Nintendo’s only real blockbuster this fiscal year is the Ocarina Of Time remake. It’s not enough to make investors happy, especially after the device is now as expensive as it is,
said Serkan Toto, CEO of Kantan Games. Nintendo reported a 16 percent decline in operating profit to ¥73.9 billion ($468 million) for the second fiscal quarter. Total sales dropped 15 percent as rising component costs and a lack of new game releases hit earnings.
Nintendo reported selling 2.67 million Switch 2 units in the quarter ending September 30, 2026. This represents a 41 percent year-over-year decrease. The company still expects to reach 16.5 million units in full-year sales. This target would push lifetime sales to 36.36 million units by the end of March 2027.
The console has shipped 26.35 million units lifetime. Regional totals include 9 million in the Americas, 5.85 million in Europe, 7.07 million in Japan, and 4.42 million elsewhere.
1/4 Nintendo's main memory chip maker is quitting the Switch business Macronix, which makes the ROM chips in Switch 1 and Switch 2 game memory cards, is phasing out that business. There will be no new ROM products, and Q3 is the last quarter it reports ROM sales separately.
Rising Hardware Costs
Hardware sales fell as Nintendo increased prices in the United States, Canada, and Japan. Memory shortages and surging chip prices further complicate the selling environment.
Software Sales Resilience
Software sales proved resilient despite cooling hardware demand. Nintendo sold 24.49 million Switch 2 games in the first half of the year, up 19 percent from 2025. Total lifetime software shipments reached 73.21 million. Tomodachi Life: Living the Dream and Pokémon Pokopia were strong performers.
Analysts remain cautious about the lack of marquee titles. Investors are watching the remake of The Legend of Zelda: Ocarina of Time, released on Thursday, to boost sales. It’s getting harder and harder to sell video game hardware these days, and only hits help. Nintendo must step on the gas and deliver more big games next fiscal year to make sure the Switch 2 momentum continues,
Toto noted.
Nintendo confirmed new Pokémon titles arrive in 2027. An executive recently stated there are no plans to ditch physical
media for the Switch 2.
Earlier coverage: Macronix phases out ROM chip production for Nintendo Switch cartridges
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