Sony Q1 Results "Grim"

[CorruptedDragon]

Looks like only cameras and music are making a profit for Sony. Time to cut lose that albatross Vita and just focus on the ps3 and the ps4. I would have thought they would have learned from the original PSP which was a great machine but vastly under utilized.

Now let's get some smackdown up in here.


http://www.joystiq.com/2012/08/02/so...e-in-are-grim/

Sony's downward slide continues in the latest financial report from the Japanese multimedia company. A $312 million loss was recorded in Q1 2012 (April 1 - June 30, 2012) across many of Sony's divisions – music, film, televisions, mobile, cameras, and gaming – with only cameras and music pulling in any profit.

But hey, you don't care about cameras and TVs and stuff, right? Sony's gaming division incurred a $45 million loss – Vita's lackluster first year sales apparently weren't enough to counterbalance falling PlayStation 3 and PSP sales.

Worse, Sony doesn't see things looking up anytime soon, adjusting its fiscal year outlook downward due to an expected "severe operating environment," financially. "We have downwardly revised our consolidated results forecast for the current fiscal year, anticipating a severe operating environment from the second quarter onward resulting from uncertain foreign exchange rates and trends in the global economy."

http://www.gamasutra.com/view/news/1...to_decline.php

Sony's PlayStation business saw notable declines in the first quarter of the current fiscal year, contributing towards increased losses for the company as a whole.

The company noted that the current economic climate continued to prove difficult, with "the trend toward appreciation of the yen taking hold." As a result, Sony has downwardly revised its results for the full fiscal year, while also anticipating "a severe operating environment" for the second quarter.

Sony's Game sector in particular was greatly affected, with lower recorded revenues and a swing to operating losses year-over-year. Sony has now lowered its PlayStation unit sales forecast for the 2012 fiscal year and, as a result, says that operating income for its Game division "is expected to be significantly below" its original estimate.

For this quarter, the company grouped together its PlayStation hardware, rather than reporting units separately as per usual. Its PlayStation 3 and PlayStation 2 consoles combined sold 2.8 million units during the quarter, down compared to 3.2 million sold year-over-year.

Its handheld consoles didn't fare much better -- the PS Vita and PSP combined sold 1.4 million units, down compared to 1.8 million sold in the same quarter last year.

Software sales were also down across all hardware. Sony sold 20.1 million PS3 and PS2 games combined in the first quarter, down compared to 27.6 million year-over-year. The PS Vita and PSP combined sold 5.8 million software units, compared to 6.6 million year-over-year.

Looks like they are back to only reporting "playstation family" again. That old gag.

[michealo]

everyone is taking losses for various reasons, it seems.

http://www.thehindubusinessline.com/...cle3661027.ece

http://techdeville.com/2012/07/26/ni...-86m-3ds-sold/

[TheAnalogKid]

But were they "unexpectedly" grim?

[CorruptedDragon]

everyone is taking losses for various reasons, it seems.

http://www.thehindubusinessline.com/...cle3661027.ece

http://techdeville.com/2012/07/26/ni...-86m-3ds-sold/

Yeah, they are all taking a beating but MS at least has a profitable games division

[CorruptedDragon]

But were they "unexpectedly" grim?

Yes. There were 3 SDF suicides and 7 attempted suicides this morning alone. They were convinced 2012 was the year they were waiting for.

[Almril]

Stock down 9% as well. They are in real trouble.

[cuco33]

So what's this mean for VITA? Pricecut? (please make it so!!!)

I'm going on vacation tomorrow for about 10 days and taking the trusty old PSP with me. DS might be left at home and I'm mostly going to play FIFA12 on the go. REALLY wanted a VITA by then but it is what it is...

[Badger3920]

Now let's get some smackdown up in here.

...And the heavens opened up and raineth down upon the earth:

everyone is taking losses for various reasons, it seems.

http://www.thehindubusinessline.com/...cle3661027.ece

http://techdeville.com/2012/07/26/ni...-86m-3ds-sold/

[CorruptedDragon]

...And the heavens opened up and raineth down upon the earth:

Not really. We are talking about games here, and the MS games division did fine. Sony's did terrible. Nintendo - I don't even know, I don't bother to read their stuff.

Looks like Sony should take a lesson from Sega

[Badger3920]

Not really. We are talking about games here

Hey hey now janitor:

Looks like only cameras and music

If you're going to run roughshod down the smackdown attempt aisle and bump into a few things along the way, it might make for easy rebuttal


(seriously though: yeah sony is in some serious financial shit, not really because of games although they're seeing that end of gen decline and vita is deadweight so far; sony was singing the same tune as MS just a bit ago where everything else was doing poorly but the games division was pulling its own weight)

I honestly think you're going to see Kaz make some pretty crazy moves over the next year (selling off some of sony's businesses) to try and get rid of all the dead weight. The PS3/games division has been profitable for several years and they have a chance to really fix things with PS4. However, things like music and TV, they might need to simply sell off.

[CorruptedDragon]

Hey hey now janitor:





If you're going to run roughshod down the smackdown attempt aisle and bump into a few things along the way, it might make for easy rebuttal


(seriously though: yeah sony is in some serious financial shit, not really because of games although they're seeing that end of gen decline and vita is deadweight so far; sony was singing the same tune as MS just a bit ago where everything else was doing poorly but the games division was pulling its own weight)

I honestly think you're going to see Kaz make some pretty crazy moves over the next year (selling off some of sony's businesses) to try and get rid of all the dead weight. The PS3/games division has been profitable for several years and they have a chance to really fix things with PS4. However, things like music and TV, they might need to simply sell off.

I don't know about selling off music, that and cameras were the only profitable divisions in the 1st quarter!

[murphjp]

They have been bleeding monies for a while. MS having its 1st Quarterly loss ever is much bigger news. But its good to see CD hasn't changed.

[Onslaught X]

They have been bleeding monies for a while. MS having its 1st Quarterly loss ever is much bigger news. But its good to see CD hasn't changed.

This is the strangest defense.

[Dennis M.]

They have been bleeding monies for a while. MS having its 1st Quarterly loss ever is much bigger news. But its good to see CD hasn't changed.

From what I've read, MS had a failed acquisition a few years back and they took a voluntary charge of about $6 billion in their latest results because of it. They 're still operating on huge profit.

[Bane]

From what I've read, MS had a failed acquisition a few years back and they took a voluntary charge of about $6 billion in their latest results because of it. They 're still operating on huge profit.

Yep, their revenue actually rose slightly, which makes Murph's point pretty funny, and ironic.