Nintendo’s profits have dropped as sales of its Switch console slowed down, leading the company to lower its full-year financial forecasts.
The Kyoto-based company, known for creating the Super Mario franchise, reported a profit of 237 billion yen ($1.5 billion) for the nine months from April to December, which is a 42% decrease compared to the same period last year.
Sales for the period fell 31% to 956 billion yen ($6 billion), although Nintendo did not provide details on quarterly performance.
The company now anticipates a profit of 270 billion yen ($1.7 billion) for the fiscal year ending in March, down from its previous forecast of 300 billion yen ($1.9 billion).
Sales of Nintendo consoles during the nine-month period decreased to 9.54 million units, compared to 13.7 million units the previous year.
Nintendo has also revised its full-year sales forecast for the Switch, now expecting to sell 11 million units, down from the earlier estimate of 12.5 million.
Game software sales from April to December dropped to around 124 million units, down from 164 million the previous year. However, Super Mario Party Jamboree remained a strong performer, selling 6.17 million units.
The latest Legend of Zelda game also saw strong demand, with 3.4 million units sold worldwide since its release in September.
Nintendo acknowledged that while demand for the Switch has slowed in its eighth year since launch, it continues to attract a substantial number of buyers, with the number of active players still over 100 million.
The company is now focusing on the upcoming Switch 2, set to launch later this year. Nintendo plans to host events around the world starting in April where people can try out the new console.
Additionally, Nintendo highlighted the opening of Super Nintendo World at Epic Universe in Orlando, Florida, in May, expecting it to draw more people to its brand and content.