Nintendo has unveiled its financial results for the fiscal year 2025 (April 2024 to March 2025), and during an online press conference on May 8, President Shuntaro Furukawa discussed the company's high expectations for the upcoming Switch 2, as well as potential challenges, including U.S. tariffs. As the launch date of June 5 nears, demand for the Switch 2 is soaring, with Nintendo's official pre-order lotteries being massively oversubscribed, particularly in Japan. Nintendo is actively working to ramp up production to meet this demand and is forecasting sales of 15 million Switch 2 units and 45 million units of software worldwide in the fiscal year 2026 (April 2025 to March 2026).
The Japanese gaming giant is optimistic that the Switch 2's launch will significantly boost its overall sales for FY2026 by 63.1% to 1.9 trillion yen (approximately $13.04 billion USD), with final profits expected to rise by 7.6% to 300 billion yen (approximately $2.05 billion USD).
However, Furukawa's speech also highlighted concerns about the U.S. market and the future profitability of the Switch 2. As a next-generation console with enhanced features and improvements over its predecessor, the Switch 2 comes with a higher price tag. Furukawa noted, "The unit sales price is high, and there are corresponding hurdles, however we are aiming for a launch on par with (the first) Switch," as quoted in the Yomiuri Shimbun. The original Switch sold 15.05 million units in its first year, and Nintendo is targeting at least 15 million units for the Switch 2.
These "corresponding hurdles" include potential issues in the U.S., which has been Nintendo's largest market for the original Switch. President Furukawa expressed concerns about the impact of Trump's tariffs on the Switch 2 and the spending power of American consumers. During the press conference, he stated that the tariff policy could affect Nintendo's profits by "tens of billions of yen." He elaborated, "If prices of daily necessities like food increase (because of the tariffs), then people will have less money to spend on game consoles. If we were to adjust the price of the Switch 2 (in response to the tariffs), this could decrease demand."
Nintendo Switch 2 System and Accessories Gallery
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Analysts have described Nintendo's forecast of 15 million Switch 2 sales as "conservative," citing the uncertainty surrounding tariffs. Despite these concerns, the demand for the Switch 2 appears to be enormous. Following a delay due to tariffs, pre-orders for the Switch 2 opened on April 24 with the console priced at $449.99, and they were met with overwhelming response. Additionally, Nintendo has warned U.S. customers who applied for a Switch 2 pre-order from the My Nintendo Store that delivery on the release date is not guaranteed due to high demand.
For more information, check out IGN's Nintendo Switch 2 pre-order guide.
