Nintendo Co., Ltd.

Outline of consolidated financial results for the six months ended
September 30, 2017 and consolidated earnings forecast for the fiscal year
ending March 31, 2018

This outline is based on the documents “Earnings Release,” “Supplementary Information about
Earnings Release,” “Notice of Full-Year Financial Forecast Modifications,” and “Notice of Dividend(end of 2nd quarter) and Dividend Forecast Modifications” for the second quarter of the fiscal year
ending March 31, 2018.
１． Briefing of consolidated financial results for the six months ended September 30, 2017z Consolidated operating results for the six months ended September 30, 2016 and 2017
Six months ended
September 30, 2016

Six months ended
September 30, 2017

Comparison

Net Sales

136.8 billion yen

374.0 billion yen

237.2 billion yen

Gross Profit

61.5 billion yen

143.7 billion yen

82.1 billion yen(45.0 %)

(38.4 %)

-5.9 billion yen

39.9 billion yen(-4.3 %)

(10.7 %)

-30.8 billion yen

69.5 billion yen(Ordinary Profit Ratio)(-22.6 %)(18.6 %)

Profit Attributable toOwners of Parent

38.2 billion yen

51.5 billion yen(28.0 %)

(13.8 %)

(Gross Profit Ratio)
Operating Profit(Operating Profit Ratio)
Ordinary Profit(Profit Attributable toOwners of Parent Ratio)

45.9 billion yen

100.4 billion yen

13.2 billion yen(Net sales)
For Nintendo Switch, the hardware sales were continuously robust, and Splatoon 2 released in Julygained popularity both in Japan and overseas, with 3.61 million units sold globally. Mario Kart 8

Deluxe and ARMS also both sold well after their releases in April and June, respectively. All told, thesales volume for the Nintendo Switch hardware and software during this period came to 4.89 million
units and 22.02 million units respectively.
Sales of the Nintendo 3DS family were given an increase with the global release of New Nintendo
2DS XL in June and July. Hardware sales came in at 2.86 million units (5% increase on a year-on-yearbasis). Despite firm sales of Fire Emblem Echoes: Shadows of Valentia and Metroid: Samus Returns,
overall software sales were 13.82 million units (28% decrease on a year-on-year basis).

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Nintendo Co., Ltd.
amiibo sales and download sales were also increased, and Super Nintendo Entertainment
System: Super NES Classic Edition was off to a good start following its September launch.
Due to these factors, as well as a positive impact from the depreciation of the yen, our total sales
were increased compared to the same period of the previous fiscal year.
(Gross profit and gross profit ratio)
Gross profit compared to the same period of the previous fiscal year increased by 133.4% to 143.7
billion yen. The gross profit ratio decreased by 6.6% compared to the same period of the previous
fiscal year. Although there was a positive impact in exchange rates from the depreciation of the yen,
this decrease was because the proportion of hardware sales over the total sales increased due to thelaunch of Nintendo Switch.
(Operating profit)
Operating profit was increased 45.9 billion yen compared to the same period of the previous fiscal
year because of increment in gross profit caused by increase in net sales, despite an increase of 36.2
billion yen in selling, general and administrative expenses, including fixed expenses.
(Ordinary profit)
Ordinary profit increased 100.4 billion yen compared to the same period of the previous fiscal year
due to increase in operating profit, and the recording of the 16.3 billion yen-foreign exchange gains as
non-operating income while we had incurred 39.9 billion yen-foreign exchange losses as
non-operating expense in the same period of the previous fiscal year.
z Dividend
Based on our dividend policy, the end of second quarter dividend per share for the fiscal year
ending March 31, 2018 is set at 110 yen.
２． Briefing of consolidated earnings forecast for the fiscal year ending March 31, 2018
Due to the revisions of our financial forecast and assumed exchange rate based on the sales
performance for the six months ended September 30, 2017 and after, we have revised theconsolidated earnings forecast issued on “Fiscal Year Earnings” on April 27, 2017 as follows.
z Consolidated Financial Forecast
Previous forecast
announced on April 27, 2017

Modified forecast
announced on October 30, 2017

Net Sales

750.0 billion yen

960.0 billion yen

Operating Profit

65.0 billion yen

120.0 billion yen

Ordinary Profit

60.0 billion yen

125.0 billion yen

45.0 billion yen

85.0 billion yen

Profit Attributable toOwners of Parent2Nintendo Co., Ltd.
The assumed exchange rate after the second quarter and at the end of the fiscal year has beenrevised from 115 yen to 125 yen per euro. The assumed exchange rate for U.S. dollar remains
unchanged at 105 yen per U.S. dollar.

z Consolidated Unit Sales Forecast

Nintendo Switch
HardwareNintendo Switch
SoftwareNintendo 3DS
HardwareNintendo 3DS
Software
Wii U Software

Previous forecast
announced on
April 27, 2017

Modified forecast
announced on
October 30, 2017 ※Comparison

10.0 million units

14.0 million units

4.0 million units

35.0 million units

50.0 million units

15.0 million units

6.0 million units

6.0 million units-

40.0 million units

40.0 million units-

3.0 million units

3.0 million units-※ While forecasted software sales units include the quantity bundled with hardware for six months ended
September 30, 2017, they do not include the quantity to be bundled with hardware on and after October 1,
2017.

Reflecting the modifications of consolidated earnings forecasts, the dividend forecast for annual
dividend of the fiscal year ending March 31, 2018 was modified from 190 yen to 360 yen per share.

Forecasts referred to above are based upon management's assumptions with information
available at the time the announcement was made and, therefore, involve known and unknown
risks and uncertainties. Please note that such risks and uncertainties may cause actual results
to be materially different from the forecasts (earnings forecast, dividend forecast and otherforecasts).

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