Nintendo cashes in on Switch success
TOKYO — Japanese video-game maker Nintendo Co. has reversed into profit for the April-June quarter from losses the previous year, boosted by the popularity of its Switch hybrid game machine.
Kyoto-based Nintendo reported Wednesday a profit of US$190 million for the fiscal first quarter, improving from a 24.5 billion yen loss for the three months through June 30 last year.
Quarterly sales more than doubled to US$1.4 billion from the previous year.
Nintendo, which makes Super Mario and Pokemon games, left unchanged its full year forecast through March 2018, for US$402 million net profit on US$6.7 billion sales.
Nintendo sold 1.97 million Switch machines during the quarter, for cumulative sales of 4.7 million units since March. It left unchanged its estimate of selling 10 million Switch machines in the fiscal year through March 2018.
The Switch is a new kind of machine for Nintendo, which allows for playing both at home and on the go.
The challenge for Nintendo has been to keep the sales momentum going for new consoles, as they are snatched up in the initial years, but then interest tends to wane.
Nintendo said its Switch game software sales have been solid, with demand strong for “Mario Kart 8 Deluxe, “ARMS” and “The Legend of Zelda: Breath of the Wild.”
Its “Splatoon 2” has just gone on sale and “Super Mario Odyssey” for the Switch will launch in October.
Nintendo, which also makes the 3DS portable console, has also scored success in offering games for smartphones and other devices that aren’t Nintendo machines.