Summary Box: Nintendo loss; strong yen, weak sales

Published January 26, 2012 by
Uncategorized

LOSING MONEY: Nintendo Co. reports a loss of 48.35 billion yen ($627.9 million) in the April-December period ? a reversal from a 49.56 billion yen profit a year earlier.

REASONS: A price cut for its 3DS handheld, a strong yen that erodes overseas earnings and competition from mobile devices such as the iPhone.

PREDICTIONS: Nintendo says it now expects to sell far fewer 3DS machines, which feature three-dimensional images. It forecasts sales of 14 million machines for the fiscal year, which ends in March, down from an earlier 16 million. That’s despite a price cut in August.

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