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Sony Q1 Results: $312 Million Loss
- Thread starter Parmenides
- Start date
MagicWithEarvin
Member
Yeah, I was asking if it was because of their R&D. Typically a console manufacturer will take a huge hit in their gaming division once R&D is started for a new gaming platform.
Loghorn150
Banned
I didn't. I already knew it was failing from day one, especially when most of the time, I can tell when they didn't want to release the exact numbers of it on Media Create, NPD, etc. each month or each week.
Well, you might want to get a 3DS now. Otherwise, you'll be waiting for a very, very long time.
Hiro_Kunimi_80
Member
last year / same Q1
was 3.2 Mil divided into
Ps3 = 1.8
Ps2 = 1.4
this year if both psp and ps3 got lower sales (from above statement) would be something similar 1.7/1.6 ps3 and 1.1/1.2 ps2 in order to match the 2.8 million total of this Quarter
They've said in the past that the dollar exchange rate doesn't hurt them, because their dollar-denominated expenses balance them. Obviously the euro is killing them though.
Daydream Sequence
Banned
My Vita is starting to look more and more like it's going to soon be a collector's item.
davepoobond
you can't put a price on sparks
7.4 million cell phones? do they really sell that many cell phones? who the hell uses a sony cell phone nowadays
Xperia phones are popular in Europe and Asia, I heard.
JohnnySasaki86
Member
So the gaming division actually made a profit last year of $375million? Which is what I thought. I remember there being conflicting reports that they lost money in 2011.
It might be by next year. Seriously.
bigtroyjon
Member
Considering last year should have been the time where PS3 profitability was peaking, a 3.6% operating margin is certainly not good.
alfredofroylan
Member
Not really.Well they did better than Nintendo - that's pretty amazing
http://stage.neogaf.com/forum/showthread.php?t=483760
Auto_aim1
MeisaMcCaffrey
Yep. Would have been great if they released accurate figures. I think from this quarter onward they have started combining PS3/PS2 shipments as well.
Next quarter they'll only give us the combined numbers for PSP + Vita + The Amazing Spider Man DVD sales.
Yeah, it's much better... a $220 million loss for Nintendo compared to a $45 million loss for Sony (only the gaming division).
I'm sure they've lost a lot of money on the Vita so far (seems unlikely that they are selling hardware at a profit), so it speaks to the strength of the PS3 at the moment that they aren't losing more money.
bigtroyjon
Member
When they talk about PS3 sales in that context, they are talking about revenue. They probably didn't sell that much less than last year(if they sold less at all) considering the price is lower.
Canis lupus
Member
Oh I expected them to post a profit, since Panasonic made a small profit...
Ahh yeah not quite. I think I was recalling their quarterly results which was about 500 million.
alfredofroylan
Member
Sadly Sony has too many divisions.
wtf? they xperia android smartphones are as good as any other smartphones out there
Loghorn150
Banned
And most of them are crumbling in profits. At least, that's what I heard.
lmao!
I don't think 312 million is that much for a company as big as Sony
they've been bleeding money for so long they don't care anymore lol
Canis lupus
Member
The last Xperia phones were quite popular.
nelsonroyale
Member
Vita is not surprising... to be honest it is an impressive gadget...I am far more impressed by slick it is compared to say my iPhone...but it needs more games that appeal to a wide section of the gaming audience...there are few big games on the thing
JohnnySasaki86
Member
is anyone else surprised by the 375million profit gaming made last year? after all those reports saying that the gaming division was loosing money too. 375 million makes 2011 the most profitable year PS3 has had hasnt it?
Doesn't this offset all the moeny Sony lost with PS3 in the beginning? Or come close to it? I remember graph running around gaf that had shown the gaming divisions profit/loss for the last 10 years. Think the biggest loss they took was in 2006 of ~225 million. Would be interested in seeing how that its changed overall for PS3 now the 375million profit is added to the mix.
Doesn't this offset all the moeny Sony lost with PS3 in the beginning? Or come close to it? I remember graph running around gaf that had shown the gaming divisions profit/loss for the last 10 years. Think the biggest loss they took was in 2006 of ~225 million. Would be interested in seeing how that its changed overall for PS3 now the 375million profit is added to the mix.
Canis lupus
Member
I don't think the PS2 did more than 1m, so PS3 should be good at 1.8m.
bigtroyjon
Member
There probably shouldn't be PS4. But, nonetheless, it's Sony so it's coming.
I just don't think next gen is going to turn out well for anyone. Least of all Sony, who barely has the money to make the necessary investments.
MagicWithEarvin
Member
Kaz said they won't make back the money they lost on PS3 in his lifetime, IIRC.
Canis lupus
Member
Do you have a source for this?
It's well known that PS3 more than wiped out all the profits Sony ever made from the first two Playstations combined.
JohnnySasaki86
Member
not even close
maybe I'm not remembering the graph correctly, but 2009 and 2010 were both profitable years. With 2006, 2007, and 2008 totaling around a 550-600 million loss in the gaming division over those three years. This 375million, combind with the profits in 2009 and 2010 should get them close to canceling that figure out, maybe turning a profit overall this year(if they make a profit in gaming this year).
Remember not talking about Sony as a whole, JUST the gaming division. It would be nice to find that graph someone posted again to get exact figures.
Loghorn150
Banned
Not happening.
bigtroyjon
Member
First year PS3 was on the market gaming division lost 232 billion Yen. Second year on the market gaming division lost 125 billion Yen.(and that includes PSP and PS2 profit, so PS3 obviously was much worse than that by itself)
They made a profit of 29 billion Yen last year. Do the math and it's pretty clear he's probably right.
Figures are in this info
Have fun!
JohnnySasaki86
Member
No thats not true. Someone said this before, and thats the whole reason this graph I'm refering to was posted. It took a large chunk out of everything they made with PS2, but not quite when you combined it from 2009 and 2010.
Jinfash
needs 2 extra inches
Still a crazy number with how passive they're being.
Exactly.
Canis lupus
Member
I dont question him being right, I want to know if Kaz ever publicly said such thing.
This post is probably what you're looking for.
I'd love to see an update to it. We don't have gaming-specific numbers for FY2010, but apparently we just got a number of FY2011.
That loss is way bigger than expected for Sony as a whole, the game loss is lower than I expected, and revised portable forecast is just...ouch.
Seems unsubstantiated.
JohnnySasaki86
Member
nvm I found the graph. I wasnt comparing the right units. Graph is in billions of yen not millions of dollars. my bad. Anyways you can see PS3 hasnt lost everything they made with PS1 and PS2. At least this can be updated now with the 2011 figures.
edit: oops see that it was already posted.
You're remembering the losses incorrectly.