‘Spider-Man’ propels Sony to forecast-smashing third quarter profit


TOKYO: Japan’s Sony Group Corp has posted a 32% soar in third-quarter working profit that smashed analysts’ estimates, as earnings at its footage unit surged on the again of the success of Spider-Man: No Way Home.

Operating profit was 465.2 billion yen (US$4.05bil or RM17bil) for the three months to Dec 31. That in contrast with an estimated common profit of 351.6 billion yen (RM12.8bil) from 9 analysts surveyed by Refinitiv.

Sony hiked its full-year profit forecast to 1.2 trillion yen (RM43.8bil) from 1.04 trillion yen (RM38bil). That prediction is larger than a median 1.09 trillion yen (RM39.8bil) profit forecast from 24 analysts, Refinitiv knowledge confirmed.

The conglomerate – spanning areas akin to leisure, sensors and monetary companies – switched to the International Financial Reporting Standards or IFRS accounting requirements from the United States’ Generally Accepted Accounting Principles or GAAP within the present monetary yr.

Profit at its footage enterprise jumped by greater than seven-fold to 149.4 billion yen (RM5.5bil), as income greater than doubled.

Sales on the group’s footage unit had been additionally boosted by receipts from the Venom: Let There Be Carnage film and licensing of the Seinfeld sitcom.

The sale of cell gaming enterprise GSN Games additionally boosted Sony’s profit.

Sony is benefiting from sturdy demand for its PlayStation 5 (PS5) video games console which it launched in November 2020.

A scarcity of semiconductors, nonetheless, means it’s struggling to produce sufficient consoles to meet that demand.

Sony mentioned it bought 3.9 million PS5 models within the third quarter, which spans the important thing year-end procuring season, bringing instructed models bought to 17.3 million.

The group mentioned final yr it’s going to spend two trillion yen (RM73bil) over three years on strategic investments, together with a push to broaden subscribers to its gaming and leisure companies because it streamlines its shopper electronics enterprise.

On Tuesday, the corporate introduced it’s going to purchase Bungie Inc, the unique creator of the Halo videogame, for US$3.6bil (RM15.1bil). That comes after XBox console maker Microsoft Corp mentioned final month it’s going to buy Call of Duty maker Activision Blizzard for US$69bil (RM288.8bil).

The Japanese shopper tech firm may additionally department out into electrical automobiles (EVs), with chief govt Kenichiro Yoshida unveiling a brand new EV prototype and saying the creation of a mobility enterprise at a tech commerce present in Las Vegas final month.

Growing demand for EVs is spurring new entrants into auto markets.

Through EVs, Sony is aiming to construct a enterprise that may rework vehicles from transportation machines to leisure areas.

Sony has mentioned it’s going to choose new companions for its EV mission primarily based on the expertise they’ll convey. — Reuters

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