Nintendo Slashes Switch 2 2027 Forecast Despite 19.86 Million in Sales
Sales Milestone Overshadowed by Outlook Downgrade
Nintendo's Switch 2 has become its fastest-selling console ever, moving 19.86 million units worldwide since launch nearly a year ago.
However, the company has simultaneously lowered its sales forecast for the fiscal year ending March 2027, signaling potential demand softening ahead.
“We are revising our projection from 25 million to 22 million units,” said Nintendo President Shuntaro Furukawa in a statement accompanying the latest financial results.
Financial Results Detail
The 19.86 million figure was disclosed in Nintendo’s earnings report for the fiscal year ended March 2025.
Despite the record pace, the downward revision for the next fiscal year has raised questions about the console's long-term momentum.
“This is an unusual move for a console that is still in its first year,” industry analyst Serkan Toto told reporters. “Nintendo may be seeing early signs of market saturation or increased competition.”
Background
The Switch 2 launched in June 2024 to massive consumer demand, quickly surpassing the original Switch’s first-year sales.
Nintendo had originally targeted 20 million units for the launch year—almost achieved—but the updated 2027 forecast reflects caution.
The company cited “component supply adjustments” and “changing market conditions” in its notes, without elaborating further.
What This Means
The lowered forecast suggests Nintendo expects a steeper decline in sales momentum entering the second year of Switch 2’s lifecycle.
Investors reacted with a 2.3% drop in Nintendo shares during early Tokyo trading, though the stock later recovered slightly.
“This could indicate production scaling or a strategic shift toward the next-gen launch,” added Toto. “But it also puts pressure on software sales to make up the difference.”
Nintendo will release fewer hardware units into the channel, potentially driving up aftermarket prices if demand remains high.
- Previous forecast: 25 million units for FY2027
- Revised forecast: 22 million units
- Actual sales to date: 19.86 million
The full financial report is available on Nintendo’s investor relations page.
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