Nintendo Profit Drops 51 Percent
This morning, Nintendo reported that its first-half operating profit dropped 51 percent, citing sluggish Gamecube sales, price cut in Nintendo DS, and hefty development costs for the Nintendo Revolution. Shares of Nintendo have risen 13.2 percent for the first six months of the business year, but have underperformed the Nikkei average which has rose 16.3 percent.
On a similar note, Nintendo also changed its forecasts for sales of various consoles and handhelds. The company has forecasted fewer Nintendo DS and Gamecube units to be sold, but has increased its forecast for Game Boy Advance units due to the newly released Game Boy Micro system.
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