The results for this fiscal year (April 2020 through March 2021) showed strong software sales for Nintendo Switch, which contributed greatly to the growth of hardware sales. In particular, sales continued to grow for titles released in previous fiscal years, with units of Animal Crossing: New Horizons at 20.85 million (cumulative sales of 32.63 million units), Mario Kart 8 Deluxe at 10.62 million (cumulative sales of 35.39 million units), and Ring Fit Adventure at 7.38 million (cumulative sales of 10.11 million units). Super Mario 3D All-Stars and Super Mario 3D World + Bowser’s Fury, which were released this fiscal year as part of the Super Mario Bros. 35th Anniversary campaign, saw sales of 9.01 million units and 5.59 million units, respectively. In addition to Nintendo titles, sales of titles from other software publishers also continued to grow steadily, for a total of 36 million-seller titles for this fiscal year, including titles from these other software publishers.

As a result, hardware sales reached 28.83 million units (an increase of 37.1% year-on-year), and software sales reached 230.88 million units (an increase of 36.8% year-on-year).

Turning to our digital business for dedicated video game platforms, sales were strong for downloadable versions of packaged software for Nintendo Switch. Sales also grew for add-on content, including Pokémon Sword Expansion Pass, Pokémon Shield Expansion Pass, and Super Smash Bros. Ultimate Fighters Pass Vol. 2. In addition, sales of download-only titles and sales related to Nintendo Switch Online were also steady, helping to bring digital sales to 344.1 billion yen (an increase of 68.5% year-on-year).

For the mobile business, many consumers continue to enjoy playing our mobile applications, and our mobile and IP related income reached 57.0 billion yen (an increase of 11.3% year-on-year).

As a result, net sales reached 1,758.9 billion yen, with overseas sales of 1,361.4 billion yen accounting for 77.4% of the total. Operating profit came to 640.6 billion yen, ordinary profit was 678.9 billion yen, and profit attributable to owners of parent totaled 480.3 billion yen for this fiscal year.

For Nintendo Switch, our goal is to continue to convey the appeal of the hardware and software and maintain sales momentum at a high level. Regarding the hardware, we will release a new blue color Nintendo Switch Lite in May. First-party software titles planned for global release include Miitopia in May, Mario Golf: Super Rush in June, and The Legend of Zelda: Skyward Sword HD in July. In addition, the Pokémon series is receiving new additions with the planned release of Pokémon Brilliant Diamond and Pokémon Shining Pearl in late 2021. Other software publishers also plan to release a wide variety of titles, and we will work to invigorate the platform with this continuous stream of new titles combined with existing popular titles.

In our mobile business, we are collaborating with Niantic to develop a new application featuring Pikmin for smart devices. This title is expected to be released by Niantic in the second half of 2021. We will also focus on efforts that encourage consumers to continue to enjoy playing the mobile applications we have previously released.

Through these initiatives, we expect to see results for the fiscal year ending March 31, 2022 of 1,600.0 billion yen in net sales, 500.0 billion yen in operating profit, 480.0 billion yen in ordinary profit, and 340.0 billion yen in profit attributable to owners of the parent.

Regarding the risk associated with COVID-19, while the impact on business results for the fiscal year ended March 31, 2021 was limited, the supply of products might be affected if production and shipments are hindered. Other risk factors which are difficult to predict also continue to exist, involving areas such as development and marketing of products and services. In addition, the production of products might be affected by obstacles to the procurement of parts, including the increase in global demand for semiconductor components. The consolidated earnings forecast is based on the premise that we will be able to secure the parts needed for the manufacture of products in line with our sales plans.

The Nintendo group will take the necessary measures and continue business operations to provide an environment in which consumers can continue to enjoy Nintendo products and services.