Nintendo may announce first profit warning in six years

By Patrick Garratt, Tuesday, 20 October 2009 09:35 GMT


Nintendo may be on the verge of warning of a drop in profits and revenue for the first time in six years, according to this Bloomberg piece.

Net income will probably fall 11 percent to 249.3 billion yen ($2.7 billion) this fiscal year, the first drop since the 12 months ended March 2004, according to the median of 10 analyst estimates compiled since the company cut Wii’s price on September 24.

Nintendo is scheduled to report earnings on October 29.

“Nintendo may cut its profit projection about 30 percent because of sluggish sales in the first half, the price cut for the Wii and currency-related impact,” said Satoru Kikuchi, an analyst at Deutsche Bank AG in Tokyo.

“Investors are expecting the company to fully reflect its business environment in its forecast.”

Whoops. Lots more through there.

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