Nintendo on profit streak as quarantine boosts sales
Japan’s Nintendo Co Ltd is posed to rally further, sustaining its decade-high earnings streak. The positive record is expected next week as sales of the recently-released gaming console Switch surged amid quarantine restrictions.
Nintendo’s operating profit is forecasted to have an 80% increase on May 7, surging to 54 billion yen ($505 million) for the first quarter of 2020 – an estimate last seen back when the Wii console peaked the market.
The earnings will sum up the first 12 days of sales of Animal Crossing: New Horizons, with its popularity mainly from casual gamers staying at home due to the coronavirus outbreak.
Virus-driven restrictions have been contributing heavily to home entertainment sales. However, these policies brought challenges to Nintendo’s supply chain as a slump in a hybrid home-portable Switch device emerged as the primary issue.