Thanks to the sales of Nintendo’s Switch 2, the company’s performance in its fiscal first quarter (April 1 to June 30) has grown significantly. Nonetheless, the video game company decided to maintain its fiscal year earnings forecast.
The company reported that by the end of June 30, its revenue had reached JPY 572.3 billion, a 132% increase YoY, while its operating profit expanded to JPY 56.9 billion, surpassing the expectation of JPY 53.46 billion.
Meanwhile, the sales in Nintendo’s video game platform grew 142.5% YoY to JPY 555.5 billion. Its intellectual property-related business, however, dropped 4.4% due to the revenue decline from “The Super Mario Bros. Movie.”
These developments are primarily due to Switch 2, which Nintendo had already sold 5.82 million units of. Although the company expected that by the end of the fiscal year, the volume sales would reach 15 million units, analysts expected those numbers to be higher.
The company’s share this year has also soared about 40%, but Nintendo still maintains its estimation of its performance. By March 2026, the company’s revenue should reach JPY 1.9 trillion, while its operating profit should increase to JPY 320 billion.
Some are concerned that U.S. tariffs would be a factor that ruins this progress. However, analysts from Morningstar stated that its effect would be short-term, and the company can compensate by increasing its overall gaming audience. Nintendo also stated that so far, the tariff had no significant impact on its earnings forecast for this fiscal year.
