Nintendo’s recent disclosure of the Nintendo Switch 2 has left many wondering if it has caused a dip in sales for their beloved original hybrid console. The company, however, is confident that this isn’t the case.
A shareholder raised concerns about Nintendo’s decision to lower their financial forecasts for the year, which included a decrease in both hardware and software sales projections by 1.5 million and 10 million units, respectively. Responding to this, Nintendo’s president, Shuntaro Furukawa, detailed the logic behind their adjustment.
“Considering the sales performance in the third quarter (October-December 2024) and the outlook for the rest of the fiscal year, we’ve revised our sales expectations for the Nintendo Switch,” Furukawa explained. “Additionally, we’ve adjusted the assumed exchange rate. These alterations, among other factors, prompted us to amend our annual financial forecast. Specifically, we’ve lowered our hardware and software sales predictions primarily due to the patterns seen during the festive season. Our revised assumption for the exchange rate at the fiscal year’s end is now 150 yen per U.S. dollar, up from 140.”
With cumulative sales surpassing 150 million units, the Nintendo Switch has firmly established itself as a favored platform with a substantial user base. This year, Nintendo had anticipated high targets, buoyed by the release of exciting new games and an annual user base exceeding 100 million, alongside its wide array of timeless favorites.
During the most recent holiday season, the launch of new titles such as Super Mario Party Jamboree saw a strong performance globally. Outside Japan, sales of hardware bundled with hits like Mario Kart 8 Deluxe also did well. While these sales figures held steady for a system in its eighth year, they didn’t quite hit the high benchmarks initially set for the fiscal year.
Furukawa did acknowledge the potential influence of the Switch 2 debut on consumer decisions. “It’s possible some held off on purchases due to anticipation of the Nintendo Switch 2, but during the festive season, many new customers bought Nintendo Switch consoles worldwide. Additionally, there were significant sales for replacement or supplementary systems.”
Regarding software, although sales are slightly down compared to the previous year, Furukawa pointed out that the impact of deferred purchases was minimal, as current Nintendo Switch games will be compatible with the Nintendo Switch 2. The downward revision in their software sales forecast, according to Furukawa, could also be attributed to the absence of a major title, like last year’s The Legend of Zelda: Tears of the Kingdom or Super Mario Bros. Wonder, that could invigorate widespread interest and engagement.
Nintendo fans can look forward to more details about the next console during a Nintendo Direct: Nintendo Switch 2 presentation. This event is set to air at 6am PT / 9am ET / 2pm BST / 3pm CEST on Wednesday, April 2nd.
As for the global launch of the Nintendo Switch 2, it’s slated for 2025, with an exact date still to be announced.
