Nintendo Still Expects Big Year From Switch Despite Slight Dip In Sales

Nintendo Switch moved 1.88 million more units over the last fiscal quarter.

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Now Playing: Nintendo Still Expects A Big Year From Switch Despite Slight Dip In Sales - GS News Update

Nintendo has shared its financial earnings for the first quarter of the current fiscal year, and the Nintendo Switch continues to perform well. The company reports it has sold another 1.88 million Switch consoles worldwide during the period from April through June, bringing the system's total sales up to 19.6 million.

While that represents a slight decrease in Switch hardware sales from the same period last year (down 4.4% year-on-year), software sales grew by more than 120% year-on-year, with 17.96 million units sold during the quarter. Digital sales of packaged Switch games and DLC also grew by 68% from the same period last year.

As for specific first-party game sales, Nintendo Labo sold a combined 1.39 million units worldwide between the Robot and Variety Kits. Donkey Kong Country: Tropical Freeze, which originally released for Wii U back in 2014, moved 1.40 million units on Switch, while Mario Tennis Aces sold 1.38 million copies worldwide, despite launching toward the end of the fiscal quarter.

The Nintendo 3DS continued chugging along, selling another 360,000 units (down approximately 62% year-on-year). The handheld's lifetime sales now stand at 72.89 million units. Meanwhile, Nintendo's smartphone business saw a very modest increase of 0.4% year-on-year. The NES Classic Edition also returned to stores toward the end of the quarter and has already proven to be a success, selling 1.26 million units.

Despite the first half of this fiscal year being somewhat slower for Switch sales, Nintendo still expects to sell 20 million units during this fiscal year, which runs through March 2019. That may still be feasible given how much business it traditionally does during the holiday season. The company says Switch sales in every region have been "trending upward" since E3 2018, and it still has a number of big games lined up for the system through the end of the year.

In addition to the newly announced Nintendo Labo Vehicle Kit, the company is releasing the Xenoblade Chronicles 2 prequel expansion, Torna: The Golden Country, in September; Super Mario Party in October; Pokemon: Let's Go, Pikachu and Let's Go, Eevee in November; and Super Smash Bros. Ultimate in December. Nintendo is also rolling out its premium Nintendo Switch Online service in September.

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Avatar image for Xristophoros
Xristophoros

called it back in november 2017... when there were so few games announced for 2018 at that time, i was suspicious as to what 2018 was going to look like for the switch. turns out 2018 has been incredibly weak for new, flagship titles, and other than smash, which is not a fan favourite for everyone, the switch is going to head into 2019 on a whimper. i don't understand how some people thought nintendo could keep the momentum going with the switch as it was obvious they couldn't. that said, 2019 could be a strong year if they manage to put out their new pokemon and mario maker title. a zelda maker would be amazing to see as well. metroid prime 4 will likely launch in the fall of 2019 but it won't push console sales very much i don't think. what else? nintendo needs to announce a new 3d mario game... mario galaxy 3 perhaps?

as for labo? kill the line now. you will be thankful you did, nintendo.

Avatar image for darkelf83
darkelf83

@Xristophoros: It's holding the same pace PS4 had. Will it pull another 10 million by next March? We'll see how Smash and Pokemon do. Though honestly does it really matter if hardware sales slow a bit as long as software sales stay strong? They only need a little over another 10 million sales to pass the Xbox One. I don't know that it will ever catch the PS4 but hey, that's a long ways off.

Avatar image for Xristophoros
Xristophoros

@darkelf83: well, yea, the switch still appears to be very healthy, but i think it is a bit soon to see a decline in unit sales. this could have been prevented with a better release strategy. heck, even a few more wii u ports this year could have prevented this -- mario 3d world, mario maker and/or the twilight princess/windwaker hd ports would have been nice and helped mitigate this semi-drought period of big releases on the switch. i think x1 is closer to 40m units at this point so it is a bit premature to talk about the switch surpassing it. i can see it happening in two years or so at this rate. speaking of which, ps4 is nearing 83m units which is about to surpass ps3 lifetime sales. ps4 is a lock to surpass 100m untis in the next 12-18 months... that will be a tall order for the switch to reach in my opinon.

Avatar image for doctor_mg
Doctor_MG

@Xristophoros: It's hard for any one of us not part of Microsofts team to comment over the sales of the Xbox One. VGChartz has it listed at around 40 million units, but they've never been completely accurate (periodically they correct the sales tracking for PS4 or Switch after fiscal year reports because they under or over track them).

EA commented that the Xbox One sales are around 29.5 million units. I have a hard time believing this as that means the Xbox One sold only 10 million units in two years (between January 2016 and January 2018).

Avatar image for Xristophoros
Xristophoros

@doctor_mg: true, we don't know for sure and likely never will, but the quote from ea was actually 29.4m units as of december 2017, not january 2016. i think it would be safe to assume that microsoft has not exceeded 40m units in the past 9 months since, although it is possible. 45m units is likely the absolute most it has sold at this point in time.

