much in terms of software until the 3DS launch for Japan next month. So don't go thinking that Nintendo will die, they're just getting ready for the 3DS.
     
  2. Gh0sti

    Gh0sti iOS Guru

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    im not worried, it is inevitable to see that happen, but we will see who wins the hand held console this year around Christmastime time
     
  3. Hop2089

    Hop2089 Cute>Hot

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    Expected

    This always happens when a new system is on the horizon.
     
  4. ThePowerOutage

    ThePowerOutage The Lord of the Flyes

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    Did I miss something?
     
  5. Delta517

    Delta517 Its okay...Im a ninja ;)

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    Sonys PSP2? It was just announced as PSP NGP or something. [​IMG]
     
  6. Rock Raiyu

    Rock Raiyu Clock Up

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    Coming from Nintendo, that is a huge loss. Almost 50%, they're gonna have to pull a Wii successor out their ass and hope for the best with the 3DS. With the NGP out there, it's not gonna be easy.

    But what am I worried about, it'sa Nintendo!
     
  7. NatureMade

    NatureMade GBAtemp Regular

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    How can the source credit the "NGP" as a viable reason for Nintendo's fall in profits, the thing was just announced and before that, was nothing more but a train wreck of rumors and the bare minimum known about it's actual existence. Kind of a silly accusation.

    *Edited for accuracy
     
  8. Fear Zoa

    Fear Zoa This... This is the world we live in

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    I don't know....Nintendo has never really been in trouble as a company.(at least not since the very early console wars)
    They always seem to be holding out ...theres lots of games they could make...lots of successful I.P's to reboot.

    I guess what i'm saying is...if Nintendo starts to fail....I'm sure they can recover...

    (Although I expect the 3DS to be very successful)
     
  9. Jolan

    Jolan Unlimited Bear Works

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    I thought the profits were lowered due to DS fanboys saving up money for the 3DS?
     
  10. Satangel

    Satangel BEAST

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    They made a real shitload pure profit with the Wii and the DS Lite, they can take a smaller profit for a few months (they are not even losing money, they are still making profit!)
     
  11. Zarcon

    Zarcon .:~Enigmatic Wanderer~:.

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    I'm not sure why people always assume a drop in profits means they're not making money.
    They're not making as much money as predicted, but they're still making money.
    As opposed to the other companies who often sell hardware at a loss, Nintendo always sells at a profit.

    Their profits could drop 99.9% and they'd still be making more money than the others.
     
  12. SPH73

    SPH73 Banned

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    Pretty much expected after several years of dominating sales. People who only read the headline don't understand the bigger picture.

    And although I think the NGP is dead sexy, most industry people expect it to be dead in the water.

    All the smart industry people know.... the future of portable is all about Apple, Android and Nintendo. That's why Sony gave themselves another option with their PlayStation content on Android.

    And Wii 2 wont hit for at least another year and a half, possibly two years.