Japanese video game company Nintendo fell more than 7.5% a day later on Wednesday, in the first half of trading on the Tokyo Stock Exchange Reporting a decrease in profits due to a slowdown in Switch sales. Nintendo’s shares have fallen sharply since the start of the session in response to its presentation on the eve of its financial report for the first nine months of its fiscal year, April to December, in which it dropped 5.8% year-on-year net profit. reduced its sales turnover by 1.9%.
The video game developer and distributor based in Kyoto in western Japan blamed the slowdown in sales of Switch consoles and games for it, which led to lower console sales forecasts. and year results All that will expire on March 31. Nintendo said that chip and other component supply problems at the end of the summer affected the production of Switch consoles, which would cause a decline in hardware sales along with a drop in game sales.
The Japanese video game giant did not stay out of the slowdown experienced by the industry with the normalization of the pandemic and global warming. lack of ingredientsAdd to this the obsolescence of the Switch, which is preparing to enter its seventh year, as investors’ expectations depend on a software update or the announcement of some new offerings. For now, the company has announced the release of one of its Nintendo Direct videos today (Europe and US time, tomorrow for Japan), hours after the presentation of its latest results, which was released with the stock market already closed. ‘online’ where it presents its innovations.