Nintendo Co. said Thursday that strong sales of its hit Wii and DS video game consoles enabled it to buck a slump in the Japanese electronics industry and stay on course for record profits.
The company downgraded its outlook slightly in light of the strong yen but still expects annual profits to rise by about one third, a more than respectable performance compared with many other Japanese manufacturers.
Nintendo Co. said Thursday it posted a 9.4 percent gain in first-half profit but cut its full-year outlook as a surging yen undercut brisk sales of its popular Wii console and DS handheld device.
The Kyoto-based company booked net profit of 144.8 billion yen ($1.5 billion) in the April-September period. The result was higher than last year’s 132.4 billion yen profit, though missed Nintendo’s own expectations for 165 billion yen in profit.
But Nintendo to cut its annual net profit forecast by nearly 16 percent because of the yen’s recent strength, which erodes overseas earnings.
Although the company saw brisk, Profits at Nintendo soared 34 per cent higher in the first half of the year, providing hope for the Japanese titan that its “cheap and cheerful” DS and Wii machines may prove the ultimate Christmas recession busters.