Sony Posts $1.25 billion Loss Including Gaming Division

[algoat]

Despite the success of the PS4, Sony's gaming division still managed to lose $78 million.  The rumours may be true that it would take 1-2 years to recoup the initial cost of R&D, production, etc.  But this is a drop in the bucket compared to the $1.25 billion loss the company lost as a whole.

 

As per usual, the best division in Sony is the financial services which pulled in $1.6 billion.  Sony's fiscal year 2013 ended on March 31, 2014.

 

Here's the breakdown of the major components (others are missing):

 

Financial services: $1.65 billion

Sony Pictures: $501 million

Music: $487 million

Image Products and Solutions: $256 million

PC: -$890 million

Devices: -$126 million

Home Entertainment & Sound: -$248 million

Mobile Products: -$729 million

Gaming: -$78 million

 

http://www.sony.net/SonyInfo/IR/financial/fr/13q4_sony.pdf

http://www.thestar.com/business/2014/05/14/sony_posts_huge_loss_warns_of_more_red_ink_as_execs_slash_their_own_pay.html

http://ca.ign.com/articles/2014/05/14/sony-financials-reveal-huge-loss-with-more-expected

<Update> Sony is already forecasting a loss of $489 million for next year.   You can also see it in their balance sheet.

 

http://www.bbc.com/news/business-27403887

 

Restructuring is the name of the game at this point.  Sony has sold off their failing PC division and spun off the TV division into its own subsidiary.  Sony does expect the gaming division to make a profit by next year and a successful movie (like Spider-man 2) could seriously swing it back into green.

 

[xrex64]

PCMASTERACE

[ilikemacandpc]

damn sony. I used to like them... too bad...

[AlexGoesHigh]

damn their mobile side sure got hit hard though all their hardware got hit to, maybe if they stop using proprietary standards in their stuff, maybe people would have more interest

[dizmo]

The company is going through major restructuring. It's going to take a while before we see positive numbers.

[antoainb]

Poor Sony, I actually like some of their products.

[Morpheus]

how did they lose 890 million from pc? can someone quote me with a brief explanation please 

[deathjester]

how did they lose 890 million from pc? can someone quote me with a brief explanation please 

 

They made all in one PC's. Laptops, Desktops etc.

 

They didn't sell well. Many of the all in ones aren't selling well. 1) People hated Windows 8. 2) People are getting smarter and building their own because these all in ones suck. Some of the companies making PC gaming parts are making a killing. Nvidia would be one. 

[Morpheus]

They made all in one PC's. Laptops, Desktops etc.

 

They didn't sell well. Many of the all in ones aren't selling well. 1) People hated Windows 8. 2) People are getting smarter and building their own because these all in ones suck. Some of the companies making PC gaming parts are making a killing. Nvidia would be one. 

thanks

[Askew]

Damn the mobile and computer parts, that's some serious money.

[daemonowner]

They should release more consoles exclusives to make up for the losses.

[Kamina]

Sony should just stick to what they do best.

[Yoinkerman]

Clearly making mediocre things and passing them off as hot stuff isn't working anymore, that's why they're in this mess...

 

Sony should just stick to what they do best.

[algoat]

<Update> Sony is already forecasting a loss of $489 million for next year.   You can also see it in their balance sheet.

 

http://www.bbc.com/news/business-27403887

 

Restructuring is the name of the game at this point.  Sony has sold off their failing PC division and spun off the TV division into its own subsidiary.  Sony does expect the gaming division to make a profit by next year and a successful movie (like Spider-man 2) could seriously swing it back into green.

 

[toughtrasher]

The company is going through major restructuring. It's going to take a while before we see positive numbers.

What exactly is going to bring them out to positive numbers? I'm just asking because I'm vouching hard for Sony to pull through

[dizmo]

What exactly is going to bring them out to positive numbers? I'm just asking because I'm vouching hard for Sony to pull through

Their top 40 executives returned their bonuses and cut their pay in half, they ditched their PC business, they also did something with their TV business but I can't exactly remember what.

[Eroda]

if they dropped PC / Devices/ and Mobile Products they would be fine

[MooseParade]

PCMASTERACE

 

Considering that there PC division had the largest loss of all divisions, your comment is invalid

[deviant88]

When they achieve to get back on profit and cut the losses > they will make declarations like "OMG Piracy killed our business" and i will facepalm then laugh.

[xrex64]

Considering that there PC division had the largest loss of all divisions, your comment is invalid

But it doesn't matter about Sony's PC division, it matters about all the PC divisions. There's tons of PC divisions and there's basically 3 console divisions. If sony is failing then 1/3 of the console division is failing. 

[ItsComrade]

Dear Sony: Expand into PC. That is all.

[algoat]

how did they lose 890 million from pc? can someone quote me with a brief explanation please

$566 million of those losses were from restructuring costs (selling off their PC division) and the write-down of excess inventory.

[kuddlesworth9419]

They really need to drop their PC division. Invest more in the PC market. If they released every Sony exclusive onto Steam like Ratchet and Clank and all those games I would imagine pretty much every Steam owner would buy them up. In a bundle would be cool. Port them over badly and release them with basic modding support, let the community fix the game for you.

[Xorbot]

New: Sony BankStation 4

[Recon-UK]