Nintendo's First-Half Profits Rise 14%21 Nov, 2001 By: Hive News
Kyoto-based Nintendo Co. said Wednesday that profits rose 14% for the first fiscal half compared to a year ago on strong sales of video games for the portable Game Boy and the Game Boy Advance, according to an Associated Press report from Tokyo.
Nintendo also forecast a 26% revenue increase for its full fiscal year ending March 2002, helped by strong sales of its successfully launched GameCube game console, the AP said.
For the six months ended in September, Nintendo posted a net group profit of $276 million. Fiscal first half revenue climbed more than 18% to $1.8 billion.
The GameCube, which went on sale in September in Japan and this week in the United States, also helped boost revenue, the company said. Nintendo says it has sold 510,000 GameCube machines and 710,000 software game titles in Japan.
Nintendo also said it is raising its shipments of GameCube to the United Statesby 200,000 units, to 1.3 million.
For the full fiscal year ending in March 2002, Nintendo is forecasting a profit of $649 million on revenue totaling $4.7 million.
Nintendo was also helped in the first half by the weaker yen, which lifts the value of overseas earnings ofexporters when converted into yen, and recent plunging costs for electronic parts also helped Nintendo's earnings, the AP said.
Despite economic uncertainties, Nintendo remains upbeat that upcoming games linking GameCube with Game Boy Advance willcontinue to raise revenue.