IC design house Pixart Imaging, a major supplier of sensors for Nintendo's Wii consoles, is expected to see its revenues amd profits stage a major uptick starting the third quarter as Nintendo reportedly will launch its next-generation Wii consoles soon, according to industry sources.

Nintendo is expected to announce the launch data of the new Wii consoles during the ongoing E3 trade fair, with market sources believing the new consoles to be available at the end of 2011 or early in 2012.

Prior to the launch of the new Wii, Pixart will see its revenues and profits both affected by declining sensor shipments to Nintendo as consumers wait for the new gaming devices, said the sources, predicting that Pixart is expected to post a gross margin of 34-35% in the second quarter compared to 35.7% in the first.

For all of 2011, Pixart is expected to ship 9-10 million sensors to Nintendo, the sources estimated.