Sony Group Delivers Profit Growth as SPE and Games Earnings Retreat

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Profit increases from music failed to outweigh declines from film and TV and from games at Japanese electronics and entertainment giant Sony Group. But, overall, the group was able to report a 9% i…

Profit increases from music failed to outweigh declines from film and TV and from games at Japanese electronics and entertainment giantGroup. But, overall, the group was able to report a 9% increase in net income for the three months to June.

The pictures division saw profits of JPY25.4 billion, compared with JPY27.0 billion in the equivalent quarter last year. There were also reported by the company in US dollar terms, as operating income of $232 million from revenues of $1.87 billion, compared with previous operating income of $251 million earned from revenues of $1.63 billion.

The pictures division result was mixed. It enjoyed higher sales for media networks due to higher advertising and subscription revenues, higher sales for motion pictures and an increase in television licensing revenue. But these were offset by a decrease in sales to home entertainment due to limited prior year theatrical releases and lower revenues from television productions.

The all-important games division enjoyed increases in sales of hardware and peripheral devices and was handed a useful exchange rate gain. But it suffered from a decrease in sales of non-first-party titles including add-on content. It also suffered a weakening of its strategic price points for hardware and sold the PlayStation5 console at below its manufacturing cost. Despite these blows, Sony did not change its sales or revenue guidance for the games division’s full year results.

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Sony Pictures might not be for sale but they followed in Paramount's footsteps selling off many of their films to streamers rather than giving them theatrical release including The Mitchells vs. the Machines, Vivo and Cinderella

Imagine if they still made phones. Sony

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