Because of Shanghai COVID-19 production difficulties and a shift away from video games when pandemic restrictions loosened elsewhere, Sony’s profit increased by 3% in the most recent quarter
TOKYO (AP) As a result of COVID-19 production delays in Shanghai and a general shift away from video games as pandemic restrictions loosened elsewhere, Sony’s profit rose by 3% in the most recent three-month period. In the three months ending in June, Sony Corp., based in Tokyo, made 218 billion yen ($1.6 billion) more than it did in the same period the previous year.
Sony Corp., a Japanese electronics and entertainment firm, announced the results on Friday. Sony’s music operations, notably Harry Styles’ “Harry’s House” and Doja Cat’s “Planet Her,” had significant demand, resulting in a 2 percent increase in quarterly revenues to 2.31 trillion yen ($17.4 billion).
Movies based on Marvel Comics heroes like “Morbius” were among the best. Sony, on the other hand, is banking on the movie office success of “Bullet Train,” which stars Brad Pitt and will be released in August. Customers who subscribe to Sony’s Music Unlimited service saw a rise in sales during the third quarter of the year. Despite concerns about a global economic slowdown, Chief Financial Officer Hiroki Totoki predicted that the streaming business will stay stable.
Video games and technological services saw a decline in sales. Totoki cited a number of factors, including the easing of limitations imposed during the coronavirus outbreak. Sony’s PlayStation 5 system has also been held down by a lack of computer chips. Despite a drop in revenue, Sony’s gaming software development costs have risen.
Sony recognized that a drop in shipments could dampen the enthusiasm of gamers for the PlayStation 5, which is now in development. However, the company expects a boost in revenues from high-profile video games coming out later this year. In the current fiscal year, Sony predicts a full-year profit of 800 billion yen ($6 billion), down from 882 billion yen in the previous year.