Nintendo estimated to announce second straight annual loss tomorrow
Posted on April 22, 2013 by Brian(@NE_Brian) in General Nintendo, News, Wii U
Nintendo is a day away from announcing its latest fiscal results. According to a Bloomberg report, the company is preparing for its second straight annual loss. The publication’s estimates pin losses at 18.7 billion yen in the 12 months ended March 31 while post operating income may come in at 70 billion-yen, based on 19 estimates.
Ace Securities Co. analyst Hideki Yasuda commented on Satoru Iwata’s performance as global president in recent years, stating:
“Iwata hasn’t produced good results in recent years. He can’t avoid being criticized.”
Eiji Maeda, an analyst at SMBC Nikko Securities Inc., added:
“He has been one step behind in some strategic points. Contents are important to increase game fans. But Nintendo couldn’t provide game titles.”
Bloomberg notes that just 4 of 20 analyst that it tracks recommend purchasing Nintendo shares. 3 advise investors to sell, with the other 13 recommend a holding pattern.
Tachibana Securities Co. analyst Yoshikazu Shimada has doubt that Nintendo can reach 100 billion yen even in light of a weaker yen value:
“I don’t think Nintendo can achieve 100 billion yen. It’s hard for Nintendo to meet the target despite the weak yen’s tailwind.”
One report from Takeshi Koyama, a Tokyo- based analyst at Mizuho Financial Group Inc., estimates that the Wii U may have sold 3.5 million units in its last financial year. The report additionally states that Nintendo could sell another 9 million units this fiscal year.
Look out for official news tomorrow and Wednesday regarding official news from Nintendo’s financials.
