Nintendo boosts earnings forecast, cuts Wii U sales target

TOKYO - Agence France-Presse

Logos are seen on Nintendo Co's Wii U game console (bottom) and its controller at the company headquarters in Kyoto, western Japan January 7, 2013. REUTERS photo

Japanese electronics giant Nintendo on Wednesday said it returned to profit in the nine months to December, and lifted its fiscal year earnings forecast.

The firm swung to a net profit of 14.54 billion yen ($160 million), from a net loss of 48.35 billion a year earlier, and upped its profit target for the year to March to 14.00 billion yen, from a previous target of 6.0 billion yen.
 
However, the Kyoto-based firm slashed its sales and operating profit expectations for the fiscal year to March, and cut its forecast in the period for its much-hyped Wii U games console to 4.0 million from a previous estimate of 5.5 million. The original Wii consoles, launched in 2006, were a runaway success as they lured legions of "casual gamers" into the video game world with the introduction of motion-sensing controls.
 
Nintendo was shooting for a similar reception with the new console as it competes with Sony and Microsoft, makers of the PlayStation and Xbox, and the free online games sector that is offering up a stiff challenge to the industry giants.