Sony revises forecasts, expects addition $200 million loss

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Sony has revised it’s financial outlook for the past fiscal year, with it’s new numbers forecasting a 130 billion yen ($1.27 billion) loss, up from the previous forecast of 110 billion yen ($1.07 billion).  The additional loss is attributed to a number of factors.  Back in February, Sony exited the PC business, and as such it is writing off millions in components of those computers.  On top of that, the sales of Sony PCs have dropped off after the companies announcement.

Additionally, Sony has seen a decrease in it’s disk manufacturing business.  This decrease is attributed to lower demand for physical media, especially in Europe.  While they did not announce which kinds of physical media, Sony’s gaming division had an incredibly robust year, this decrease is likely attributed to music and movies.  Due to this overall decrease, Sony has had to the fair value of it’s entire disk manufacturing business, with that causing an impairment to Goodwill.

On the bright side, Sony’s gaming division has had a very strong year.  The PS4 exceeded expectations, with it already selling nearly 7 million consoles worldwide.  Sony is doing what it has to to right it’s ship, and gaming seems to be a pillar that the company will continue to build around.

by, Bobby Marquardt

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