Recent Foxconn Tech financial reports hint at mass production of the Nintendo Switch 2, with units potentially ready to ship.
Nintendo fans have been eagerly waiting for any solid news about the successor to the Nintendo Switch, often referred to as the “Switch 2.” While Nintendo has been tight-lipped, the speculation surrounding its release has reached a fever pitch.
The latest reports, however, might have just provided the biggest hint yet: mass production appears to be in full swing, and units might already be stockpiled, ready for future launch.
This new development stems from Foxconn Technology’s recently released financial results for November. Foxconn Tech, a contracted assembler for Nintendo, saw its revenue skyrocket to an impressive NT$11.45 billion, marking a staggering 223% increase compared to November 2023.
This surge has sparked widespread speculation that the uptick is directly linked to the mass assembly of the Nintendo Switch 2.
Nintendo Switch 2 Units Ready to Ship?
Foxconn Tech specializes in consumer electronics manufacturing. According to its financial report, revenue is reported once products are delivered to customers. This means that for November’s figures to be this high, a significant number of units—possibly fully assembled Switch 2 consoles—may have already been shipped to Nintendo.
This was first noticed by Famiboards user “fwd-bwd,” who highlighted that the financial jump is likely tied to Nintendo. “Since the company did not forecast any revenue increases for the other lines of business, the ballooning income most likely came from Switch 2 assembly,” they explained.
One crucial detail in this report lies in Foxconn’s adherence to the International Financial Reporting Standards (IFRS). According to user fwd-bwd, under the IFRS guidelines, “revenue is recognized when control of the asset is transferred to the customer.”
“Although we don’t know the contract terms between Nintendo and FTC, manufacturing contacts are commonly structured as Net 30 or Net 60 term, meaning that the payment is due within 30 or 60 days of invoicing. So the mass assembly could start from as early as September [2024].”
“It suggests that in November, there were already (possibly a lot of) completed Switch 2 units in retail boxes transferred from Foxconn to Nintendo just sitting in a warehouse or warehouses somewhere,” fwd-bwd added.
This massive jump in revenue, combined with the fact that Foxconn’s revenues are typically stable, points to something big behind the scenes. However, it’s important to take this information with a grain of salt until Nintendo or Foxconn makes an official statement, these are still informed deductions rather than confirmed facts.
Adding fuel to the excitement, recent leaks allegedly revealed what could be the first look at the Switch 2’s Joy-Con controllers.
What are your thoughts on this? Could we see the Nintendo Switch 2 sooner than expected? Share your thoughts in the comments below!
