Nintendo lifts annual profit outlook on strong Switch console sales

Nintendo lifts annual profit outlook on strong Switch console sales

Nintendo is riding high on the success of its newest game console releases, the biggest of those being its hybrid Switch system that is suitable for both gaming on the go, and when sitting in front of a big screen TV.

Today, Nintendo released its earnings report for the quarter ending in September. Profit for the three-month period came in at £334m. The new estimates still fall short of Thomson Reuters Starmine SmartEstimate of 133.60 billion yen (based on the projections of 22 analysts).

"We've boosted Switch production in order to meet strong demand from our customers as it was hard for customers to buy the consoles at retail stores", said Nintendo President Tatsumi Kimishima.

Thanks to brisk Switch sales and the expectation of more mobile game offerings, gains in Nintendo shares have reached a whopping 75% so far this year.

Nintendo Co. on Monday posted sales of 374.04 billion yen (3.3 billion USA dollars) for the first half of the 2017 business year, compared with 136.81 billion yen a year earlier, owing to brisk sales of its Switch game console.

In addition to selling over 7.63 million consoles, Nintendo have also revealed that 27.48 million Switch games have been sold. He also said that the upcoming holiday season would test the true power of the Switch.

The Nintendo Switch is on track to be more successful than its predecessor console, the Wii U, by leaps and bounds.

The game console and software maker's net profit jumped 34.5 percent to 51.50 billion yen and its operating profit stood at 39.96 billion yen, compared to a 5.95 billion yen loss logged a year earlier. Originally, Nintendo expected to ship 10 million more Switch by April 2018.

Nintendo is enjoying its best year since the heydays of the Wii and DS consoles.

Nintendo's Switch has been a remarkable challenger for Microsoft's Xbox One and Sony's PS4 especially due to its legendary games like Super Mario Odyssey has made its place in gamers' hearts. We are now eight months on since launch and Nintendo continues to struggle to keep up with demand, but that's a problem any console manufacturer loves to have.