Nintendo profit plunges 69% as it cuts forecast for sales of ageing Switch console
Nintendo on Tuesday cut forecast for Switch sales for its fiscal year ending March 2025 as demand wanes for its ageing console.
The Japanese gaming giant said it now expects to sell 12.5 million units of the Switch over the course of the period. That's down from a previous forecast of 13.5 million units.
Investors are waiting for news surrounding a successor to the Switch, which they hope will re-energize Nintendo's gaming business. In the past, the company said that the Switch successor will be announced in its current fiscal year, which ends in March 2025.
Nintendo also cut full fiscal year forecasts for sales and operating profit. The company said it now expects sales of 1.28 trillion yen versus a previous forecast of 1.35 trillion yen. The operating profit outlook for the period was slashed from 400 billion yen to 360 billion yen.
The Switch is Nintendo's second best-selling console in history, behind the Nintendo DS. Despite the recent fall in sales, Nintendo has prolonged the console's appeal for an extended period of time since its launch in 2017 by relying on its recognizable characters.