Avatar image for doctor_mg
Doctor_MG

@Xristophoros:

Maybe the months were off, but here is what I meant. EA quoted around 19M units sold as of the end of 2015 (I believe they reported January of 2016). This year they reported that by the end of 2017 Xbox One was at 29.4M units sold

So Xbox One only sold 10M units in that two year timeframe, according to EA.

Here are the articles: https://arstechnica.com/gaming/2016/01/ea-lets-slip-lifetime-xbox-one-and-ps4-consoles-sales/

https://www.dualshockers.com/ea-estimates-ps4-xbox-one-sales-will-reach-130-million-year-switch-expected-pass-30-million/

Avatar image for P00DGE
P00DGE

Who is buying Nintendo Labo????

Avatar image for jimclirad
JimClirad

Reggie Fils-Aime: "The 3DS sales are UP in America for 2018"

Nintendo publishes quarterly report, shows 3DS sales are DOWN nearly 50% in America- sure, Reggie, the 3DS is really up! Just more lies!

Nintendo fanboys also claim that Switch is UP in sales, yet the quarterly report has it DOWN in sales from this time last year. Why are fanboys so gullible to believe the lying Reggie and Nintendo? Look at the comparison chart from Nintendo's own report, both 3DS (in all regions, including America) and Switch are DOWN, not up!

https://www.nintendo.co.jp/ir/pdf/2018/180731e.pdf

Avatar image for doctor_mg
Doctor_MG

@JimClirad

Nintendo Switch has sold 4.84 million consoles this calendar year vs. 4.71 million units they sold this time last calendar year. That’s why people are saying sales are up.

Avatar image for videogameninja
videogameninja

Even though there has been a dip in sales those are still impressive numbers for a system many thought (including yours truly.) would be a repeat in many ways of the Nintendo Wii U. I’m glad for Nintendo’s sake that it didn’t turn out that way and truth be told last year was one of the best years I can think of in recent memory for the “Big N”.

With that being said I think Nintendo really blew their load so to speak in 2017 (-ughh… Ninja… really?-). Not only did they drop a brand new system on gamers but they released a new Super Mario game (always a show stopper.) and what many have argued is one of if not the best game of the last 10 years in the way of Zelda: BOTW. To say that’s a tough act to follow is quite an understatement and I don’t think many are expecting Nintendo to follow up that act this year let alone even the next.

Hopefully we will see continued success in the coming years especially with Nintendo’s willingness recently to place an emphasis on more big name 3rd party titles. I see a lot of potential for the trajectory the Switch is still headed and I’m hoping the higher ups and Nintendo continue to deliver excitement more in line with their 2017 showing.

-MAKE THE SWITCH NINJA APPROVED-

Avatar image for chisoxrule
chisoxrule

I wouldn't expect much in sales this year considering their E3 presentation was complete horse manure...

Avatar image for jimclirad
JimClirad

@chisoxrule: yet their fanboys keep saying that Switch (and 3DS) are UP, yet Nintendo's own report has them being DOWN! They then think a Pokemon SPINOFF is going to garner all these sales, and it's like when have Pokemon spinoffs ever been system sellers? They also argue Smash will do it, but how well did Smash push Wii U again?? Geez these fanboys aren't very smart, are they?

Avatar image for aross2004
aross2004

@jimclirad: You say "fanboys" a lot. Makes you sound like a fanboy...

Avatar image for fenbops
Fenbops

I love my switch I really do, recently got back on it with the excellent Octopath Traveler. I just wish they’d release more titles, next game I want is Fire Emblem and that’s not till next year.

Avatar image for Thanatos2k
Thanatos2k

Obviously sales are going to go down when Nintendo fires off the first wave of games and then the long drought sets in. Mario Tennis won't be moving many units. Sales will rebound when Smash and other big stuff comes out, then tank again during the next Nintendo drought. It's always been this way.

Avatar image for jimclirad
JimClirad

@Thanatos2k: Yeah, Smash will push Switch units like it did Wii U! Oh, wait...

Avatar image for Thanatos2k
Thanatos2k

@jimclirad: Is this some kind of revisionist history? Smash DID push Wii U units.

Avatar image for rickjamesia
rickjamesia

@jimclirad: It actually did though? The time around the releases of Smash and Mario Kart were the highest sales periods for Wii U, weren't they?

Avatar image for P00DGE
P00DGE

@jimclirad: I mean, I bought a Wii U just for Smash. I eventually ended up buying Mario Kart and Mario Maker later, but more as second thoughts. I also bought Breath of the Wild for it. But Smash was the system seller for me, and I only own 4 games on the Wii U.

There currently are ZERO games I would want to play on the Switch. Maybe Mario Odyssey, but it is extremely low on my priority list. I haven't made up my mind about getting a Switch just for Smash Bros this time though. I want to see more new content (brand new fighters and stages and such) before making up my mind. Otherwise, I will probably wait until Metroid Prime 4 is released, and then pick up Smash Bros with it then. Mario Party has me intrigued since it seems to be avoiding the mess those games were in for the last 3 or 4 installments. But Mario Party is another "second thought" game, not a system seller.