Nintendo Q2 Financial Results: 175% Increase In Sales Leads To Revised Forecasts
Nintendo released its second quarter financial statements today, and it spells good news for the company. Across the board the business is thriving and forecasts have been smashed and have had to be revised up for the remaining six months of its fiscal year.
Net sales at Nintendo for the first six months of the fiscal year (April through September 2017) came in at $374 billion yen ($3.29 billion). Last year during the same time period the company reported $1.2 billion – a 175% increase! Profit is also up 37.5% thanks in part to strong sales of Nintendo Switch and its software.
Speaking of sales, Nintendo had projected to sell 10 million Nintendo Switch consoles from April 1 through March 31. It has revised its estimate up to 14 million consoles. As a result it has modified its estimated Net Sales up by 28%, Operating Profit up by 84%, and Ordinary Profit up by 108.3%.
So far Nintendo has shifted 7.63 million Nintendo Switch consoles. Remember, they still have to go through the holiday season, which typically is the busiest time of year for new system sales. The Nintendo 3DS line hasn’t been slouching this year either. In fact, for the quarter 2.86 million more were sold, which is actually a 5% increase over last year’s second quarter. Perhaps the only blemish was that software sales were only 13.82 million units, down 28% from the prior year.
Thanks in part to the massive indie developer support, download sales on the eShop have skyrocketed. Digital sales raked in $200 million, a 55% increase over last year. Plus, smart device revenue was up 426% with $157 million in revenue.
As for Nintendo Switch software, 22 million pieces were sold in the last six months (27.5 million total life-to-date) and the market has received many of Nintendo’s first party games extremely well. There are five games that have sold over 1 million copies. The best selling game on the system remains The Legend of Zelda: Breath of the Wild with 4.7 million sold. The rest include: Mario Kart 8 Deluxe (4.42 million), Splatoon 2 (3.61 million), 1-2 Switch (1.37 million), and ARMS (1.35 million). We fully expect Super Mario Odyssey to join this million-seller club for the following quarter.
Looking forward, Nintendo still has some big games releasing soon. Pokémon Ultra Sun & Ultra Moon will arrive on 3DS this November 17. Xenoblade Chronicles 2 on Nintendo Switch is scheduled for December 1. We found it interesting that according to Nintendo’s release schedule both Dragon Quest Builders and Project Octopath Traveler are being published by Nintendo in the west.
Craig has been covering the video game industry since 1995. His work has been published across a wide spectrum of media sites. He’s currently the Editor-In-Chief of Nintendo Times and contributes to Gaming Age.
