The Switch 2 is already having a big effect on Nintendo’s bottom line

It’s crazy to think the Nintendo Switch launched all the way back in 2017. The console has had an amazing life cycle, with hundreds of incredible games released on it over the years. But, as the anticipation for the console’s long-awaited successor, the Switch 2, continues to build, Nintendo has realized the Switch might not sell as well as it usually would this holiday season as interest in it fades and fans look forward to purchasing Nintendo’s newest console next year.

As a result, Nintendo is cutting its forecast for Switch sales for its fiscal year ending in March 2025. Nintendo previously anticipated it was going to sell 13.5 million Switch units by the end of its fiscal year. It’s now estimated it’s going to sell 12.5 million units, down a million units.

It seems the Switch’s growing age is making demand for the console wane, as many consumers who want one probably already have one after seven years of being on the market.

Nintendo is also reporting lower profits

The company will be relying on the Switch 2 to re-energize its sales

The news of Nintendo lowering its Switch sales forecast comes as the company also reports falling profits. During its second fiscal quarter (which ended September 30), its revenue was 276.7 billion yen (about $1.82 billion), exceeding its forecast revenue of 273.34 billion yen (about $1.8 billion). However, revenue fell 17 percent year-on-year (via CNBC).

The company also reported that its net profit was 27.7 billion yen (about $182 million), much lower than the 48.06 billion yen (about $316 million) expected. Nintendo’s net profit has plummeted 69 percent versus the same period last year.

In 2023, Nintendo’s sales were aided by the massive success of the Super Mario Bros. Movie, and the release of The Legend of Zelda: Tears of the Kingdom. This year, unfortunately, has not been the same for the company.

With sales and interest in the seven-year-old Switch console fading, Nintendo will be heavily relying on the launch of the Switch 2 to boost sales and reinvigorate the hype and love for its games once again. It’s rumored the Switch 2 will launch in early 2025. Hopefully, Nintendo will be able to manufacture enough consoles to meet the strong demand it will most likely have.

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