Nintendo profits surge 53% on Trump tariffs refund
Nintendo reported a 53.5% profit spike to ¥147.4bn, driven by a refund on US tariffs. The company's sales of the Switch 2 console and popular games maintained strong momentum, but revenue dropped 10% compared to last year. The refund, totaling around $100bn, represented 60% of the total tariffs collected.
Key points
- Nintendo, the Japanese game maker, reported a 53.5% profit spike to ¥147.4bn over three months, beating expert forecasts.
- The company's profits were aided by a refund on US tariffs, totaling around $100bn, representing 60% of the total tariffs collected.
- Nintendo's sales of the Switch 2 console and popular games maintained strong momentum, but revenue dropped 10% compared to last year.
- The company filed a lawsuit demanding a full refund from the White House, which now appears to have been partially granted.
- Nintendo's Tokyo-listed shares were up 2.87% on Thursday after the earnings release.
Nintendo's profit surge is largely attributed to a refund on US tariffs, which the company had been seeking since the US supreme court ruled in February that Donald Trump's trade levies were illegal. The refund, totaling around $100bn, has significantly boosted Nintendo's profits, which rose 53.5% to ¥147.4bn over the three months to June.
The company's sales of the Switch 2 console and popular games such as Yoshi and the Mysterious Book, Star Fox, and Pokémon Pokopia maintained strong momentum, contributing to the profit increase. However, revenue dropped 10% compared to the same period last year.
Nintendo's Tokyo-listed shares were up 2.87% on Thursday after the earnings release, indicating a positive market reaction to the company's financial results. The company's decision to file a lawsuit demanding a full refund from the White House appears to have paid off, at least partially, with the refund now appearing to have been granted.
Sources
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