Sony Playstation

PlayStation and games are selling very well, and it’s that somehow counteracts the malfunction of the mobile division of Sony. The Japanese company is constantly changing, so we have been since 2012 seeing is given priority to divisions that give money and have a future, and unfortunately, getting rid of others.

What is real is that economically things up better, the fact unify the divisions and make them all rowing in the same direction is taking off now. We recently met a major new movement, is that games and business network will be in the same place: Sony Interactive Entertainment.

The division ‘mobile cameras’ loses steam, not only sell less phones; there is also less demand for other manufacturers

Let’s what we have now is learn how health company in the last quarter – the third in its fiscal year -.

Sony Playstation
Image Source: Google Image

For now to say something positive, is that Sony is making money, as many as 1,690 million profits, emerging from 21,500 million dollars in revenue.

As discussed by introducing, here there is an important balance between divisions, while games and movies are very strong, devices in general, and especially mobile, they do not go quite right.

One of his most powerful businesses is the image; it is the division responsible for creating sensors for cameras and phones, for as the phone market is very busy, also is affecting their accounts. Revenues are down to lower demand from other mobile manufacturers.

7.6 million Phone

Speaking of units sold, we know that in the quarter were harvested 7.6 million units, a lower number than expected in the most modest expectations. I think it’s very interesting to take a look at historical sales per quarter, courtesy of Xperia blog.

With that figure is expected to finish the year with 25 million Xperia sold, representing a reduction of 7% over the previous year (27 million). Sony expectations were crossing the barrier of 30 million phones in a year.

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Restructuring and cuts that are taking effect

Sony says its benefits have been increased by the cuts, and changes along the divisions:

  • First, the phones: Sales decreased 14.7% compared with the same period last year – Sony says this is confirmed by the same decision not to proceed with a stopover in mobile phones to profitability, and why utility significantly improved operation for the section. At least the cuts have led them to have a profitable division 201 million in benefits.
  • Mobile sensors: A significant decline in sales – 12.6% – by lower demand from other manufacturers. The result, losses of 97 million, compared with profit of 445 million just last quarter. It seems to be a business that is compensated fairly well throughout the year.
  • Cameras: Another place where it is referent and where it loses 5% sales – 1.600 million – but earnings improved by 20% (197 million). Sony is happy with the last raised catalog, mixing photo and video cameras smarter and staggered.
  • What happens with cameras, it is similar to what happens in ‘Home Entertainment‘. Revenues fell by 4.3%, but profits rose by 19.8% ($ 260 million)
  • PlayStation: The company has found an increase of 10.5% in sales: 4,900 million. Compared to the previous year, also improved benefits – 45.5% – and is said to have to do with the redemption of components Vita which took place last year, and it does not have that expense. Obviously the great fault of the units sold PlayStation 4.
  • Movies: Sony Pictures has had a great quarter, with movies like Hotel Transylvania 2 or Spectre. They have raised 2.180 billion, 26.9% more than last year in the same period. Music as the movies have given benefits (228 and 170 million respectively).

2016 in a similar vein

This year Sony will continue to grow in a less visible way, becoming more profitable

Sony does not want to be the leader in the hardware as it has been before, it has to be a more sober company that knows better use of business where it can really make a difference.

It seems clear that PlayStation is its new activity center, and from it must be given the best landing surface to the virtual reality VR PlayStation.

2016 will continue as last year, with reductions in marketing and the development of the mobile part investigation. Not bet on a sale of the mobile division, but it seems difficult that is to add fuel to a fire that has never managed to grow as tall as Sony believed it deserved.

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