Nintendo reports 60% plunge in YoY profit for the first half as the Switch shows its age

Nintendo reports a 60% profit drop as Switch sales decline.

: Nintendo announced a 60% decrease in net profit for the first half of its fiscal year due to the aging Switch console. Net profits reached $714.2 million, falling short of the projected $885 million. The company adjusted Switch sales forecasts to 12.5 million units and game sales to 160 million copies. Nintendo is diversifying with ventures in film, music, and even a museum.

Nintendo experienced a substantial 60% drop in profit for the first half of its fiscal year, attributing this decline to the aging Switch console. Despite reporting a net profit of $714.2 million from April to September, this figure lagged behind analysts' expectations of $885 million.

Looking forward, Nintendo has adjusted its projections for Switch sales to 12.5 million units by March 2025, down from an original goal of 13.5 million. Similarly, software sales forecasts have been adjusted to 160 million game copies from an earlier estimate of 165 million.

To offset this slowdown, Nintendo is expanding its revenue streams, including ventures in entertainment. Recent successful movie adaptations and collaborations such as the Super Mario movie, which grossed $1.36 billion, are paving new avenues, while they have also opened a museum celebrating their gaming history.

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