Nintendo has released its financial report for fiscal year 2025 (April 2024-March 2025). During the May 8 online press conference, president Shuntaro Furukawa provided insights into the company's ambitious expectations for Switch 2 while addressing potential challenges - including U.S. tariff impacts.

As the June 5 launch approaches, Switch 2 demand continues skyrocketing, with Nintendo's official pre-order lotteries overwhelmed by applications, particularly in Japan. Nintendo confirms it's "expanding production capacity to satisfy demand," projecting 15 million hardware units and 45 million software copies sold globally during FY2026 (April 2025-March 2026).

The gaming giant anticipates Switch 2's launch will drive FY2026 revenues up 63.1% to ¥1.9 trillion ($13.04 billion) with profits increasing 7.6% to ¥300 billion ($2.05 billion).

However, Furukawa voiced concerns regarding U.S. market conditions and Switch 2's profitability. As an enhanced next-generation console with significant upgrades over its predecessor, the Switch 2 carries a higher price point.

"While the premium pricing presents challenges, we aim to achieve a launch performance comparable to the original Switch," Furukawa told the Yomiuri Shimbun. (The first Switch sold 15.05 million units in its debut year.)

Key concerns include potential effects of U.S. tariffs - Nintendo's largest Switch market. Furukawa specifically warned about possible impacts from proposed Trump-era tariffs and reduced consumer spending power.

During the conference, Furukawa estimated tariffs could reduce Nintendo's profits by "tens of billions of yen," explaining: "If daily necessities become more expensive due to tariffs, consumers will have less disposable income for gaming consoles. Any price adjustment for Switch 2 could negatively affect demand."

Nintendo Switch 2 System and Accessories Gallery

Industry analysts describe Nintendo's 15 million unit projection as "conservative," citing tariff uncertainties. Despite concerns, demand appears unprecedented. Following a tariff-related delay, pre-orders opened April 24 at $449.99 - and instantly sold out. Nintendo has warned U.S. My Nintendo Store customers that overwhelming demand may delay some launch deliveries.

For complete details, see IGN's Nintendo Switch 2 pre-order guide.