Nin­tendo cashes in on Switch suc­cess

The Hamilton Spectator - - BUSINESS - YURI KAGEYAMA

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.

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