Nintendo posts 70.3bn yen net loss

27 Oct 2011

The Nintendo Wii

The strong yen and weak software sales have resulted in video-game maker Nintendo reporting a net loss of 70.3bn yen (€650m) for the six months to September.

The net loss is worse than the maker of the Wii game console and DS handheld console expected.

Nintendo also slashed its forecast for the full year to next March to a 20bn yen (€182m) net loss, the company said. Nintendo had predicted an annual net profit of 20bn yen in July.

The company is facing increasing competition from mobile phones that offer simple games, while the strong yen has eroded income from overseas markets, which account for nearly 80pc of Nintendo’s sales.

In total, the company shipped 9m hardware units and more than 73m software units during the half year.