TOKYO: Nintendo on Thursday forecast operating profit would rise 13% to 320 billion yen ($2.22 billion) in the year ending March.
The Kyoto-based gaming company said it expects to sell 15 million Switch 2 units in the financial year.
Nintendo is preparing to launch the Switch 2 on June 5.
The games console will succeed the Switch, which has sold more than 150 million units since its 2017 launch and transformed Nintendo’s fortunes after the Wii U flopped.
The launch will test Nintendo’s ability to manage its supply chain as it works to minimise disruption from a trade war between the United States and China.
Nintendo paused the start of U.S. pre-orders as it considered the impact of increasing U.S. tariffs. It later said it would maintain pricing at $449.99.
While Nintendo has opened stores and its characters feature in theme parks and film, it remains dependent on the console business.
For the year ended March, operating profit fell 46.6% to 282.5 billion yen. Nintendo sees Switch 2 software sales of 45 million units in the current financial year.
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The hybrid home-portable device will launch with titles including “Mario Kart World”.
Over the same period the company expects to sell 4.5 million units of the aging Switch.
Lottery applications in Japan indicate robust demand for the more powerful gaming device, which offers a bigger screen and better graphics than its predecessor.
Xbox maker Microsoft and PlayStation maker Sony have both hiked console prices in recent weeks.
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