There are already strong rumors about a significant hardware revision coming this calendar year. The timing coincides with the expected launch window of Breath of the Wild 2, so Nintendo has set themselves up for a sales pitch where they can show off a better performing BotW2 on the upcoming hardware revision.

While Sony and Microsoft have launched hardware upgrades last generation, neither one of them managed to or tried to combine their respective launch with a signature title, so Nintendo's approach could prove to be a lot more successful.

The rumors suggest that Nintendo will have a setup of three SKUs in the near future (regular hybrid, Lite and upgraded hybrid model) and as we've already seen with the Lite bringing additive sales rather than seriously cutting into the hybrid's sales, a similar effect can be expected here. That's why I consider the potential for an even bigger hardware year for Switch real rather than dreaming. There was a bit of a trade-off between hybrid and Lite sales, but overall it was still a net gain; the new SKU should behave similarly, so I expect the known hybrid's sales to decline slightly in the upcoming fiscal year, but total Switch hardware to stay flat of increase slightly.

What makes Switch predictions hard is that Nintendo keeps their cards close to their chest, so their first party software release schedule is largely unknown. If they have more 10m+ sellers than only BotW2 and Pokémon remake, that will obviously increase the odds for a record year.

There are already strong rumors about a significant hardware revision coming this calendar year. The timing coincides with the expected launch window of Breath of the Wild 2, so Nintendo has set themselves up for a sales pitch where they can show off a better performing BotW2 on the upcoming hardware revision.

While Sony and Microsoft have launched hardware upgrades last generation, neither one of them managed to or tried to combine their respective launch with a signature title, so Nintendo's approach could prove to be a lot more successful.

The rumors suggest that Nintendo will have a setup of three SKUs in the near future (regular hybrid, Lite and upgraded hybrid model) and as we've already seen with the Lite bringing additive sales rather than seriously cutting into the hybrid's sales, a similar effect can be expected here. That's why I consider the potential for an even bigger hardware year for Switch real rather than dreaming. There was a bit of a trade-off between hybrid and Lite sales, but overall it was still a net gain; the new SKU should behave similarly, so I expect the known hybrid's sales to decline slightly in the upcoming fiscal year, but total Switch hardware to stay flat of increase slightly.

What makes Switch predictions hard is that Nintendo keeps their cards close to their chest, so their first party software release schedule is largely unknown. If they have more 10m+ sellers than only BotW2 and Pokémon remake, that will obviously increase the odds for a record year.

New Pokemon Snap and the Diamond/Pearl remakes both have enormous nostalgic value to many and will move hardware, while BOTW2, Pokemon Legends and Splatoon 3 could all potentially arrive within this FY.

But people who like those games already have a Switch...I am a very marginal case, the only reason I refuse to buy one still after 4 years is to save my free time for other critical projects.

Not necessarily, no. 

Many of those with intense nostalgia for Diamond/Pearl may have been uninterested in Let's Go and Sword/Shield and not jumped in for them. Same goes for those nostalgic for snap. Legends already seems to be impressing those who felt let down by Switch's existing Pokemon games, and as for BOTW2, sequels often push hardware despite a predecessor already being on that hardware.

Then of course there's the rumored hardware revision, plenty of room for price cuts, new IPs or expanded audience software like Ring Fit that have yet to be announced, there's tons of room for Switch to grow.

They miss both ways.  Last couple of years it has been too conservative.  But, just a few years before that they were regularly underperforming their own projections.