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SONY Q3 Earnings & Sales Up Y/Y on I&SS Momentum, FY25 Outlook Raised
ZACKS· 2026-02-05 18:10
Core Insights - Sony Group Corporation reported a third-quarter fiscal 2025 net income per share of ¥62.82, an increase from ¥56.42 in the previous year, with adjusted net income at ¥377.3 billion compared to ¥341.1 billion last year [1][11] Financial Performance - Quarterly total revenues increased by 1% year over year to ¥3,713.7 billion, with weak sales in Game & Network Services, Pictures and Entertainment, and Technology & Services segments, offset by growth in Imaging & Sensing Solutions and Music segments [2][11] - Total costs and expenses for the quarter were ¥3,203.6 billion, down 1.9% year over year, leading to an operating income of ¥515 billion, which rose by 22% [13] Segment Performance - Game & Network Services (G&NS) sales decreased by 4% year over year to ¥1,613.6 billion, impacted by lower hardware unit sales, although operating income rose by 19% to ¥140.8 billion due to increased sales in network services [5] - Music sales improved by 13% year over year to ¥542.4 billion, driven by stronger live events and higher streaming revenues, with operating income increasing to ¥106.4 billion from ¥97.4 billion [6] - Pictures segment sales declined by 11% year over year to ¥353.3 billion, with operating income down 9% to ¥30.9 billion due to lower revenues from theatrical releases [7] - Technology & Services (ET&S) sales totaled ¥658.1 billion, down 7% year over year, with operating income decreasing by 23% to ¥59.4 billion [8] - Imaging & Sensing Solutions (I&SS) sales rose by 21% year over year to ¥604.3 billion, with operating income increasing to ¥132 billion from ¥97.5 billion [9] Fiscal Guidance - Sony revised its fiscal 2025 sales forecast to ¥12,300 billion from ¥12,000 billion, primarily due to expected strength in G&NS and I&SS divisions, with G&NS revenues now expected at ¥4,630 billion and I&SS at ¥2,080 billion [3][11] - Operating income guidance for fiscal 2025 has been raised to ¥1,540 billion from ¥1,430 billion, with net income now estimated at ¥1,130 billion compared to the previous estimate of ¥1,050 billion [15]