The value of the yen compared to other currencies has fallen through the floor since 2022, so this isn't unexpected - Nintendo had to do something to equalize prices somewhat. The dollar's global value has also weakened noticeably since (checks notes) April 2, 2025 and Canada has had currency struggles as well the last few years.
The truth is that you can increase prices by 50% and if you loose 50% of sales you are still in a good place as your costs also drop. They have little uncertainty to work with, they don't need their consumers as much. They're continuing their anti consumer policies
Hardware is just one aspect of sales though. I assume they have much higher margin on software, especially rereleases of existing games on whatever the next platform is.