Prime Highlights:
Sony sold 9.5 million PS5 consoles in the December quarter, up from 8.2 million in the same period the previous year, driven by the holiday season.
Revenue in Sony’s gaming and network services division grew 16% year-over-year, reaching ¥237.9 billion, thanks to strong sales of both consoles and game titles.
Key Background:
Sony has raised its full-year forecasts for both revenue and operating profit following a robust performance in its gaming division during the December quarter, driven by higher PlayStation 5 (PS5) sales.
For the fiscal year 2024, the Japanese tech giant now expects revenue to reach ¥13.2 trillion, marking a 4% increase from its previous forecast issued in November. Additionally, Sony raised its operating profit estimate by 2%, now projecting ¥1.34 trillion. This revision follows a significant 18% year-over-year increase in quarterly revenue, which totaled ¥4.41 trillion ($28.6 billion), surpassing analyst expectations of ¥3.77 trillion. Operating income also exceeded predictions, rising by 1% to ¥469.3 billion.
A major driver of these positive results was Sony’s gaming sector, which saw a notable 16% year-over-year increase in revenue to ¥237.9 billion during the third quarter. This growth was fueled by higher sales of both PlayStation consoles and non-first-party game titles, including downloadable content. Notably, Sony sold 9.5 million PS5 units in the December quarter, a 16% increase from 8.2 million units during the same period in 2023. This surge occurred during the critical holiday shopping season, a peak time for consumer electronics.
The performance of Sony’s gaming hardware division was particularly important after a weaker showing in the previous quarter, where PS5 sales had fallen 22% year-over-year. However, with the release of the upgraded PS5 Pro last November, the company experienced a rebound in demand. Sony’s ability to surpass expectations has set a positive tone for its fiscal year, with the company poised to maintain momentum through its gaming and entertainment ventures, despite industry competition, such as Nintendo’s recent struggles with the Switch console.
