Nintendo sees Switch console doubling full-year profit

For the last financial year Nintendo's operating profit fell 10.7 percent to 29.36 billion on sales of 489.09 billion yen, down three percent, the company said, amid poor demand for the Wii-U console. Time reports Nintendo sold 2.74 million Switches in March after launching March 3.

The newest game from Nintendo, "The Legend of Zelda: Breath of the Wild", is one of the best games released in years. While Ono isn't sure if the Switch will beat the Wii in total unit sales, Ono does think the Switch will be more profitable due to the vast array of exciting new and classic games that Switch users are expected to buy. As more and more consumers get their gaming fix on smartphones, console sales have dwindled. The number does not even factor in sales of the game on the Wii U, which, if added, total to 3.84 million copies.

The initial Switch results represent a "promising start" for the new console, the company said in its earnings report this morning for the fiscal year ended March 31.

Unlike Sony and Microsoft, which generate only a portion of their revenues from videogames, almost all of Nintendo's revenue stems from console hardware and game sales.

The company anticipates selling another 10 million Switch machines in the fiscal year that ends in March 2018. Nintendo predicted it would move 2 million of its hybrid game slate - it can be either a TV console or a handheld - by the end of March. He argued that he expects Switch's sales to mirror the ones of the Nintendo 3DS.

The decision comes with the 3DS posting a 7% hardware sales increase of the previous year. Although the release of some new titles offering amiibo functionality restored some momentum, amiibo sales remained limited to 9.1 million units for figure-type and 9.3 million units for card-type.

"While I'm going to stay hardworking on Breath of the NES for as long as I can, if Nintendo asks me to stop using their IP, I do plan to continue development with my own original characters", developer Winter Drake told Kotaku, "I'm having way too much fun creating this world to just give up". Either way, Nintendo is seeing some of their best years so far.

Nintendo president Tatsumi Kimishima stated that he expects the company to pull in $6.7 billion in revenue and $404 million in net profit, with this profit being affected by the company ramping up its marketing budget for the Switch. Last year, the company released a Nintendo Classic Edition, which came with pre-installed games and cost $59.99.

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