Nintendo Co. raised its annual forecasts a second time after continued momentum for the Switch console helped the company to its best quarterly earnings since 2008.
The Kyoto-based games company reported operating profit of ¥229.7 billion, far above the ¥189.6 billion average of analyst estimates compiled by Bloomberg. Nintendo now expects full-year Switch sales of 26.5 million units, having already surpassed its previous projection of 24 million. The company also boosted its forecast for operating profit by 24% on the back of a surge in sales brought on by the coronavirus outbreak and hit game Animal Crossing: New Horizons.
Soon to enter its fifth year on the market, the portable Switch sold 11.6 million units in the holiday period, up 7% on a year earlier. Sales remained strong even after the holidays and Nintendo has sufficient components supply for now despite industrywide shortages, President Shuntaro Furukawa said. He added that his company doesn’t plan to announce a new Switch model anytime soon, leaving the door open to new hardware later in the year.
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