Improved product mix catapults Sony profits to record high

Kazuo Hirai, President & CEO of Sony Corporation

Sony Corporation announced its highest ever third quarter operating profits for the fiscal year ending 31 December 2017, posting a nearly four-fold increase of 11.5 per cent year-on-year as compared to the same quarter of the previous fiscal year. 

 

The company’s sales and operating revenue of USD23.65 billion was spurred by solid growth and an impressive performance in the Home Entertainment & Sound (HE&S) and Game and Network Services (G&NS) segments.

Sony’s consolidated operating income was USD3.1 billion, which is approximately 3.8 times higher than the same quarter of the previous fiscal year.

 

The robust improvement in the operating results of the G&NS, Semiconductors, Financial Services and HE&S segments contributed highly to the Q3 operating income. 

During this period, HE&S’s operating income increased 20 per cent year-on-year to USD408.8 million while sales grew by 76 per cent year-on-year to USD3.8 billion. 

 

The increase in sales and operating income was primarily due to a shift towards high value-added models, particularly 4K televisions, and the positive impact of foreign exchange rates. 

Sony has also upwardly revised its forecast for operating income by USD35.4 million to USD708 million primarily due to an improved mix of audio and video products. 

 

“Throughout the fiscal year of 2017, we have aligned our Middle East and Africa regional growth strategy with Sony’s global strategy by re-engineering our operations and evolving priorities through a united front with our channel partners in the retail space. Along with the positive consolidated financial results, we are on track to achieving our forecast of 20 per cent business growth across the region,” said Taro Kimura, Managing Director, Sony Middle East & Africa. 

 

Meanwhile, sales and operating revenues of the Imaging Products & Solutions (IP&S) segment climbed eight per cent year-on-year to USD1.6 billion and operating income increased by USD43.3 million to USD230 million.