Nintendo (NTDOY) leaves FY 2024 guidance unchanged despite 50% revenue growth in Q1

Nintendo's Q1 2024 revenues grew 50% from the prior year, and the company is leaving the forecast the same.


Nintendo is out with its Q1 2024 earnings results, and the company has not raised its full year forecast despite 50% revenue growth and 82% in operating profit.

Screenshot of Nintendo Q1 2024 earnings release.
Nintendo showed some impressive year-over-year growth in the first quarter of fiscal year 2024.
Source: Nintendo Investor Relations

Other interesting signs of growth in the results came from the Mobile and IP related division, which saw sales rocket up 190% year-on-year on the back of The Super Mario Bros. Movie. Nintendo even said it saw increased interest in Switch hardware and Mario games based on the success of the film. 

Screenshot from the Mario Movie of Mario grabbing his chest.
Nintendo's sandbagging guidance has investors looking like Mario in this scene from the movie.

Nintendo also left its foreign exchange rate assumptions at 130 yen/dollar and 135 yen/euro, which is noticeably below the current rates of 143 yen/dollar and 156 yen/euro. With over 80% of sales coming from the North America and Europe, Nintendo's financial forecast could end up being too conservative if the exchange rates stay where they are throughout FY 2024.

Digital sales were another highlight in the quarter, up 35.9% from Q1 2023. Playing Cards revenue grew 147% in the quarter. Everything looks so darn great for Nintendo, having released a smash-hit best-selling game in Zelda: Tears of the Kingdom while hitting a grand slam with The Super Mario Bros. Movie. Yet the financial forecast remains unchanged. 

Screenshot of Nintendo's FY 2024 forecast.
Nintendo's unchanged FY 2024 financial forecast.
Source: Nintendo Investor Relations

Only time will tell if Nintendo is sandbagging its FY 2024 guidance by underpromising and overdelivering or if the company's conservative forecast will prove to be true. We will be there at god knows what time in the morning to bring you the latest Nintendo financial news.

This article is only meant for educational purposes, and should not be taken as investment advice. Please consider your own investment time horizon, risk tolerance, and consult with a financial advisor before acting on this information.

Full Disclosure:

At the time of this article, Shacknews primary shareholder Asif A. Khan, his family members, or his company Virtue LLC had the following positions:

Long Nintendo via NTDOY shares


Asif Khan is the CEO, EIC, and majority shareholder of Shacknews. He began his career in video game journalism as a freelancer in 2001 for Asif is a CPA and was formerly an investment adviser representative. After much success in his own personal investments, he retired from his day job in financial services and is currently focused on new private investments. His favorite PC game of all time is Duke Nukem 3D, and he is an unapologetic fan of most things Nintendo. Asif first frequented the Shack when it was sCary's Shugashack to find all things Quake. When he is not immersed in investments or gaming he is a purveyor of fine electronic music. Asif also has an irrational love of Cleveland sports.

From The Chatty
Hello, Meet Lola