SONY'S PROFITS SURGE!!!
Blig Merk
identity theft to spread lie after lie. Notice they are not brave
enough to post the lies under their own alias. Howard Stringer has had
to make cuts and it is a shame about Aibo and Qrio but they can't have
been big money makers. Closing the Walkman plant? Hello, why in the
hell was that even being kept running? That had to be a case of job
protection and didn't make economic sense. The other factor is Sony is
tightening their product lines, they were getting too spread out and
now they are focusing on next generation hardware like HD camcorders
and SED displays. This is just the start of a big turnaround for Sony.
Notice these profits are after buying out Zipper (SOCOM) and Guerilla
Games and paid for PS3 development costs.
http://money.cnn.com/2006/01/26/news/international/sony.reut/index.htm
Power surge! Sony's profits soar
Electronics conglomerate raises full-year outlook on surprisingly
strong results.
January 26, 2006
TOKYO (Reuters) - Sony Corp. reported a surprise 47 percent jump in
quarterly operating profit Thursday, helped by a weaker yen, strong
sales of a portable game console and investment gains, prompting it to
raise its full-year outlook to a profit from a loss.
The electronics conglomerate also logged its highest ever quarterly
sales and net profit, the latter getting a big boost from strong
performances by its affiliates, mainly mobile phone maker Sony Ericsson
and music unit Sony BMG.
Sony's (Research) brighter prospects also reflect valuation gains on
investments at its life insurance unit due to Japan's rallying stock
market, robust demand for the PlayStation Portable (PSP), and brisk
sales of liquid crystal display TVs and notebook PCs.
Sony's core electronics unit posted a higher profit in the quarter,
helped by a softer yen and cost-cutting efforts which made up for
sliding demand for traditional cathode-ray tube TVs and tumbling prices
of image sensor chips.
Four out of Sony's five business segments showed improvement. The
pictures division was the only one to slump, posting a small operating
loss because of some flops and the lack of a big hit movie such as last
year's Spider-Man 2.
"This is an extremely positive result, easily outstripping
expectations," said Mizuho Securities analyst Koichi Hariya.
"I'm really surprised by the electronics division, even if the yen and
a strong holiday shopping season were working in its favor. Price
competition was fierce and I had my doubts about whether an improvement
in profitability was possible," he said.
Sony, Japan's second-largest consumer electronics maker after
Matsushita Electric Industrial Co., said group operating profit came to
¥202.8 billion ($1.75 billion) in the October-December third quarter,
up from a profit of ¥138.2 billion a year earlier.
Sales surged 10.2 percent to a record ¥2.37 trillion.
The profit result soared past the market consensus for a profit of
¥92.5 billion and will put Sony in the same camp as Matsushita and
Sharp Corp., which are also expected to post higher profits next week
due to brisk sales of flat TVs.
Sony executives boasted that the company had recently surpassed Sharp
to secure top position in the global LCD TV market in value terms,
helped by a multimillion dollar marketing campaign for its new lineup
of Bravia brand TVs.
Business daily Nihon Keizai reported on Thursday that Sony and South
Korea's Samsung Electronics Co. Ltd. were set to start discussions
about jointly building another LCD plant for about ¥300 billion to
meet demand for LCD TVs.
Sony did not comment on the report but acknowledged that it needs more
capacity. It still procures a good chunk of its panels externally,
putting it at a cost disadvantage compared with Matsushita, for
example, which makes all its panels in-house.
"We will have to take some sort of step to increase output," Sony Chief
Financial Officer Nobuyuki Oneda told a briefing.
Sony lifted its 2005/06 LCD TV forecast to 2.8 million units from 2.5
million. It sold 1.0 million units in 2004/05.
Making progress
Sony revised its forecast for the full year to March to an operating
profit of ¥100 billion from a loss of ¥20 billion. There is no change
to its plans to book ¥140 billion in restructuring charges as it
closes factories and cuts jobs.
Sony said the yen's recent fall against the dollar and euro was a major
factor behind the revision, as was a 17 percent jump in the Tokyo stock
market's TOPIX index, which significantly inflated the value of
investments at Sony Life.
Oneda said management was not counting on these supportive factors to
continue in 2006. He also expressed concern about further price falls
in the LCD TV market and noted that sales of portable audio players
were trending a bit below plan.
"I don't think the trend in the third quarter will continue into the
fourth quarter and the first quarter of next year," Oneda said. "We are
a little bit cautious about the sales volume and price deterioration in
the TV area in particular."
Unveiling progress of a restructuring plan announced last September,
Sony said it had completed three out of 11 planned factory closures,
sold nearly half of the ¥120 billion worth of assets to be sold and
finished 2,400 out of 10,000 planned job cuts.
Sony also announced it had made decisions on nine of 15 business
categories that were either to be downsized, sold off or spun into
joint ventures. It estimated the planned actions would contribute about
¥50 billion to profit in 2006/07.
Among the measures, Sony said it has already stopped the development
and production of plasma TVs, would stop making and selling car
electronics in Japan, and planned to cease production of its "AIBO"
robot dog by the end of the business year in March.
Sony's group net profit rose 17.5 percent to ¥168.9 billion in the
third quarter. It raised its full-year outlook to ¥70 billion profit
from a ¥10 billion loss and now sees sales of ¥7.4 trillion, up from
its previous estimate of ¥7.25 trillion.
