Nintendo officially unveiled its next-gen console, the Nintendo Switch 2, on January 16, 2025, sparking massive global hype. Details like hardware specs and pricing are set to drop during a Nintendo Direct on April 2.
Yesterday (Feb 5), Nintendo released the Q&A summary from its Q3 FY2025 earnings call (for the period ending December 31, 2024). Naturally, the burning questions revolved around the "Nintendo Switch 2"'s pricing and production, to which President Shuntaro Furukawa offered some insights.
During the meeting, one reporter pressed on whether inflation and fluctuating exchange rates would impact the Switch 2's price, and if it would deviate from the current Switch's price range.
Furukawa acknowledged, "The exchange rate environment has significantly shifted compared to the original Nintendo Switch launch in 2017." However, he emphasized, "We absolutely must consider player expectations for Nintendo products and aim for an accessible price point to ensure it remains an easy-to-acquire console." He added, "We can't disclose the specific price of the Nintendo Switch 2 just yet, as we're evaluating various factors." Good news for current owners: the original Switch's price won't be changing.
As for production plans, Furukawa stated, "We can't reveal specific production plans or initial shipment numbers right now, but we will disclose them alongside our next fiscal year's performance forecast when we release our FY2025 financial results."
He further explained, "We're actively preparing to meet demand with sufficient product, and we'll fine-tune our production capacity based on market reactions after the Switch 2's reveal on April 2."
The earnings report itself revealed a double dip in Nintendo's revenue and profit as of December 31, 2024, with a revised downward full-year forecast. A reporter asked if the Switch 2 announcement was causing players to hold off on buying the current Switch, creating a "wait-and-see" effect.
Furukawa replied, "We don't believe there's zero impact, but it's not significant." He elaborated, "Since the Switch 2 will still support existing Switch games, there isn't a noticeable 'wait-and-see' trend right now." He contrasted this with 2023, when blockbusters like "The Legend of Zelda: Tears of the Kingdom" and "Super Mario Bros. Wonder" fueled overall growth, noting a lack of similar mega-hits to drive market excitement this year.
Furthermore, while the Switch continues to sell steadily (a solid performance for a console in its eighth year!), it didn't hit its initial sales targets, which also contributed to the downward revision of the forecast.
Clearly, the Nintendo Switch 2 was a major talking point at this earnings call. Regarding production and pricing, Nintendo plans to have ample stock ready before launch, aiming for a strong debut that avoids the scalping frustrations caused by initial supply shortages back in the day.
Whether their "affordable price" strategy will resonate with consumers remains to be seen, but we'll get the full scoop at the April Nintendo Direct.
(Want to read the full PDF of this earnings call? Click here!)
Note: Financial figures and earnings forecasts should be confirmed through the company’s official announcements.
via： 日本任天堂官網