Sony Profits Crash Almost 50%

Author Gordon Kelly
Published 30th Jul 2008
Sony Profits Crash Almost 50%
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It was probably to be expected...

Following mostly poor (to dreadful) financial results for nearly all electronics companies (excluding Apple) Sony has shown it isn't bullet proof either. The mega-corp has turned in disappointing first quarter figures this week revealing profit has fallen almost 50 per cent to $326.9m compared to $620 over the same period last year. The company cited the lack of a 'Spiderman 3' blockbuster equivalent (praise be?) during this time to boost figures.


On the plus side Sony's much lamented PlayStation division has completed a dramatic turnaround to become the company's best performing sector with PS3 sales hitting 1.56m for Q1, more than double the 700,000 shipped in the year ago quarter while PS3 software sales managed 22.8m a staggering leap of 18.1m on Q1 2008. Even the PSP's supposedly dead on its feet UMD format managed 3.72m sales, up from 2.13m in the corresponding quarter while PSP software sales increased by 2m to 11.8m.

Against this Sony blames an unfavourable exchange rate which saw it lose $133.6m while Sony BMG also struggled with restructuring costs seeing sales fall in line with the overall decline in the music market. Depressingly Usher's 'Here I Stand' and Neil Diamond's 'Home Before Dark' albums were the label's biggest sellers during the quarter. Consequently, Sony has lowered its overall full year profit forecast by $2.24 billion to $2.71 billion.

Pah, $2.71 billion - that's peanuts!

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Comment adoniteINK said on 30th July 2008

lol! sure $2.71billion is peanuts...i have that for pocket money every week.............*in my after life assuming the dollar still holds as a currency*

Comment PK Son said on 16th September 2008

haha.. as a Mac fan, I liked the "excluding Apple" note.

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