Sony lifts outlook after record quarterly profit, music and sensor units shine

Group 1 - Sony raised its full-year outlook after reporting a record quarterly operating profit of 515 billion yen ($3.3 billion), a 22% increase, and 9% above LSEG consensus estimates [1] - The company increased its annual forecast by 8% to 1.54 trillion yen, driven by gains in its image sensor and music divisions, despite a decline in PlayStation 5 sales [1][2] - Sales of image sensors rose by 21%, while the music business experienced a 13% revenue increase from streaming services, live events, and merchandising [2] Group 2 - PlayStation 5 sales declined by 16% year-over-year, with 8 million units sold in the October-December quarter, but monthly users on the PlayStation Network increased, indicating greater engagement [3] - Profit from the gaming unit grew by 19% to 140.8 billion yen, supported by higher software sales and a weaker yen [4] - Concerns over rising memory chip prices affecting supply chains and consumer prices were noted, but Sony has secured the minimum quantity of memory needed for the upcoming year-end shopping season [5][6] Group 3 - The company announced an expansion of its share buyback scheme, which positively impacted its share price initially [3] - The introduction of AI in the video game industry has created uncertainty, with gaming stocks experiencing declines following the launch of an AI-powered game-making tool by Google [6] - Anticipation for the release of Take-Two Interactive's "Grand Theft Auto VI" in November is expected to boost Sony's console business [6]