Nintendo has today hiked its sales forecast for the Switch 2 gaming device to 19 million units for the financial year ending March 2026 from 15 million units previously.
The Kyoto-based gaming company also raised its full-year operating profit forecast by 16% to 370 billion yen ($2.45 billion).
Investors have been weighing the likely strength of sales momentum for the hybrid home-portable gaming device since its launch in June.
The successor to the hit home-portable Switch went on sale in the midst of US President Donald Trump's trade war, testing Nintendo's supply chain management.
Nintendo has sold 10.3 million Switch 2 units by the end of September, supported by titles including "Mario Kart World" and "Donkey Kong Bonanza".
The company's operating profit ratio in the first half of the year was 13.2% compared to 23.2% in the same time a year earlier.
Games to underpin demand into the key year-end shopping period include "Pokemon Legends: Z-A" and "Kirby Air Riders".
"The first holiday shopping season will be a key proving ground and we are maintaining good momentum towards that," Nintendo President Shuntaro Furukawa said at earnings briefing.
Nintendo's shares closed down 0.8% ahead of the earnings release and have gained roughly 40% year-to-date.