Second Quarter Financial Results and Corporate Management Policy Briefing for Fiscal Year Ending March 2025

Nintendo is navigating a transitional phase characterized by a year-over-year decline in sales and profits during the first half of fiscal year 2025, necessitating a downward revision of its full-year financial forecast. Despite these headwinds, the Nintendo Switch maintains significant momentum in its eighth year, supported by a base of over 100 million annual playing users and cumulative hardware sales totaling 146 million units. The company’s core strategy centers on decoupling its performance from traditional hardware cycles by fostering long-term consumer engagement through a unified platform approach, consistent software releases, and robust third-party partnerships.

The organization is actively diversifying its revenue streams by extending its intellectual property beyond dedicated gaming hardware into visual media, theme parks, and retail experiences. This ecosystem is anchored by the Nintendo Account system, which currently connects 366 million registered users. By leveraging these continuous touchpoints, the company aims to solidify enduring relationships with its audience. Looking toward the future, the next-generation console will prioritize continuity by supporting existing Nintendo Switch Online services and ensuring backward compatibility for current software, thereby protecting the value of the existing user base.

To sustain this growth, significant capital is being directed toward research and development, software talent acquisition, and the expansion of non-game visual content. These investments are complemented by a commitment to environmental, social, and governance frameworks, emphasizing supply chain responsibility and corporate transparency. By integrating hardware and software experiences while maintaining a brand reputation built on safety and reliability, the company seeks to transition its audience across generations, ensuring a resilient foundation for long-term commercial viability in the global gaming market.