Nintendo revenue doubles with over 5.8 million Switch 2 units sold

Nintendo's revenue doubles with the Switch 2, selling 5.8M units rapidly.

: Nintendo experienced a significant revenue increase, over doubling its figures from the previous year, largely due to the launch of the new Switch 2 console. This gaming platform surpassed expectations by selling more than 5.8 million units since its launch on June 5. Nintendo’s net sales rose sharply to 572.3 billion yen, greatly surpassing LSEG’s analyst predictions of 474.84 billion yen. Despite supply challenges, the company plans to enhance its production capabilities to meet consumer demand.

Nintendo has seen a dramatic surge in revenue driven by the launch of its new Switch 2 console. In the fiscal quarter ending June 30, net sales reached ¥572.3 billion (approximately $3.8 billion), more than doubling from ¥246.6 billion in the same period last year—a 132 percent increase. Operating profit rose to ¥56.9 billion, up about 4 percent year-over-year and exceeding analyst expectations. This turnaround has been largely attributed to the massive demand generated by the Switch 2 launch in early June.

The Switch 2 has proven to be Nintendo’s fastest-selling console to date. Released on June 5, 2025, it sold approximately 3.5 million units within just the first four days. By the end of the month, cumulative sales had reached 5.82 million units—surpassing the launch momentum of the original Switch, which had sold around 2.7 million units in the same timeframe back in 2017. This strong uptake has solidified investor confidence and energized Nintendo’s market positioning.

Financially, the hardware success has allowed Nintendo to stay on track despite broader economic uncertainties. The company maintained its full-year guidance and still expects to sell 15 million units of the Switch 2 by March 2026. Moreover, it reaffirmed its operating profit target of ¥300 billion, representing an 8 percent increase year-over-year. Notably, this comes amid external pressures such as potential U.S. tariffs on Vietnamese-manufactured electronics, where the Switch 2 is assembled.

The high demand continues despite a premium price point of roughly $450 in the U.S. market. Supply has struggled to keep pace, with major retailers reporting rapid sellouts and imposing one-per-customer limits. Analysts such as Wedbush remain optimistic, maintaining an "Outperform" rating on Nintendo shares with a price target of ¥14,000, citing consistent performance and ongoing demand momentum into the next quarters.

Software performance has also been strong, helping further support the console’s momentum. Over 8.67 million software units were sold during the quarter, with popular titles such as Mario Kart World, Pokémon, and Donkey Kong driving purchases. However, sustaining this level of performance will require strategic software releases, effective supply chain management, and resilience against geopolitical risks—especially as Nintendo prepares for the crucial holiday season and beyond.

Sources: Wall Street Journal, Reuters, The Verge, FT, AP News, Barron’s, TechSpot, AFP

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