Sony

Sony’s shares suffered a drop of 4.8% on Monday as the market reacted negatively to the Japanese electronics and entertainment company’s annual profit forecast, which fell short of market expectations. Despite the announcement of a record operating profit for the year ending March 2023, Sony’s projection of a 3.2% decline in profit for the current business year to 1.17 trillion yen ($8.55 billion) was lower than analysts’ average estimate of 1.275 trillion yen. The slow recovery in profitability in the videogame unit was cited as the primary reason for the shortfall.

Jefferies analyst Atul Goyal has expressed that Sony’s outlook is “overly conservative,” in his note to clients, adding that pent-up demand is likely to boost sales of PlayStation 5 (PS5) game consoles and game software. The PS5 faced challenges in meeting demand due to supply chain issues during the COVID-19 pandemic. However, Sony’s President Hiroki Totoki said on Friday that the company is now capable of delivering consoles without any delays.

Sony is targeting a record-breaking sales figure of 25 million PS5 units by next March, aiming to capitalize on the expected surge in demand.

Mike Hunt

A writer and reviewer with good experience in the field of technology. He worked for a long time in technology news sites. He is interested in all news, mobile phones and modern technology. He has a strong resume. He works for us as a writer and reviewer. You can contact him via e-mail: [email protected]

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