Nintendo cuts profit forecast as gamers wait for release of new Switch console
Nintendo cuts profit forecast as gamers wait for release of new Switch console
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Nintendo, the gaming giant, has slashed its net profit forecast for the financial year as profits and sales dip, with gamers eagerly anticipating the release of its next console. The Japanese company has revised its profit forecast for the year to March 2025 down to 280 billion yen (£1.45bn), a significant drop from the previous 360 billion yen (£1.9bn). Additionally, it has reduced the projected sales of its flagship Nintendo Switch console by 12%. .
Last month, Nintendo finally confirmed the long-rumoured Switch 2 would hit the market in 2025, releasing a brief preview video showcasing the new hardware, which features a larger screen and updated controllers. However, the price remains under wraps. A full reveal of the device is scheduled for an event in April. The Switch, launched in 2017, has been a massive success for Nintendo, selling approximately 150 million units due to its unique blend of home console and remote play via a portable screen and TV-connected console docking station.
However, sales have recently slowed as the console hardware has only seen minor updates and more consumers opt to wait for news about the now-confirmed Switch 2. Nintendo has also confirmed that the Switch 2 will support backwards compatibility, allowing some games from the current generation Switch to be playable on the new system. . In its most recent results, Nintendo reported a 30% decrease in Switch hardware sales in the nine months between April and December 2024 compared to the same period the previous year.
Despite noting a steady increase in its annual playing users, now at 129 million, gaming behemoth Nintendo admitted that Switch hardware and software sales fell short of expectations. However, the company reassured that the console remains popular and pledged to continue releasing new offerings to keep consumers engaged. Get our money-saving tips and top offers direct to your inbox with the Mirror Money newsletter.
