Nintendo Cuts Switch Sales Forecast, Prepares for Successor Launch
TOKYO - Nintendo has revised its full-year sales forecast for the Nintendo Switch console by 12%, reducing it to 11 million units. This adjustment reflects the aging console's declining momentum ahead of the upcoming launch of its successor device.
Despite expanding into other areas such as retail stores, theme parks, and film, Nintendo remains heavily reliant on its console business.
"While sales of hardware and software have remained strong for the eighth year, we did not meet our plan," said Nintendo President Shuntaro Furukawa.
Nintendo sold 9.54 million Switch units between April and December, bringing the total lifetime sales to 150.86 million. Earlier this month, Nintendo announced the release of a new home-portable console, the Switch 2, which is scheduled to be unveiled at an upcoming Nintendo Direct event on April 2nd.
The Switch 2 reportedly shares a similar design to its predecessor, which revitalized Nintendo's fortunes following the lackluster performance of the Wii U.
Nintendo also reduced its operating profit forecast by 22.2% to 280 billion yen ($1.8 billion) for the fiscal year ending in March. During the April-December period, profit declined by 46.7% to 247.6 billion yen.