Hideki Yasuda, an analyst at Toyo Securities, suggests that Nintendo is currently losing approximately 25,000 Japanese Yen (roughly $160 USD) on each unit of the more affordable Nintendo Switch 2 model sold exclusively within Japan.
Japan received two distinct versions of the console: a Japanese-language-only variant priced at around $330, and a multi-language, region-free model available for approximately $450 through the My Nintendo Store. According to Yasuda’s analysis, the cheaper, localized version is the one experiencing the highest demand among Japanese consumers.
Yasuda based his findings on an examination of Nintendo’s financial report for the third quarter of the fiscal year ending March 2026. The report showed a remarkable 99.3% surge in revenue and a 21.3% increase in operating profit year-over-year. However, the analyst points out that profit margins are not increasing as rapidly as sales, a trend he attributes directly to the robust sales of the Switch 2 in the Japanese market.
Since its launch in Japan, 4.78 million consoles have been sold. Yasuda estimates the production cost for a single Switch 2 console to be around $400. A substantial portion of this, about $300, is allocated to semiconductors, which includes the Nvidia GPU and memory components. The remaining $80+ covers the battery and the console’s casing.
Considering an estimated wholesale price of about 41,000 yen for the console, this implies an approximate loss of 25,000 yen per unit for Nintendo.