“Mama-Mia”
They may seem invincible, and both will probably survive, but a bruise is still a bruise and both Nintendo and Capcom are stuck reporting massive losses to their shareholders during the financial quarter between April and June of 2010.
According to Tech Digest, Nintendo itself saw a decline in both net sales (25% down) and operating income (45% down).
As you can imagine, this is a rare quarterly loss for the legendary gaming house, costing them around 290 million bucks.
Though sales of the Wii console actually increased, DS hardware and DS and Wii software sales dropped dramatically. It just doesn’t help that they pre-maturely announced a successor to the DSi some time ago, and have been lagging on quality game titles for both portable and home systems.
But the biggest factor may have been currency fluctuations which drastically reduced their profit margins.
“Oh god it hurts!”
In much worse shape is game developer Capcom. The failure to move their triple-A titles off of store shlves, such as Lost Planet 2 and Monster Hunter Tri, came as a mighty blow.
Both of these games carried insane development costs and took up much of their creative resources.
But how bad could it really be? Well, they saw a startling 94.8% drop in income. Not that they did that much better the year before. Perhaps its time for Street Fighter 5, instead of adding the extra words “Super” and “Turbo” to existing installments and modifying things on disk, which could be fixed via firmware updates. Not that this would help, I’m just a bit annoyed.
Are you surprised that these two titans are having a pretty rough financial time in 2010? Or are you surprised that they enjoyed such strong sales until recently?
Digg this Blog
Share on Facebook
WatchMojo on Twitter
WatchMojo on YouTube
Add to Favorites
WatchMojo Newsletter
