Sony Posts $35 Million Quarterly Profit

TOKYO: Sony Corporation posted a profit in its first fiscal quarter, benefiting from a weaker yen and cost cuts.

Sony reported earnings of 3.5 billion yen ($35 million), compared to the year-ago period’s loss of 24.6 billion yen. The quarter operating profit was 36.4 billion yen ($367 million), which is up 489 percent from the same period last year, thanks to the yen and the company’s efforts to restructure its businesses and reduce costs. Revenue was up 13 percent, with the weaker yen helping to boost overseas sales.

The film unit had an operating profit of 3.7 billion yen ($38 million) after the year ago’s operating loss of 4.9 billion yen; revenue rose 3.6 percent. This was led by a gain of 10.3 billion yen ($106 billion) from the sale of Sony Pictures Entertainment’s music publishing catalogue. The company managed to reduce its theatrical marketing expenses, though these gains were offset by a decrease in theatrical and home entertainment revenues. The segment faced a tough comparison though, given the year-ago period’s release of Men in Black 3.

The forecast for consolidated sales for the current fiscal year was revised upward, primarily due to the positive impact of the depreciation of the yen, partially offset by downward revisions in annual unit sales forecasts of certain electronics products.