Nintendo Lowers Projections For Fiscal Year

Nintendo Co Ltd

has lowered its profit and sales projections for the fiscal year due to strong performance of yen and downbeat sales performance and sales guidance for its video game consoles. The company projects its FY revenue at 1.10 trillion yen ($13.1 billion), as compared to its earlier projection of 1.40 trillion yen. The company forecasts its FY net profit of 90 billion yen, down from its previous projection of 200 billion yen. NTDOY's sales of the DS handheld game console may reach 23.5 million units for the same period, down from its earlier projection of 30 million units. The company has also reduced its FY dividend projections to an annual dividend of 550 yen, as compared to its earlier forecast of 830 yen. Nintendo has also planned to release a new 3-D model of its DS handheld game console in Japan in February. Nintendo said in a press release, “The earnings forecast has been modified to reflect the trend of stronger-than-expected yen appreciation, current sales performance, the sales outlook for the holiday season, and the decided release conditions for the Nintendo 3DS.” Nintendo's shares gained 3.15% to close at $36.15 yesterday and moved down 2.9% in Tokyo. Read more