Nintendo Cuts Profit Forecasts as Chip Shortage Hits Switch Sales
![](https://japannews.yomiuri.co.jp/wp-content/uploads/2023/02/10340981.jpg)
The logo of game giant Nintendo at a store in Tokyo
9:30 JST, February 9, 2023
TOKYO (AFP-Jiji) — Nintendo cut its full-year profit forecasts on Tuesday, saying the global chip shortage had dampened Switch sales, with analysts warning of waning momentum for the hit console nearly six years after its release.
New games have performed well, the company said, including “Splatoon 3” and “Pokemon Scarlet and Violet,” which in November scored the highest global sales in the first three days for any Nintendo software.
Switch hardware sales by unit declined 21% year-on-year in April-December, “mainly due to a shortage of semiconductors and other component supplies that impacted production until around late summer.”
The Kyoto-based gaming giant now expects net profit in 2022-23 of ¥370 billion ($2.8 billion), down from its previous forecast of ¥400 billion.
It also trimmed its operating profit outlook, and the annual hardware sales forecast for the Switch to 18 million units from the previous target of 19 million.
"Business" POPULAR ARTICLE
-
Aviation Fuel Shortage Causes Problems at Regional Airports; Growing Demand, Lack of Workers to Transport
-
Prices of over 10,000 Food and Beverage Items to Rise This Year; Figure is down from over 30,000 Last Year
-
Sony Group to End Production of Blu-ray Discs; Market Has Shrunk Due To Growth Of Hard Disk Drives, Streaming
-
AI-Equipped Energy Efficient Air Conditioners Grow In Popularity; Some Can Guess Users’ Moods, Automatically Adjust Temperature
-
Toyota to Introduce 4-Day Workweek for Some Employees; Company Hopes More Flexible Schedules Will Boost Worker Motivation
JN ACCESS RANKING