On July 31, Sony released its first quarter earnings report for the fiscal year ending June 20, 2016. The financial report showed that Sony’s first-quarter revenue was 1,953.6 billion yen ($17.78 billion), compared with In the same period of the year, 18,581 trillion yen increased by 5%; net profit attributable to Sony shareholders was 226.4 billion yen (about US$2.037 billion), an increase of 180% from 80.9 billion yen in the same period last year.
Specifically, Sony in the second quarter Game and web services business Revenue was 472.1 billion yen (about 4.248 billion US dollars), up 36% from 348.1 billion yen in the same period of last year; operating profit was 83.5 billion yen (about 751 million US dollars), compared with 17.7 billion in the same period of last year. The yen grew by 371%, the official said that it mainly benefited from the growth of PS4 game sales revenue. In Sony's entire company's financial report, the total revenue of games and network operations also ranked first, far beyond the company's 'family entertainment & sound 'and 'financial services' department.
Music business In the second quarter, Sony Music’s revenue was 181.5 billion yen (US$1.633 billion), an increase of 8% from the 168.6 billion yen in the same period last year; operating profit was 32.1 billion yen (about 289 million US dollars). Compared with the same period last year, 25 billion yen increased by 28%. Operating profit increased by 7.1 billion yen. Sony said that the significant growth of this business was mainly due to the increase in sales of visual media and platforms and the increase in sales of recorded music. Among them, visualization The increase in media and platform sales depends on the continued strong performance of the mobile device game application "Destiny / Crown Designation"; while the growth in recorded music sales is due to the continued increase in digital streaming music revenue.
Film and television business In the second quarter, Sony Pictures’ revenue was 175.1 billion yen (US$1.575 billion), down 15% from 205.8 billion yen in the same period last year; operating loss was 7.6 billion yen (about US$68 million). Compared with the same period last year, the operating loss of 9.5 billion yen was narrowed by 20%. Sony said that the decline in sales revenue of the film and television business was due to the decrease in license sales revenue, which led to a decrease in TV production sales and the year-on-year advertising revenue (included in the same quarter of the previous fiscal year). The decline in the income of the Indian Premier League, resulting in a decrease in media network sales. Thanks to the reduction in cinema advertising costs, and the strong global box office performance of "Brave Game: Battle of the Jungle", operating profit achieved 19 Billion yen growth.
Home entertainment and audio business In the second quarter, Sony's home entertainment and audio products division revenue was 272.1 billion yen (about 2.48 billion US dollars), up 6% from the 256.9 billion yen in the same period last year; operating profit was 17.4 billion yen (about 1.57) US$100 million, down 23% from 22.6 billion yen in the same period of last year. Sony said that the growth of home entertainment and audio business was benefited from the increase in the number of TV sales and the strong sales of headsets driving sales of home audio and video products.
Imaging products and solutions industry In terms of business, Sony Image Products and Solutions' revenue in the second quarter was 164.2 billion yen (US$1.477 billion), up 6% from 155.6 billion yen in the same period last year; operating profit was 26.1 billion yen (about 235 million US dollars), an increase of 13% from 23.2 billion yen in the same period of the previous year. Operating profit increased by 2.9 billion yen. Sony said that in addition to positive exchange rate factors, sales revenue and profit growth were mainly due to high value-added models of digital cameras and camcorders. Transforming the improvement of this product mix.
Mobile communication service In the second quarter, Sony’s mobile communications division’s revenue was 132.5 billion yen ($1.192 billion), down 27% from 181.2 billion yen in the same period last year; operating loss was 10.8 billion yen ($97 million). In the same period of last year, the operating profit was 3.6 billion yen. The sales revenue of mobile communication business decreased by 48.7 billion yen year-on-year. Sony explained that this decrease was mainly due to the decline in sales of smartphones in Europe and Japan. The operating loss was 10.8 billion yen. Effective control of operating costs offsets some of the impact of sales declines.
Semiconductor business In the second quarter, Sony’s semiconductor division’s revenue was 202.2 billion yen ($1.819 billion), down 1% from 204.3 billion yen in the same period last year; operating profit was 29.1 billion yen ($262 million). Compared with the same period last year, the 55.4 billion yen decreased by 47%. The semiconductor business sales revenue was basically the same as that of the same period of last year, and the increase was not large, mainly due to the significant increase in sales of image sensors for mobile products. Operating profit decreased by 26.3 billion yen. In the same period last year, 27.5 billion yen of revenue from the manufacturing subsidiary of the camera module business and 6.7 billion yen in Kumamoto earthquake insurance were recorded, and the profit from the sales of image sensors for mobile products was offset. Part of the impact.
