# Nintendo Switch 2 sales dip, profit jumps

> Live situation record from CLSTR: https://clstr.news/situations/nintendo-switch-sales-and-digital-revenue
> Updated: 2026-08-06T08:02:38.000Z. Sources: 27. Developments: 2.

Nintendo’s August 2026 update confirmed that digital software now supplies roughly 61 % of total Switch 2 software revenue, reinforcing the shift toward digital distribution. Net profit surged 53.5 % year‑on‑year to ¥147.4 billion, helped by a ¥39 billion refund from U.S. import tariffs and a ¥34.8 billion rise in IP‑related income driven largely by the Super Mario Galaxy movie.

Despite the profit boost, net sales fell 9.5 % to ¥517.8 billion and hardware shipments continued to lag, with 3.82 million Switch 2 consoles sold worldwide and a 34 % drop in shipments compared with the launch period. Software performance remained strong: 9.46 million Switch 2 software units were shipped, led by Tomodachi Life (≈7.94 million copies) and Pokemon Pokopia (≈1.27 million copies outside Japan). Nintendo projects full‑year profit of ¥310 billion, about 27 % lower than the prior year, and expects console sales of 16.5 million units (‑17 %) while software sales should reach 60 million units (+23 %). The company warned that hardware profitability is likely to deteriorate through year‑end.

## Claims

- IP‑related income rose 107.4 % year‑on‑year to ¥34.8 billion, driven largely by revenue from the Super Mario Galaxy movie. (corroborated by 11 sources)
- Nintendo's net profit for the April‑June quarter was ¥147.4 billion, up 53.5 % year‑on‑year. (corroborated by 9 sources)
- Quarterly net sales declined 9.5 % to ¥517.8 billion. (corroborated by 8 sources)
- Switch 2 software sales were led by Tomodachi Life: Living the Dream (≈7.94 million units) and Pokemon Pokopia (≈1.27 million units outside Japan). (corroborated by 8 sources)
- Refunds of U.S. import tariffs added about ¥39 billion to Nintendo's earnings for the quarter. (corroborated by 8 sources)
- Nintendo shipped 3.82 million Switch 2 consoles during the quarter. (corroborated by 7 sources)
- Nintendo forecasts full‑year profit of ¥310 billion, down about 27 % YoY, and expects Switch 2 sales of 16.5 million units, down roughly 17 % YoY. (corroborated by 6 sources)
- Nintendo sold 9.46 million Switch 2 software units in the quarter. (corroborated by 6 sources)
- Switch 2 hardware shipments in the quarter were 3.82 million units, a 34% decline from the launch period. (corroborated by 4 sources)
- Nintendo posted net income of ¥147.4 billion ($934 million) for the June quarter. (corroborated by 3 sources)
- Earnings were boosted by refunds of U.S. import tariffs imposed in 2025 and later rescinded. (corroborated by 3 sources)
- Sales of Switch 2 software were led by Tomodachi Life: Living the Dream and Pokemon Pokopia. (corroborated by 3 sources)

## Timeline

### 2026-08-06: Nintendo reports 53.5% profit jump as Switch 2 sales and Super Mario movie boost earnings

Nintendo’s Q1 profit rose 53.5% to ¥147.4 bn, sales fell 9.5% to ¥517.8 bn; 3.82 m Switch 2 consoles and 9.46 m software units sold, boosted by tariff refunds and the Super Mario movie.

25 sources. https://clstr.news/cluster/nintendo-posts-strong-earnings-on-us-tariff-refunds-and-switch-2-game-sales

### 2026-08-06: Nintendo digital sales exceed 60% of Switch revenue, revenue nearly doubles

Nintendo says digital sales now make up 61.5% of Switch software revenue, with digital revenue almost doubling to 1.33 trillion yen this quarter.

2 sources. https://clstr.news/cluster/nintendo-digital-sales-exceed-60-of-switch-revenue-revenue-nearly-doubles

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Cite as: Nintendo Switch 2 sales dip, profit jumps. CLSTR, https://clstr.news/situations/nintendo-switch-sales-and-digital-revenue