Shares in Sony have rallied 35 percent over the past three months on
news of Sony's gains in the LCD TV market and hopes its restructuring
would bear fruit.
Ahead of the earnings announcement, Sony shares closed higher 2.6
percent at ¥5,080.
Masaki Iso, chief investment officer at Yasuda Asset Management,
reckons Sony may be set for further gains.
"They are still in the middle of restructuring their electronics
division, but things hardly look like they are going to get worse from
here on out. For the market, this is a very good sign. This is a
positive surprise."
MS#1Fanboy-JoJo
blig...@yahoo.com says...
>
>"They are still in the middle of restructuring their electronics
>division, but things hardly look like they are going to get worse from
>here on out. For the market, this is a very good sign. This is a
>positive surprise."
>
Nice! They only fell about 1.8 billion short of what MS made but at least they
are back in the black. I wonder why you skipped over the MS earnings....
Jordan
have such a big leap in quarterly operating profit? Could it be because
their record losses for the last 3 years lowered the bar a bit?
Your link is for the October to December quarter so let's compare,
shall we?
(Sony financial docs here)
http://www.sony.net/SonyInfo/IR/financial/fr/
Q3 2005
http://www.sony.net/SonyInfo/IR/financial/fr/05q3_sony.pdf
Overall: UP 46.8% compared with Q3 2004
Electronics: UP ¥28.4 billion or 56.2% compared Q3 2004
Game: UP ¥23.2 billion or 52.1% compared with Q3 2004
Pictures: DOWN ¥19 billion compared with Q3 2004 (0.4 B loss vs, 18.6
B profit)
Financial Services: UP ¥33.1 billion or 238.4% compared with Q3 2004
Other: UP ¥1.5 billion or 11% compared with Q3 2004
(The music division operates under different accounting and is not
included in the quarterlies)
OK, so that's what your link is reporting. Now let's look at what it's
being compared with:
Q3 2004
http://www.sony.net/SonyInfo/IR/financial/fr/04q3_sony.pdf
Overall: DOWN 13.0% (a 19% decrease on a local currency basis) compared
with compared with Q3 2003
Electronics: DOWN ¥15.0 billion, or 23.3% compared Q3 2003
Game: DOWN ¥25.9 billion, or 36.8% compared with Q3 2003
Pictures: UP ¥13.0 billion, or 232.2% compared with Q3 2003 (Thanks
Spider-Man 2!)
Financial Services: UP ¥1.2 billion or 9.8% compared with Q3 2003
Other: UP ¥5.4 billion compared with Q3 2003 ((2.5 B profit vs, 2.9 B
loss in 2003)
Ouch. Sony's electronics and games divisions got HAMMERED in Q3 2004.
No wonder they're doing so much better (percentage wise) in 2005. Let's
go back another year...
Q3 2003
http://www.sony.net/SonyInfo/IR/financial/fr/qfhh7c000000kjzj-att/03q3_sony.pdf
Overall: DOWN 20.4% (15% decrease on a local currency basis) compared
with Q3 2002
Electronics: DOWN ¥32.6 billion, or 39.7%, compared Q3 2002
Game: DOWN ¥1.1 billion, or 1.6%, compared with Q3 2002
Pictures: DOWN ¥26.1 billion, or 82.3%, compared with Q3 2002
Financial Services: UP ¥9.6 billion, or 307.5%, compared with Q3 2002
Other: UP ¥1 billion compared with Q3 2002, but still operated at a
loss. 2.6 B vs. 3.6 B.
Wow, pretty much everything being down again. The only bright spot is
the financial services division. Who knew Sony sold life insurance?
Weird...
So to recap:
2003 - All divisions lost except Financial services and "Other" which
only managed to decrease the loss.
2004 - Electronics and Game down, Pictures up because of Spider-Man 2,
Financial Services and Other increase again.
2005 - After losing 63% of it's value over the past 2 years,
electronics recoups 56.2% over the previous year. It has yet to reach
2002 levels. The Game division had lost 38.4% over the last two years,
managed to increase 52.1% over 2004.
In the end the 2005 overall numbers do, in fact, represent a 46.8%
increase over 2004. What you don't seem to know is that the 2004
numbers were 13% lower than 2003 which themselves were 20.4% lower than
2002. The 2005 numbers represent a net gain of 13.4% over 2002 which
amounts to a less than stellar 4.46% per year.
- Jordan
furious gibbon
> Now, you see why the xflop fanbitches are running so scared
hahahaha, i haven't been here in 3 days and the first post i read is
hillarious
quality entertainment
Swam Mollen
Blig Merk wrote:
> Now, you see why the xflop fanbitches are running so scared, using
> identity theft to spread lie after lie. Notice they are not brave
> enough to post the lies under their own alias. Howard Stringer has had
> to make cuts and it is a shame about Aibo and Qrio but they can't have
> been big money makers. Closing the Walkman plant? Hello, why in the
> hell was that even being kept running?
I see the fake posters that have been using your ID have rather
rattled you.
And the fact that you are totally owned on 2 other threads, let alone
several other.
The only reason you think Sony's profitability as a whole is of any
interest to us is a counter to another Troll so obviously trying to
wind you up.
Looks like they got their goal.