Nintendo lost money. It is the first time in recent memory that it has done so. Some of the blame falls on the value of the yen. But, more important, sales of its Wii console and newer 3DS handheld device fell. Reuters reported that
The operating loss of 37.3 billion yen in the year that ended March 31 compared with a consensus estimate of a 41.4 billion yen loss, based on forecasts by 20 analysts surveyed by Thomson Reuters I/B/E/S.
The real threat to Nintendo’s ongoing profitability is rivals Sony (NYSE: SNE) and Microsoft (NASDAQ: MSFT) which continue to have sales successes with their respective PS3 and Xbox 360 products. And, all three face competition from the migration of games to smartphones, which is a trend none of the three has been able to combat.
Find a Qualified Financial Advisor (Sponsor)
Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
