Income of Sony Increased by Almost 700% in 2017

Photo by Ian Muttoo from Flickr

Last Friday, Sony reported strong results for the previous year, as the net income of the company came in at just below ¥380bn (£2.5bn), nearly seven times the amount that the company reported for 2016.

The company also reported profits worth $4.5 billion, extending a roaring recovery that is supported by better sales of movies and smartphone image sensors, and an improvement in its finance businesses.

Sony said that all of its business segments, except its mobile operations, experienced an increase in sales, while asset sales added to the company’s operating profit.

The results of the company can be attributed to the successes in its Game & Network Services, which brought in operating income which amounted to 177.5bn Yen, and the firm’s Music business, which made a whopping ¥127.8bn (£841m).

The sales for the PlayStation 4 and its software, and the increase of the subscribers to PlaystationPlus were held responsible for the rise in profits, which up from ¥135.6bn (£893m) in 2016.

The sales in the company’s semiconductor business increased by 10 percent, thanks to strong demand for image sensors that are used for mobile devices.

Sony Pictures, the movie arm of the  Japanese firm which is responsible for box office success of last year, Spiderman: Homecoming, had operating profits amounting to ¥41.1bn (£270m).

Home Entertainment & Sound also brought in figured amounting to ¥85.8bn (£570m) which is up from the figure of 2016 which amounted to ¥58.5bn (£390m).

For the year to March 2019, the company anticipated a moderate slowdown, with net profit predicted to drop by 2.2 percent to 480 billion yen and operating profit down by 8.8 percent to 670 billion yen.

The annual sales are also anticipated to decrease by 2.9 percent to 8.3 trillion yen.

In a statement, the company said: “Consolidated sales for (the ongoing year) are expected to decrease year-on-year primarily due to the impact of foreign exchange rates and an expected decrease in sales in the (mobile communications) segment.”

It added: “Consolidated operating income is expected to decrease year-on-year mainly due to an expected decrease in operating income in the semiconductors segment.”