Nintendo shines in Q2 earnings thanks to strong Switch and game sales

[midian182]

What just happened? Nintendo has announced what was a very good fiscal second quarter for the Japanese gaming giant. In addition to beating sales and profit expectations, the Switch moved slightly closer to becoming the company's best-selling console of all time. It also announced a new Switch OLED bundle, but there was no comment on plans for a Switch successor.

Nintendo's revenue for the fiscal second quarter stood at 334.9 billion Japanese yen ($2.2 billion), beating the expected figure of 317.3 billion yen. Net profit, meanwhile, stood at 90.3 billion yen ($599.5 million), ahead of the expected 75.7 billion yen.

For the six months between April to September, Nintendo reported a 21.2% year-on-year rise in revenue to 796.2 billion yen as net profit increased 17.7% to 271.2 billion yen. Video game sales were boosted by the likes of Tears of the Kingdom and Pikmin 4 - titles that encouraged more people to buy Switch consoles - and Nintendo said the Mario Bros. Movie also contributed to IP-related income while boosting sales of the Mario games.

Switch sales were up 2.4% YoY during the last quarter. The Switch OLED was the most popular model with 4.69 million units sold. Nintendo said its overall sales in the first half of the fiscal year have been "the largest since the launch of Nintendo Switch."

The better-than-expected sales figures have prompted Nintendo to raise its annual profit forecast.

The Switch's 132 million sales puts it in third place on the list of best-selling consoles of all time – a remarkable achievement for a device that was only released in 2017 and to plenty of skepticism at the time. It still isn't Nintendo's best-selling console, though; that honor goes to the Nintendo DS with 154 million sales.

Following the release of the earnings report, Nintendo president Shuntaro Furukawa refused to comment on plans for a Switch successor during a conference call. A recently discovered Nintendo patent showing a dual-screen device has led to rumors that some elements of the design could appear in the Switch 2.

Back in September, sources claimed that Nintendo held closed-door presentations of the Switch 2 during Gamescom 2023 in Germany a month earlier.

In other news, Nintendo has announced a new OLED Switch bundle ahead of Black Friday that includes Joy-Cons that feature the game's logo, a full game download of Super Smash Bros. Ultimate, and three months of Nintendo Switch Online's Individual membership. It will cost $349 when it arrives on November 19 at select retailers and the My Nintendo Store.

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https://www.techspot.com/news/100762-nintendo-shines-q2-earnings-thanks-strong-switch-game.html

 

[EdmondRC]

This is why I see little reason for any drastic changes to the Switch formula. Switch is going to be the best-selling console of all time. Switch 2 really just needs to be tweaked and obviously a generational + increase in performance. The real work Nintendo needs to do is with their online services.

 

[m4a4]

The real work Nintendo needs to do is with their online services.

And their treatment of fans.
But as long as people keep voting with their wallets that their anti-consumer behaviour is fine, they will do the bare minimum.

 

[Theinsanegamer]

And their treatment of fans.
But as long as people keep voting with their wallets that their anti-consumer behaviour is fine, they will do the bare minimum.

They treat their fans a lot better then companies like sony and MS that shove half baked microtransaction laden trash down their fans throats.

 

[m4a4]

They treat their fans a lot better then companies like sony and MS that shove half baked microtransaction laden trash down their fans throats.

Lol what? What reality are you in that you are forced to play anything like you describe? Not that your whataboutism makes much sense anyways.

Which, the reality the rest of us are in, we have Nintendo's s**tty online service that is required to even backup your saves (emulation is required to get around this problem offline), and good luck if you're a Super Smash Bros fan who wants to do a community tournament lol

 

[Burty117]

They treat their fans a lot better then companies like sony and MS that shove half baked microtransaction laden trash down their fans throats.

Most of Sony’s games are single player experiences, and they don’t do weird things like block them from being streamed on the internet.

Did you hear Nintendo's latest try? They’re effectively trying to stop super smash bro tournaments for seemingly no reason.

 

[EdmondRC]

And their treatment of fans.
But as long as people keep voting with their wallets that their anti-consumer behaviour is fine, they will do the bare minimum.

