Nintendo profits plummet after Wii sales collapse

Nintendo has announced a fall in profits to a seven-year low after sales of its groundbreaking Wii console collapsed from 20m units to 15m last year.

Net profits for the year ending March 31 fell 66 per cent to 77.6bn yen (£574m).

The collapse is due in part to stiff competition in the video games console market and also to the post-tsunami fall in consumer confidence.

Analysts say Nintendo must introduce a new product to contain the damage caused by the drop in Wii sales and to counter the competition from Sony's Playstation 3 and Microsoft's Xbox 360.

Nintendo are said to be on the case. As The First Post reported last week, a successor to the Wii is expected to be announced at the E3 video game conference in Los Angeles in June.

Read a full report at the Daily Telegraph. ·