Sony’s Financials Show $312 Million Loss

Sony’s financials for the first quarter of the financial year ending 2013 don’t make pleasant reading, with the bottom line reporting a $312 million loss.

Sales of the PlayStation 3 and PlayStation 2 are now combined in the reports – 2.8 million units combined were sold – and the PS Vita and PSP are also lumped together – 1.4 million sold.

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Software sales for the living room consoles for the quarter were 20.1 million, with 5.8 million PSP and PS Vita games shifted. It’s impossible to judge Vita games sales alone, sadly.

Revenue for the Games division (which is now reported separately) 118 billion Yen, down from 137.9 billion Yen the year before, a change of -14.5%.

Expectation for sales of the Vita and PSP this financial year has now dropped from 16 million to 12 million, suggesting a price cut might be one way to kickstart some sales.

Next generation needs to happen, and soon.

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13 Comments

  1. a lot of losses lately for Sony hope next year brings some profit in for them.

  2. Oh dear. Still, you have to look on the bright side. Not entirely sure what the bright side is, but if anyone finds out – please let me know and I shall be sure to join you in looking on it :-/

  3. It’s been many years now since Sony posted a positive financial report, each quarter they’re losing hundreds of millions of dollars. Surely at some point something has to happen, they shut down or go into admin or something? They must have some serious flaw in their business model somewhere, you can’t be such a mega global corporation and make such massive losses on a constant basis without having some sort of serious flaw.

    • How about selling mostly consumer electronics to a world where the consumer has no money? Being based in a country that has had barely any economic growth since the 80’s? A country that has the highest public debt to GDP ratio in the world? A country that has suffered large natural disasters in the last 24 months and so have most of Sony’s suppliers?

      The biggest problem though was not keeping on top of the TV market. Sony made a lot of money with CRT’s, but didn’t make the change to flatscreen, lcd, led, HD etc. very well.

      Also their portable music players have lost out massively to Apple.

      Their phones have also lost out to basically everyone.

      Even the PS3 is bottom of the console pile.

      You have to hope that behind the scenes there is a lot of R n D work going on to get Sony back on top of the consumer electronics market. This costs money and leaves Sony with poor product to sell in the meantime. Hence cosying up to Panasonic for TV’s. This will take time and money, but if done right could put Sony back on top.

      • Good reply!

      • Good points, also i wonder if their purchase of Gaikai for $380m account for any of that loss. At least it gives us some confidence that they are planning for the future.

      • I agree Bonyman, Gaikai is another finger in the pie. Sony are planning for the future and when the economy picks up they will be bigger than ever.

  4. I think I’ve said this for about 3 years. How the hell can they keep making a loss and not go into administration? They’ve been making a loss for years and still they are carrying on.

    It sort of reminds me of the banking crisis. Are we going to see a lot of major companies who make a lossyear on year all suddenly go into administration? Shares slump, people lose jobs, no money etc etc….

  5. In ten years we will still have Sony and another ten after that. Financial climate affects entertainment companies harder than most. It’s no surprise to see Sony continually making losses. They are big enough to survive.

  6. I don’t want sound dumb here but Sony can’t really go burst as a company can they after all they have film studios including owning Columbia films suck as spiderman, men in black did big at the box office, also music wise ain’t they the biggest studio with the biggest artist music..

    If anything they would go burst in one department that’s technology stuff like tv, cameras etc cause if I was them I would only concentrate on what’s making me money & that’s the Playstation brand (eventually the vita will sell) they need stop buying or joining ventures with other failing companies.

    • Yes and no. Sony are big enough to just focus sections of their corporation to suit the economy. Etc if people aren’t buying many cameras for whatever reason, then spend less money on producing cameras and spend in areas where the market is thriving. Think of the size of that company, they simply cannot go bust. Sony makes losses because it has its fingers in ALOT of pies, too many for the current economy. If it narrowed down its business approach it would probably be more profitable.. at the moment. Sony probably has a view on this recession, that it won’t last, and it is probably more profitable for them to leave their fingers in all those pies because leaving the market for say, mobile phones would be very hard to just jump back into if it were too pick up again. I hope this make sense i’m not always perfect at putting my thoughts and ideas into writing ;)

      • Spot on answer and I think you made yourself perfectly clear

  7. Most of that’lll be me then, Im currentley on my fourth PS3 in as many weeks. Its becoming soul destroying.

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