Nintendo’s interim results for the period from 1 April to September 2026 showed a decline in revenue but a substantial increase in operating profit. The company explained the background, including the impact of a refund related to cost of sales, and its operating margin improved from approximately 13.2% to approximately 22.4%.
Nintendo’s interim results for the fiscal year ending March 2027 covered the period from 1 April 2026 to 30 September 2026. Revenue was ¥966.041 billion and operating profit was ¥216.500 billion, while revenue fell 12.1% from ¥1,099.565 billion in the same period of the previous year. Operating profit, however, rose substantially from ¥145.181 billion in the same period of the previous year, representing a 49.1% increase.
The operating margin rose from approximately 13.2% to approximately 22.4%, confirming an improvement in profitability despite the decline in revenue. Viewed together, revenue and margin indicate a pattern of higher profit on lower revenue.
The factors cited for the improvement in margin included a higher sales ratio for software and a first-quarter refund of tariffs imposed under the US IEEPA. These factors were said to have supported the increase in operating profit.
The article indicates that future materials should be reviewed to assess the software sales mix, each factor’s contribution and trends over subsequent quarters, suggesting that the next set of materials will be important for interpreting the results.