PS3 News: Analyst Forecast: Huge Recovery For Sony - PS3 News

Members Login: Register | Why sign up? | Forgot Password?

Analyst Forecast: Huge Recovery For Sony

It's been tough for Sony during the start of the PS3's lifespan, but analysts are predicting their gaming division to bounce back...big time. According to Gamesutra, some analysts say Sony will report an operating profit increase of about 500% at the end of the company's next financial year, and the game division will experience a healthy recovery. Their current fiscal year's operating loss sits at an astounding 200 billion yen ($1.69 billion).

In looking at a recent consensus forecast, analysts have predicted a big increase in overall profits (400 billion yen, or $3.37 billion), with sales rising 6% to 8.7 trillion yen ($73.34 billion) for the year ending March 2008. These numbers come from the Japanese newspaper, Nikkei Sangyo Shimbun, which were then relayed to Reuters. The sharp rise, apparently, will be attributed to strong LCD HDTV sales in North American and Europe, and significantly higher PS3 sales for the game division increase.

And while the PS3 has slipped in Europe after a huge launch, it continues to enjoy mild success worldwide, with bigger success predicted for the rest of 2007. Analysts expect PS3 shipments to increase by 67% this year to 10 million units, thanks to better semiconductor production yields and other cost-cutting practices. However, bear in mind that despite this prediction, Sony has denied the 10 million unit figure. Therefore, it appears the company isn't banking on 10 million, but it's likely there will still be a PS3 shipment increase.

Lastly, in clarifying that stance to financial website Bloomberg, Sony hinted at the possibility of a new PS3 model "with a bigger hard disk" (a rumor that is already in circulation), but wouldn't go into details. For now, the future looks much brighter for Sony, in regards to both overall company position and game division profits.

UPDATE: Due to these predictions, the BBC reports that Sony stock has hit a five-year high. They closed the trading session yesterday up 2.7% at 6,510 yen.

4/14/2007 Ben Dutka

Put this on your webpage or blog:
Email this to a friend
Follow PSX Extreme on Twitter

Share on Twitter Share on Facebook Share on Google Share on MySpace Share on Delicious Share on Digg Share on Google Buzz Share via E-Mail Share via Tumblr Share via Posterous

Comments (0 posts)

There are no comments to display.

Leave a Comment

Please login or register to leave a comment.

Our Poll

The PS4 exclusive(s) reveal in December will be...
MEGATON! Biggest thing evah!
Pretty great, but not mind-blowing.
Something decent but that's it.
A waste of hype.

Previous Poll Results