Nintendo lowers forecast from 55 billion yen profit to 25 billion yen loss

[zorg1000]

kowenicki said:

ZyroXZ2 said:

kowenicki said:

contributed

profit forecast of 55bn yen reduced to loss of 25bn yen... thats a huge 75bn swing

these increased marketing costs are 23bn yen...

Exactly... 23/75 billion yen is nearly 31%, or one third of the swing!  That's a LARGE portion, and is why I was so quick to contemplate whether the massive swing is just "low Wii U sales"... It didn't make sense!  Before I found that article, I believed a good portion HAD to be marketing and development, for which you jumped down my throat for, lol

to be fair you actually said:

Hmmm, maybe I don't fully understand the financial jargon from the links, but if they posted a loss rather than a profit, couldn't a large portion of these losses actually be DEVELOPMENT costs?! We all know the 2014 schedule for Wii U is packed with both announced AND unannounced (or at least only acknowledged to exist, nothing has been shown) games being developed straight from Nintendo's pockets. If we know WHAT is causing the loss, it may not be as bad as it seems...

Think about it, what if they're posting a loss because 2014 is about to blow our minds with how much money they've been pouring into development of games during this 2013 fiscal year?!

 

So you never mentioned marketing, you talked about development.... and less than a 1/3rd is large portion? Perhaps. 

But the point was you were making was that this was perhaps ok'ish because the cash was being spent on bringing new games from development spend.

 

How in the hell is 1/3 not considered a large portion? Especially when that equates to 23 billion.