Falling Wii console sales hit Nintendo’s profits

6 May 2010

Declining sales of its Wii games console have hit Nintendo’s bottom line, as it reported a fall in annual net profits.

The Japanese computer games giant said its net profit for the financial year ended 31 March fell to Y 228.64bn against the Y 279.09bn reported the previous year.

Revenues at the firm were also down 22pc to Y 1.434tr.

Nintendo sold 20.53 million Wii console sales worldwide this fiscal year, which represents a decline of 21pc compared to the year previous. It also said it expects to sell 18 million Wii consoles in the coming financial year ended 31 March 2011, some 2.5 million fewer than it sold this year.

However, the computer games giant does expect to sell more of its handheld DS consoles next fiscal year. Nintendo had previously announced that it is launching a new handheld device, tentatively named 3DS, which will allow 3D gameplay without the need for any special glasses. The device will also be compatible with DS and DSi software.

Nintendo also said today that it intends to launch new Wii software, including the latest in the Metroid game series and a new Super Mario action game, Super Mario Galaxy 2.

The games giant also said it is developing a new concept which can measure a player’s biological information using the Wii Vitality Sensor accessory.

Photo: The Nintendo Wii

Article courtesy of Businessandleadership.com