Nintendo Adjusts Sales Projections as Switch Demand Falls Short of Predictions
By The Switch has surpassed 150.8 million total sales, yet Nintendo has admitted that the aging platform is performing ‘below expectations.’
In its financial report for the nine months ending December 31, 2024, Nintendo indicated that Switch hardware sales fell by 30.6 percent year-over-year to 9.54 million units. Software sales declined by 24.4 percent year-over-year to 123.98 million units during the same timeframe.
This decrease led to consolidated net sales plummeting by 31.4 percent to 956.2 billion yen ($6.15 billion) for the past nine months. Profits dwindled by 41.9 percent to 237.2 billion yen ($1.5 billion).
Upon analyzing these figures, Nintendo noted that titles launched during the current fiscal year achieved “steady” sales. This includes The Legend of Zelda: Tears of the Kingdom and Super Mario Party All-Stars, which sold 3.91 million and 6.17 million copies respectively.
It also benefited from the enduring popularity of catalog titles like Mario Kart 8 Deluxe, which shifted 5.38 million units over the last nine months. The kart racing game remains the best-selling Switch title ever with over 67 million sold lifetime.
However, the Switch is a system in decline after eight years on shelves, prompting Nintendo to lower its sales forecast. The company now anticipates the Switch to sell 11 million units by the conclusion of the current fiscal year, down from the previous projection of 12.5 million units.
It has also reduced its overall yearly sales forecast by 6.3 percent to 150 million units.
Nintendo underscores Switch player count while hardware and software decline
Despite this adjustment, Nintendo stated that the Switch is “still being purchased by many” and currently boasts 129 million active gamers. The Nintendo Switch OLED Model is currently the leading console in the family in terms of hardware sales.
Additionally, Nintendo pointed out that digital sales dropped by 29 percent year-on-year to 245.8 billion yen ($1.58 billion), primarily due to a decline in downloads of Switch software.
Sales also fell by 33.9 percent year-on-year across the company’s mobile and IP-related businesses, although this downturn is largely attributed to decreased revenues from The Super Mario Bros. Movie.
Looking forward, Nintendo reminded investors (as if they needed reminding) the newly-announced Switch 2 is expected to launch in 2025. The company also confirmed plans to release several significant first-party titles this year, including Metroid Prime 4: Beyond, Pokemon Legends: Z-A, and Xenoblade Chronicles X: Definitive Edition.
The company has now revised its consolidated forecast downwards, expecting to achieve net sales of 1.2 trillion yen ($7.7 billion) and profits of 270 billion yen ($1.73 billion) by the end of the fiscal year on March 31, 2025.
About the Author
Data Editor, GameDeveloper.com
Game Developer data editor Chris Kerr is an award-winning journalist and reporter with over a decade of experience in the gaming industry. His byline has appeared in numerous print and digital publications including Edge, Stuff, Wireframe, International Business Times, and PocketGamer.biz. Throughout his career, Chris has covered major industry events such as GDC, PAX Australia, Gamescom, Paris Games Week, and Develop Brighton. He has served on the judging panel at The Develop Star Awards multiple times and has been featured on BBC Radio 5 Live to discuss breaking news.