There are 2 key points as to why both revenue and profit guidance has been revised down.
1. Exchange Rate for Japanese Yen
2. Lower than expected 3DS Hardware and Software sales
The R&D costs were always factored in to the guidance and they won't have suddenly increased spending this year for no reason.
What is of note though is that they expect Wii U software sell in to be slightly higher, I imagine this is due to the continued success of Splatoon & Super Mario Maker as well as the release of Nintendo Selects titles.
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zippy said: |
What you're failing to mention is that this is a revised forecast from Nintendo themselves. They were actually expecting to do better this year but ultimately have had to revise their forecast down due to the reasons above.
