Nintendo has started fiscal 2027 with stronger-than-expected financial results, beating analyst forecasts for both revenue and earnings per share. The company reported net sales of ¥517.8 billion ($3.5 Billion) for the three months ended June 30, 2026, while operating profit reached ¥142.6 billion ($900 million), according to Nintendo’s official financial results.
The results arrive as Nintendo continues transitioning from the original Switch to the Nintendo Switch 2. Although Switch 2 hardware sales declined compared with the same quarter of the previous fiscal year, when the console had just launched, Nintendo said adoption remained solid. The company sold 3.82 million Switch 2 units during the quarter, alongside 9.46 million Switch 2 software units.
Analysts Become More Optimistic After Nintendo’s Earnings Beat
Simply Wall St reported that Nintendo’s quarterly revenue came in around 19% above the indicated expectation, while EPS of ¥128 was substantially ahead of the forecast cited in its analysis. Following the results, the consensus forecast from 27 analysts calls for approximately ¥2.34 trillion in revenue for fiscal 2027, slightly above the previous ¥2.33 trillion estimate.
Analysts also raised their expected earnings per share from ¥347 to ¥371, despite forecasting a decline compared with the previous year. Meanwhile, the consensus price target remained unchanged at ¥10,172, showing that the improved earnings outlook has not yet translated into higher long-term valuation expectations.
Nintendo’s official results show that the company’s operating profit increased 150.5% year over year, while net profit rose 53.5% to ¥147.4 billion. IP-related income was another standout, climbing 107.4% to ¥34.8 billion, aided in part by revenue from The Super Mario Galaxy Movie.
The company has also maintained its full-year fiscal 2027 forecast, projecting net sales of ¥2.05 trillion and operating profit of ¥370 billion.
