Financials Shore up Nintendo

Through tumultuous economic times, a more long-term look at Nintendo's financial prospect looks upward. That is, if the yen holds.

Despite the global slowdown that has dampened other Japanese exporters, demand for Nintendo products continue to grow. Nintendo is forecasting a $1.7 billion profit for the period between April to September, up 24.6% from the same time last year. Sales are expected to grow 19.5% to $8.4 billion.

For the full fiscal year through March 2009, Nintendo estimates net profit of $4.2 billion on revenue of $20.3 billion. Analysts surveyed by Thomson Reuters, on average, expect yearly profit of $4.1 billion.

The yen exchange rate is of concern, losing Nintendo roughly half a billion dollars in three months. Stabilizing the yen will determine if Nintendo remains a sales giant.

Source: Forbes

Share on Twitter or Facebook

Comments