- Nintendo (NTDOF) has warned that it expects an operating loss of ¥35B ($336M) for the fiscal year through March instead of a profit of ¥100B, as the company had previously forecast. Analysts predict ¥54.7B.
- Nintendo also projects a net loss of ¥25B vs a previous outlook for a profit of ¥55B, and it has cut its revenue estimate by 36% to ¥590B. The company will pay an FY dividend of ¥100 instead of ¥260.
- Nintendo said the dramatic reversal was due to much lower-than-expected sales of its Wii U and 3DS games machines during the holiday season. That might have something to do with the success of Sony's (SNE) PlayStation 4 and Microsoft's (MSFT) Xbox One, both of which were launched in the run up to Christmas.
- Nintendo now expects FY Wii U sales of 2.8M instead of 9M and 3DS sales of 13.5M vs 18M. The firm also cut its software outlook. (PR here and here.)
Nintendo projects FY loss in dramatic reversal of outlook
Jan 17 2014, 03:48 ET