Nintendo Eyes Higher Switch Production To Tap Demand Signaling An Ease In Parts Crisis - NINTENDO CO LTD

Nintendo Co, Ltd (OTC:NTDOF) (OTC:NTDOY) reportedly plans to boost production of its six-year-old Switch console in the coming fiscal year after shipping roughly 21 million Switch consoles in the year ending March.
Nintendo cut its sales forecast for the console to 19 million units in November due to the component crisis but now looks to make more to tap the robust demand, Bloomberg reports.
Nintendo shared with suppliers and assembly partners that it plans to churn out more Switch units in the fiscal year starting April.
With a $199.99 starting price, the console struggled more due to supply issues than any demand slump.
The report cited UBS analyst Kenji Fukuyama that Nintendo's sales in the recent holiday season failed to gain traction even with improved supply.
People will soon start speculating about next-generation hardware and will likely refrain from buying the old system, the analyst noted, pronouncing the slowdown in Switch sales momentum as unavoidable.
Nintendo can grow its Switch sales in the coming year, especially if it gives them a boost with game-themed special editions of the console, the report quoted Hideki Yasuda of Toyo Securities.
Semiconductor and component shortages have diminished across the electronics industry in recent months. Sony Group Corp (NYSE:SONY) said its PlayStation 5 console would be much more widely available in 2023.
Price Action: SONY shares closed higher by 1.49% at $87.97 on Thursday.
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