(Updates with closing prices)

By Junko Fujita

TOKYO, Aug 7 (Reuters) - Japan's Nikkei share average ended

marginally lower on Friday, as declines in AI and chip-related

stocks outweighed broader gains, while SoftBank Group slid

despite beating market expectations for first-quarter earnings.

The Nikkei ended 0.12% lower at 65,606.71, after

falling as much as 1.57% earlier in the session. The broader

Topix rose 0.47% to 4,074.93.

For the week, the Nikkei rose 1.9% and the Topix gained 1.8%.

SoftBank Group dropped 2.51% on Friday. The technology

investor posted a smaller-than-expected first-quarter profit

drop on Thursday.

"It (SoftBank Group) beat market consensus, but failed to

provide cues that could lift the stock price," said Naoki

Fujiwara, senior fund manager at Shinkin Asset Management.

Chip-related Advantest ( ADTTF ) and Tokyo Electron ( TOELF )

fell 2.25% and 1.5%, respectively, while memory chip maker

Kioxia ( KXHCF ) lost 2%.

"Market concerns about overvaluation of these stocks have

eased, and their earnings are not bad, but investors are still

not fully confident about a rebound in stock prices," said

Fujiwara.

Fujikura ( FKURF ) surged 12.82% to support the Nikkei the

most after the fibre-optic cable maker raised its annual net

profit forecast during trading hours.

Overall, about 60% of stocks traded higher on the Tokyo

Stock Exchange's prime market.

Nintendo ( NTDOF ) rose 5.26% after the game maker said on

Thursday its operating profit soared 150.5% in the April-June

quarter, helped by brisk demand for Switch and Switch 2 software

and refunds of U.S. tariffs.

Audio equipment and camera maker Sony Group ( SONY ) rose

2.6%.

Bandai Namco Holdings ( NCBDF ) jumped 10.5% after the toy maker

raised its half-year net profit forecast.

Kirin Holdings ( KNBWF ) rose 3.79% after the beer maker said it

would acquire a Toronto-based vitamins and supplements maker,

Jamieson Wellness.