The Japanese manufacturer of game consoles and video games Nintendo announced results for the first financial quarter, which ended for the company on June 30. At the end of the three-month period, the company’s net profit fell by 55.3%, and revenue decreased by 46.5% compared to the same period last year.
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In the first fiscal quarter, Nintendo’s revenue was 246.6 billion Japanese yen ($1.65 billion), while analysts expected quarterly revenue of 289.61 billion yen. At the same time, the company’s net profit for three months amounted to 80.9 billion yen against the expected 70.73 billion yen. Nintendo sold 2.1 million Switch consoles in the quarter, down 46% from the same period last year.
Investors are awaiting news about a successor to the Switch console, which could revive the company’s gaming business. Previously, the manufacturer stated that the new console will be officially presented in the current financial year, which will end for the company in March 2025. Nintendo also announced its intention to sell 13.5 million current-generation Switch consoles this year. During the announcement of quarterly results, the manufacturer left its forecast for console sales unchanged.
The Switch has been around for over seven years, and the console is the company’s second most successful console in terms of units sold, after the Nintendo DS. During the life cycle of the device, the developers updated the console screen and maintained interest in it through popular game franchises. However, this effect weakens over time, and Nintendo did not release a single blockbuster game in the last quarter. Software sales fell by 41% compared to last year to 30.64 million game copies.