Nintendo profits see huge boost as Switch beats sales expectations

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The 10 million sales forecast for 2017 seems conservative - PS4 got there after just nine months - but Nintendo has struggled to meet the demand for Switch so far. And clearly with the Switch he's going out on a high. PS4 and Xbox One can use apps including all the major streaming services, and while Nintendo plans that for its console, at the moment, the Switch is strictly a game console. The company called this "a promising start" while adding that flagship launch title The Legend of Zelda: Breath of the Wild sold 2.76 million units on the Switch as well as 1.08 million on the WiiU, for a total of 3.84 million units. "If our analysis is correct, software profit contributions should exceed the profit effects of increased hardware shipments, which we think is insufficiently priced into the stock". The earnings report also mentions annual 3DS sales, which jumped to 7.27 million units thanks to the Pokémon Sun and Moon release.

The Nintendo 3DS can be considered as "The Nintendo" platform after bringing in the biggest audience. The 3DS saw a 7% increase from the previous year, with Pokemon Go leading a bulk of those sales.

Switch software sales now stand at 5.46 million units, with 2.76 million of those being attributed to The Legend of Zelda: Breath of the Wild.

Nintendo has also begun to offer games for smartphones, such as its smartphone action game "Super Mario Run", reversing its earlier policy of shunning them. This title elicited a fantastic response from consumers worldwide.

Shown at the Game Developers Conference just prior to the Breath of the Wild release and then as part of a behind-the-scenes video series a few weeks later, it's unlikely that Nintendo's 2D prototype will make it into the public sphere in a playable format.

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Analysts at Morgan Stanley only expected guidance of 8.7 million Switch units for the first fiscal year.

Overall, the company posted revenue of 489 billion yen ($4.39 billion) and an operating profit of 29.4 billion yen ($264 million) for the financial year 2016. So the test for Nintendo is how long the momentum will persist.

Note: if you must have the red model, you can also find it on Nintendo's store for the same $170, but for whatever mysterious reason, Nintendo's official store charges $5 for shipping, whereas shipping on eBay it's free for the black unit.

They [don't] need to come out tomorrow (or even at E3) and say the "The 3DS is dead!"

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