Financial services business In the second quarter, Sony Financial Services' revenue was 335.2 billion yen (US$3.016 billion), an increase of 11% from 303.2 billion yen in the same period last year; operating profit was 40.6 billion yen (about 365 million US dollars). , a decrease of 12% from 46.2 billion yen in the same period of last year. Sony said that the growth in sales of financial services business was due to the significant growth in Sony Life’s sales.
For the FY 2018 outlook, Sony hopes to sell 17 million PS4s in 2018, while the company's operating profit will reach 670 billion yen (about $6.028 billion) and the net profit attributable to Sony shareholders will be 500 billion yen. About 4.499 billion US dollars).
First quarter performance highlights:
- sold 3.2 million PS4s;
-- Revenue was 1.9536 trillion yen (US$17.78 billion), up 5% from 1.8581 trillion yen in the same period last year;
-- Operating profit of 195 billion yen (approximately 1.755 billion US dollars), an increase of 24% over the same period of the previous year of 157.6 billion yen;
-- Restructuring expenditure was 1.3 billion yen (about 12 million US dollars), down 46% from 2.4 billion yen in the same period of last year;
-- Depreciation and amortization expenses were 86.2 billion yen (US$776 million), an increase of 4% from 83.3 billion yen in the same period last year;
-- R&D expenses were 107.5 billion yen (US$967 million), up 6% from 101.8 billion yen in the same period last year;
-- Profit before tax was 312.1 billion yen (about 2.808 billion US dollars), an increase of 110% from 148.9 billion yen in the same period of last year;
-- Net profit attributable to Sony shareholders was 226.4 billion yen (US$2.037 billion), an increase of 180% from 80.9 billion yen in the same period last year;
-- Diluted loss per share attributable to Sony shareholders was 174.80 yen (approximately US$1.57), an increase of 177% from 62.70 yen in the same period last year.
First quarter sector results:
-- Game and network services revenues were 472.1 billion yen (US$4.248 billion), up 36% from 348.1 billion yen in the same period last year; operating profit was 83.5 billion yen (about 751 million US dollars). Compared with 17.7 billion yen in the same period of last year, it increased by 371%;
-- Music revenues were 181.5 billion yen (US$1.633 billion), up 8% from 168.6 billion yen in the same period last year; operating profit was 32.1 billion yen (about 289 million US dollars), compared with the previous year. The 25 billion yen in the same period increased by 28%;
-- The revenue of the film industry was 175.1 billion yen (about 1.575 billion US dollars), down 15% from 205.8 billion yen in the same period of last year; the operating loss was 7.6 billion yen (about 68 million US dollars), compared with the previous year. The operating loss of 9.5 billion yen in the same period narrowed by 20%;
-- Home entertainment and audio products division revenue was 272.1 billion yen ($2.448 billion), up 6% from 256.9 billion yen in the same period last year; operating profit was 17.4 billion yen (about 157 million US dollars) , a decrease of 23% from 22.6 billion yen in the same period of last year;
-- Image products and solutions division revenue was 164.2 billion yen (US$1.477 billion), up 6% from 155.6 billion yen in the same period last year; operating profit was 26.1 billion yen (about 235 million US dollars) , an increase of 13% from 23.2 billion yen in the same period last year;
-- Mobile communications revenues were 132.5 billion yen (US$1.192 billion), down 27% from 181.2 billion yen in the same period last year; operating loss was 10.8 billion yen (US$97 million), last year Operating profit of 3.6 billion yen during the same period;
-- The revenue of the semiconductor division was 202.2 billion yen (about 1.819 billion US dollars), down 1% from 204.3 billion yen in the same period of last year; operating profit was 29.1 billion yen (about 262 million US dollars), compared with the previous year. The 55.4 billion yen in the same period fell by 47%;
-- Financial services sector revenue was 335.2 billion yen (US$3.016 billion), up 11% from 303.2 billion yen in the same period last year; operating profit was 40.6 billion yen (about 365 million US dollars), compared with The 46.2 billion yen in the same period of the year fell by 12%.
Outlook for the 2018 fiscal year:
- Selling 17 million PS4s;
-- Revenue was 8.6 trillion yen (approximately $77.379 billion), an increase of 4% from 8.544 trillion yen in the previous year;
-- Operating profit was 670 billion yen (about US$6.028 billion), down 9% from the previous year's 734.9 billion yen;
-- Net profit attributable to Sony shareholders was 500 billion yen ($4,499 million), an increase of 4% from the previous year's 490.8 billion yen.