Company Reports

We believe that Nintendo’s 2014 policy change was the turning point for the company. Rather than limiting its popular characters to game consoles, Nintendo expanded them to other platforms by launching smartphone games, allowing Universal Studios to use its characters, releasing animated movies, and selling figurines.

We believe that Nintendo’s 2014 policy change was the turning point for the company. Rather than limiting its popular characters to game consoles, Nintendo expanded them to other platforms by launching smartphone games, allowing Universal Studios to use its characters, releasing animated movies, and selling figurines.

Nintendo's first-quarter revenue fell 10% year-on-year, mainly due to lower Switch 2 console shipments, while operating profit rose more than twofold. Excluding roughly USD 300 million in US tariff refunds, operating profit still increased by more than 60%, driven by stronger game shipments.

Nintendo closed the Switch 2 launch year with 19.9 million consoles shipped in fiscal 2025 (ended March 2026). For fiscal 2026, they expect a 17% decline in Switch 2 console shipments and an 11% decline in total game shipments. Nintendo announced console price increases, citing rising memory costs.

We believe that Nintendo’s 2014 policy change was the turning point for the company. Rather than limiting its popular characters to game consoles, Nintendo expanded them to other platforms by launching smartphone games, allowing Universal Studios to use its characters, releasing animated movies, and selling figurines.

Nintendo's sales for the December quarter increased 86% year over year, driven by the Switch 2 platform launched in June. Meanwhile, gross margin dropped to 38.9% from 57.2% due to the thin margin of the new console. Nintendo shipped 7 million Switch 2 consoles for the quarter.

We believe that Nintendo’s 2014 policy change was the turning point for the company. Rather than limiting its popular characters to game consoles, Nintendo expanded them to other platforms by launching smartphone games, allowing Universal Studios to use its characters, releasing animated movies, and selling figurines.

Over the past two weeks, Nintendo's shares have fallen by more than 10% amid concerns about memory shortages. The shortage of conventional memory is becoming increasingly severe, as suppliers redirect their resources toward high-bandwidth memory for artificial intelligence.

Nintendo's September-quarter revenue was up 91% year on year, due to the release of the Switch 2 console in June. During the quarter, the company shipped 4.5 million Switch 2 consoles and raised its fiscal year 2025 (ending March 2026) shipment guidance to 19 million from 15 million.

We believe that Nintendo’s 2014 policy change was the turning point for the company. Rather than limiting its popular characters to game consoles, Nintendo expanded them to other platforms by launching smartphone games, allowing Universal Studios to use its characters, releasing animated movies, and selling figurines.

We believe that Nintendo’s 2014 policy change was the turning point for the company. Rather than limiting its popular characters to game consoles, Nintendo expanded them to other platforms by launching smartphone games, allowing Universal Studios to use its characters, releasing animated movies, and selling figurines.

Following the June 5 launch, Nintendo shipped 5.8 million Switch 2 consoles by the end of the month, marking the fastest shipment pace in game console history. Despite this strong start, Nintendo maintained its projection of shipping 15 million Switch 2 consoles for fiscal 2025 (ending March 2026).

Nintendo announced that it sold over 3.5 million Switch 2 consoles in the four days following its June 5 release.

For fiscal year 2025 (ending March 2026), Nintendo guides for revenue growth of 63.1% due to the launch of its new game console, Switch2, scheduled for June 5. The company forecasts 15 million console shipments and 45 million game shipments for the new platform in the new fiscal year.

We believe that Nintendo’s policy change in 2014 is offering the firm a new growth opportunity, through not limiting its popular characters to game consoles, but expanding them to other platforms—such as launching smartphone games, allowing Universal Studios to use its characters, launching animation movies, and selling figurines.

On April 2, Nintendo has unveiled its new console, Switch 2, on its own YouTube program. It will be launched on June 5, with a price tag of USD 449.99. The company has prepared a Japanese-only version that will cost JPY 49,980.

We believe that Nintendo’s policy change in 2014 is offering the firm a new growth opportunity, through not limiting its popular characters to game consoles, but expanding them to other platforms—such as launching smartphone games, allowing Universal Studios to use its characters, launching animation movies, and selling figurines.

Nintendo's December-quarter revenue and operating income fell by 27.7% and 31.7%, respectively, due to a slowdown in Switch console and game shipments. Accordingly, the company lowered its operating income guidance for fiscal 2024 (ending March 2025) from JPY 360 billion to JPY 280 billion.

We believe that Nintendo’s policy change in 2014 is offering the firm a new growth opportunity, through not limiting its popular characters to game consoles, but expanding them to other platforms—such as launching smartphone games, allowing Universal Studios to use its characters, launching animation movies, and selling figurines.

Nintendo's September-quarter revenue and operating income were down 17.4% and 29.2% year over year, respectively, but both aligned with our expectations. The company lowered its operating income forecast for fiscal 2024 (ending March 2025) by 10%, which wasn't as bad as we had feared.