Nintendo Financial Results Explanatory Material: 1st Quarter of Fiscal Year Ending March 2024

Nintendo’s financial results for the first quarter of the fiscal year ending March 2024 demonstrate significant year-on-year growth, driven primarily by the successful launch of major software titles and the global performance of the Super Mario Bros. movie. For the period spanning April 1, 2023, to June 30, 2023, net sales reached 461.3 billion yen, a 50.0% increase compared to the same quarter in the previous fiscal year. Operating profit rose by 82.4% to 185.4 billion yen, while net profit attributable to owners of the parent grew by 52.1% to 181.0 billion yen.

The dedicated video game platform segment served as the primary revenue driver, contributing 427.4 billion yen, a 44.6% increase. This growth was bolstered by a 13.9% rise in hardware unit sales and a 26.1% increase in software unit sales. The release of The Legend of Zelda: Tears of the Kingdom was a standout success, selling 18.51 million units during the quarter and significantly impacting both software and hardware sell-through. Additionally, the mobile and IP-related business saw a 190.1% surge in sales to 31.8 billion yen, largely attributed to royalties and visual content revenue from the Super Mario Bros. movie.

Geographically, the company maintained a strong international presence, with 80.0% of sales generated outside of Japan. While sell-in figures for hardware declined in the Americas and Europe, consumer sell-through increased across all regions. The number of annual playing users for the Nintendo Switch reached a record high of over 116 million. Despite these strong quarterly results, the company maintained its full-year financial forecast, citing no changes to the projections announced in May 2023. The results reflect a robust start to the fiscal year, supported by high-profile software releases and successful cross-media IP expansion.