Nintendo is standing firm in their belief that the announcement of the Nintendo Switch 2 hasn’t substantially affected the sales of their original handheld home console.
This perspective emerged during an interaction with a shareholder, who was curious about the reasons behind Nintendo’s revised financial outlook for the current fiscal year. The revision, which included reducing hardware and software sales forecasts by 1.5 million and 10 million units respectively, prompted further questions.
Addressing these concerns, Nintendo President Shuntaro Furukawa explained, “Reflecting on the sales patterns observed in the third quarter (October-December 2024), along with our outlook for the rest of the year, we adjusted our forecasts for Nintendo Switch hardware and software sales.”
He went on to add, “We also updated our anticipated exchange rates. These elements, among others, influenced our decision to adjust our annual financial forecast, resulting in a decrease in our hardware and software sales projections by 1.5 million and 10 million units respectively. This mainly reflects the holiday season sales trends. Additionally, we altered our expected exchange rate for the fiscal year-end from 140 yen to 150 yen per U.S. dollar.”
The Nintendo Switch has now sold over 150 million units, establishing itself as a platform with a solid user base. “We had planned to launch numerous exciting new titles this fiscal year,” Furukawa continued, “and with our vast array of evergreen products and over 100 million annual players, we were confident in setting high goals at the beginning of the year.”
During the holiday season, sales for new releases like Super Mario Party Jamboree were robust globally. Bundles featuring hits like Mario Kart 8 Deluxe also performed well outside Japan. However, despite strong performance for an eight-year-old platform, sales slightly missed our initial targets.
While acknowledging that some consumers might have postponed purchases due to the anticipated launch of the Nintendo Switch 2, Furukawa emphasized that many new consumers worldwide still opted for the original Nintendo Switch, as well as returning customers buying replacement or additional systems.
Regarding the software side, although there’s been a year-on-year decline in sales volumes, he noted that the potential impact of people delaying purchases was minor, especially since Nintendo Switch software will remain compatible with the Nintendo Switch 2. “Our revised software sales forecast considers the lack of a blockbuster title comparable to last year’s The Legend of Zelda: Tears of the Kingdom or Super Mario Bros. Wonder, which could have propelled our business with a surge of excitement and engagement.”
For those eager to learn more about Nintendo’s upcoming console, the company will showcase it during a Nintendo Direct: Nintendo Switch 2 presentation. This event is scheduled to stream at 6 a.m. PT / 9 a.m. ET / 2 p.m. BST / 3 p.m. CEST on Wednesday, April 2.
The Nintendo Switch 2 is slated for a worldwide release in 2025, although the exact launch date is still under wraps.