Nintendo wants to protect their IPs, their approach doesn't always make sense, but ultimately, they want to send the message that their IPs are off-limits to anyone without their express permission. When you really think about it, the part that does make sense is that Nintendo's biggest assets are its IPs. I say this as a fan, but Nintendo games get a huge boost from just having the characters they have. You could make Mario Wonder, for example, with different characters, otherwise the same game, and it might do okay, but I guarantee you it would have gotten lower ratings, more critiquing, lower sales, and it would be forgotten in a few months. This is not a knock on Mario Wonder, just pointing out how powerful the Mario brand is.

 

[Zsoltblabla]

And their treatment of fans.
But as long as people keep voting with their wallets that their anti-consumer behaviour is fine, they will do the bare minimum.

What are you talking about?? I have no complaints about Nintendo whatsoever.

 

[m4a4]

Nintendo wants to protect their IPs, their approach doesn't always make sense, but ultimately, they want to send the message that their IPs are off-limits to anyone without their express permission. When you really think about it, the part that does make sense is that Nintendo's biggest assets are its IPs. I say this as a fan, but Nintendo games get a huge boost from just having the characters they have. You could make Mario Wonder, for example, with different characters, otherwise the same game, and it might do okay, but I guarantee you it would have gotten lower ratings, more critiquing, lower sales, and it would be forgotten in a few months. This is not a knock on Mario Wonder, just pointing out how powerful the Mario brand is.

This has nothing to do with protecting IP. This is more along the lines of bullying creators/organizers because they feel entitled to control something that they probably have no right to dictate. However, because these people are so small, they don't have the money to lawyer up and push back (and Nintendo knows this). If someone rips off their IP, I fully support Nintendo. But pretending they can control all content? That's just plain bullying.

What are you talking about?? I have no complaints about Nintendo whatsoever.

Good for you. Seems like you don't pay much attention to the takedowns and whatnot that Nintendo throws at creators and event organizers to really add anything to this conversation.

 

[bondflavor]

Boo, more news about Nintendo being richly rewarded for being a worse, less creative, more anti-consumer company than they were pre-Switch.

I've been a lifelong Nintendo fan, and yet I have a Series S and not a Switch. Modern Nintendo is really lame.

 

[Theinsanegamer]

Lol what? What reality are you in that you are forced to play anything like you describe? Not that your whataboutism makes much sense anyways.

Which, the reality the rest of us are in, we have Nintendo's s**tty online service that is required to even backup your saves (emulation is required to get around this problem offline), and good luck if you're a Super Smash Bros fan who wants to do a community tournament lol

I never said you were forced to play them, just like you are not forced to use nintendos online service, but go off king, spread your whataboutism!

Boo, more news about Nintendo being richly rewarded for being a worse, less creative, more anti-consumer company than they were pre-Switch.

I've been a lifelong Nintendo fan, and yet I have a Series S and not a Switch. Modern Nintendo is really lame.

Yeah, MS is great with their more creative products like.....another halo.....and another forza with less features and more microtransactions.

Yay?

Most of Sony’s games are single player experiences, and they don’t do weird things like block them from being streamed on the internet.

Did you hear Nintendo's latest try? They’re effectively trying to stop super smash bro tournaments for seemingly no reason.

Yeah, sony NEVER does that...

Oh wait

https://arstechnica.com/gaming/2015...ing-of-until-dawn-twitch-streams-through-ps4/

 

[m4a4]

I never said you were forced to play them, just like you are not forced to use nintendos online service, but go off king, spread your whataboutism!

So, you have no good argument (besides repeating the big word I used). And being disingenuous about backups and their online service.
Gotcha. You are part of Nintendo's anti-consumer problem. Congrats.

 

[bondflavor]

Yeah, MS is great with their more creative products like.....another halo.....and another forza with less features and more microtransactions.

I wasn't trying to claim that Microsoft is more creative, just that the Series S presented a better value to me than the Switch. I have a Wii U for my Nintendo games.

I didn't buy the Series S for its first party output. I bought it because I had owned a Xbox One S All-Digital previously and had a library of digital games built up. Lately I've been playing mostly Mega Man games on it. Definitely not interested in Forza or Halo Infinite.

Microsoft isn't great either, really. If there's one thing the Switch does right, it's no ads, while the Xbox interface is now swimming in them thanks to a recent update. I now keep my Xbox completely offline unless I need to download a game, so that I don't have to put up with the ads.