Nintendo Reports Strong Q1 2025 Financial Results as Switch 2 Breaks Records
- Sagar Mankar
- 17 hours ago
- 2 min read
Nintendo has released its financial results for the first quarter of fiscal year 2025, ending June 30, and the numbers highlight a powerful start for the newly launched Switch 2 console.
The gaming giant reported net sales of ¥572 billion ($3.8 billion), representing a massive 132% year-over-year increase.
Operating profit came in at ¥56.8 billion ($377 million), a modest 4.4% increase, while profit attributable to the parent company jumped 18.6% to ¥96 billion ($638 million).
However, ordinary profit saw a decline of 15.6%, totaling ¥95.8 billion ($636 million), largely due to foreign exchange losses.
At the heart of this performance is the success of the Nintendo Switch 2, which launched globally on June 5, 2025. Within just four days, the hybrid console sold 3.5 million units, marking the best-ever launch for any Nintendo gaming platform to date. Total hardware sales for Switch 2 reached 5.82 million units in the quarter, while the original Switch still managed to move 0.98 million units, showing the legacy console isn’t fading away just yet.
Nintendo also confirmed that global sell-through of the Switch 2 has now exceeded 6 million units within seven weeks of launch. Demand is clearly outpacing supply, with the company acknowledging shortages and stating it’s "strengthening production and supply systems" to meet the surging global interest.
One of the major drivers behind this early momentum is Mario Kart World, a launch title that sold 5.63 million units, almost matching the total console units sold.
In total, Switch 2 software/games sales hit 8.67 million units, while software for the original Switch reached 24.4 million units during the quarter. Legacy hits like Mario Kart 8 Deluxe and Super Mario Party Jamboree also contributed significantly.
Interestingly, despite the hardware and first-party software boom, digital sales dipped 13.5% year-over-year, largely due to a decline in "downloadable versions of packaged software for Nintendo Switch."
Nintendo's IP-related revenue also dropped 4.4%, attributed to a decrease in film-related earnings — not too surprising given that The Super Mario Bros. Movie was released back in 2023. Fans can expect a future boost with the release of The Legend of Zelda live-action film, slated for May 7, 2027.
Nintendo continues to maintain an active user base, with over 100 million annual players between July 2024 and June 2025.
Looking ahead, Nintendo reaffirmed its full-year forecast, aiming for a 63.1% sales increase by the end of March 2026. Several upcoming initiatives are expected to bolster this goal. These include hosting Nintendo Live 2025 TOKYO in October, opening a new flagship store — Nintendo FUKUOKA — by year-end, and expanding its IP in various non-gaming fields.
In terms of software pipeline, Nintendo plans to keep the momentum going with titles like Donkey Kong Bananza, Drag x Drive, and Kirby and the Forgotten Land – Switch 2 Edition in August, followed by Pokémon Legends: Z-A and a Switch 2 bundle in October.
Nintendo also confirmed that Metroid Prime 4 and Kirby Air Riders are still scheduled to release in 2025.