Weak Dollar Hits Nintendo

Nintendo officials have announced that the company has been forced to slash its earnings projections for the year, with a 39% shortfall in profit. The company now anticipates profits of ¥33 billion ($317m) for the year ending March 31, down from previous estimates of $54 billion ($513m). The drop is being attributed to currency valuation changes, which caused the company similar problems last year due to its large number of US held assets. The company’s underlying figures though show an improvement on the last fiscal year with sales forecasts hitting targets of ¥510 billion ($4.9bn), up from ¥504 billion ($4.7bn) last year. Operating profits also rose from ¥100 billion ($951m) to ¥110 billion ($1.0bn). The company, which has claimed a global user base for the GameCube in excess of the Xbox, at 15 million units, has raised expectations for the next fiscal year to $110 billion ($1.0bn). Source: Polygon