Connect with us


Sony Group has Raised its 2025 Profit Forecast and Intends to List a Financial Unit



Sony Group

Thanks to its strong finance business and a weaker yen, Sony Group increased its net profit forecast for the year ending in March to ¥920 billion ($6.1 billion) on Wednesday. The company also announced that a planned spinoff and the listing of its financial unit are scheduled for 2025.

However, due to the weak performance of the gaming industry, the sales estimate for the fiscal year 2023 was reduced from ¥12.4 trillion in November to ¥12.3 trillion.

Despite the release of a new model in November, the Japanese conglomerate reduced its annual sales target for its flagship PlayStation 5 games console from 25 million to 21 million units, citing slower-than-expected sales during the Christmas holiday season.

The company stated that the downgrade caused its annual sales forecast for its gaming business to drop from ¥4.36 trillion to ¥4.15 trillion. It also added that console sales would continue to decline starting in the upcoming fiscal year.

The Sony Group announced the same day that it has decided to start getting ready for the partial spinoff and listing of Sony Financial Group in October 2025, as part of its efforts to concentrate more on its entertainment and chip businesses. It stated that it was considering moving in May of last year.

“By listing, the financial unit will be able to procure funds and seek growth on its own,” Sony Group President Hiroki Totoki said during an online news conference. “We are aiming to achieve a win-win outcome” for both Sony Group and the unit.

Less than 20% of the financial unit, which offers banking, life insurance, and property insurance services under the Sony brand, will remain owned by the parent company, according to its plans.

Sony Group’s net profit for the nine months ended in December was ¥781.57 billion, a 9.6% decrease from the same period last year on sales of ¥9.54 trillion, an increase of 20.2%.

In contrast to its initial projection of ¥1.21 trillion, the company now projects ¥1.3 trillion in financial services revenue for the fiscal year 2023, primarily due to net gains on investment at Sony Life Insurance.

follow us on google news banner black


Recent Posts


error: Content is protected !!