Nintendo experiences troubled times, operating profit down 23 percent

[Zeus]

Nintendo's rough time looks to be continuing as it was announced that it has suffered its FOURTH consecutive drop in operating profits (due to Wii price cut). Operating profit for the company fell a massive 23 percent from a year earlier.

<blockquote>
Nintendo Co., the world’s largest maker of video-game players, reported its fourth consecutive drop in operating profit after a price cut for the company’s flagship Wii console squeezed margins.

Operating profit fell 23 percent from a year earlier to 192.3 billion yen ($2.1 billion) in the three months ended Dec. 31, based on nine-month results reported by the Kyoto-based company today. Net income rose 82 percent to 123.1 billion yen because of currency-related gains. </blockquote>

News Source: <A href="http://www.bloomberg.com/apps/news?pid=20601080&sid=aSalukUq51iM" target="_Blank">Bloomberg</a>

[put4558350]

well at less it's not in red

[frankmax]

little surprises to me. face it wii sales are going to just dropo and drop and less 3rd parties are going to support it less and less. A bit of de ja vu....

[picopir8]

Hmm, they dropped the price of the wii by 25%, and thier first party offerings have been pretty slim as of late (NSMB is the only game I can think of in recent months). Not to mention, everyone and their grandmother already has a Wii, so yes I would expect profits to go down. Considering how high they were above the competition though, nintendo is still sitting is a very comfortable spot.

[Xenogears V]

Around the world there are pver 70M of consoles...marcket is saturated for Wii..Is there are 10 people, and of these, 7 have Wii, is very hard that other remaining persons will buy the wii.