Sony raises forecast as sales hold up amid Covid damage
The company reported a 13% rise in quarterly sales.
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Sony has reported that its profit fell 54% in the last quarter, mainly due to a one-time tax-related gain that inflated last year’s number.
The Japanese electronics and entertainment company managed to maintain results despite the coronavirus pandemic, reporting a 13% rise in quarterly sales.
Tokyo-based Sony Corp’s July-September profit totalled 213.1 billion yen (£1.3 billion), down from 458.6 billion yen the previous year. Quarterly sales climbed to 2.37 trillion yen (£15 billion).
Sony raised its profit forecast for the fiscal year through March 2022, to 730 billion yen (£4.6 billion), from an earlier 700 billion yen (£4.4 billion).
Sony, which makes PlayStation game consoles, has suffered from a chip shortage because of the effects of Covid-19 infections in southeast Asia, as have other manufacturers around the world.
But its sprawling business, which includes TVs, digital cameras, movies and banking, held up relatively well.
The pandemic benefited some sectors such as games and streaming music as people were stuck at home, chief financial officer Hiroki Totoki told reporters.
Sony is in talks with TSMC, or Taiwan Semiconductor Manufacturing Company, to produce computer chips in Japan to ensure a steady supply, he said, while declining to give details.
On the risk side, if Covid-19 infections start winding down in months ahead, Sony will not be able to count on the same strong growth in revenue from those businesses that benefited from the pandemic, the company said.
Sony said its sales will get a lift from the acquisition by Sony Pictures Entertainment of Crunchyroll, which provides video-on-demand, mobiles games, animation and manga to 200 countries and territories.
The acquisition was carried out in August through Funimation, a joint venture between Sony Pictures Entertainment and Aniplex, a subsidiary of Sony Music Entertainment.