Sony posts 40% rise in Q1 profit, beating estimates
- Profit in the April-June quarter was 476.5 billion yen ($2.97 billion)
TOKYO: Sony reported on Friday a 40% rise in first-quarter operating profit, beating analyst estimates, boosted by the performance of its gaming and image sensors businesses.
Profit in the April-June quarter was 476.5 billion yen ($2.97 billion).
That compared with an average estimate of 361 billion yen from 11 analysts polled by LSEG.
The Japanese conglomerate has received plaudits for its pivot to entertainment but the market is concerned about the impact of AI on its business and a memory price boom on margins.
Sony has said it has secured memory supply for this financial year but expects continued high prices next year. The path for memory prices is being widely debated in the industry.
The PlayStation maker is expected to be a major beneficiary of the launch of “Grand Theft Auto VI” on November 19 as Microsoft’s Xbox business retrenches.
Sony forecasts 13% rise in full-year net profit
Take-Two Interactive Software could sell 30 million to 35 million “GTA VI” units by year-end, according to a forecast from Ampere Analysis analyst Piers Harding-Rolls.
Other games coming to PlayStation 5 include major in-house title “God of War Laufey”, which is due for release in February.
For the July-September quarter analysts on average estimate operating profit of 465 billion yen. Sony’s shares were down 8% year-to-date ahead of the earnings.