Nintendo reported a net profit of ¥147.4 billion ($933 million) for the fiscal first quarter. This 53.5% year-over-year increase significantly beat analyst expectations. Revenue for the April-June period fell 9.5%. Total revenue reached ¥517.8 billion ($3.3 billion), which surpassed market forecasts.
Strong software sales and a U.S. tariff refund drove the profit surge. The company also recorded significant IP-related income from The Super Mario Galaxy Movie. Higher-margin software sales compensated for hardware slowdowns. Digital sales jumped 90% during the quarter.
Sales for the Switch 2 console, now in its second year, fell 34.4% year-over-year. The company sold 3.82 million units during the quarter. Nintendo maintained its full-year profit forecast of ¥310 billion. This outlook remains below current market consensus.