“We have a strong cash position thanks to the Nintendo Switch business”.
The Nintendo Switch generation has been transformative for Nintendo’s business and finances, consolidating development onto one main platform, delivering impressive sales and significantly boosting the company’s bank balance. It certainly brings the boom years of the DS and Wii to mind in terms of Nintendo’s financial health, and the company has announced a move that gives a good indication of how cash-rich it has become.
Nintendo has issued a “Notification of Acquisition of Treasury Shares and Cancellation of Treasury Shares”, which basically means the company will buy back some of its own shares and then ‘cancel’ them, taking them out of the company’s batch of stock. The less shares and shareholders the company has the less it is obliged to pay out on dividends, ultimately.
Read the full article on nintendolife.com