Mario poses at the “SUPER NINTENDO WORLD” welcome celebration at Universal Studios Hollywood on February 16, 2023 in Universal City, California.
Rodin Eckenroth | Getty Images Entertainment | Getty Images
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.
Nintendo has been contending with fading demand for its flagship Switch console, which is now more than seven years old.
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.
Here’s how Nintendo did in its fiscal second quarter ended Sept. 30 versus LSEG estimates:
- Revenue: 276.7 billion Japanese yen ($1.8 billion), compared with 273.34 billion yen expected.
- Net profit: 27.7 billion yen, versus 48.06 billion yen expected.
Revenue fell 17% year-on-year. Net profit plunged just over 69% versus the same period last year.
This breaking news story is being updated.