Sony Q1 Profit Down On Weak Sales; Backs FY Earnings View, Cuts Sales Forecast

(RTTNews) - Japanese consumer electronics maker Sony Corp. (SON.L, SNE) reported Friday that its first-quarter net income attributable to stockholders fell 74.3 percent to 21.2 billion Japanese yen or $205 million from last year's 82.4 billion yen.

Earnings per share dropped 76.6 percent to 16.44 yen or $0.16 from 70.36 yen last year.

Operating income was 56.2 billion yen or $546 million, down 42 percent from the prior year.

Sales and operating revenue declined 10.8 percent to 1.61 trillion yen or $15.66 billion from 1.81 trillion yen a year ago.

This significant decrease was mainly due to the impact of foreign exchange rates, and a decrease in Mobile Communications segment sales reflecting weak smartphone unit sales.

This was partially offset by an increase in Game & Network Services segment sales reflecting increases in PlayStation 4 software sales.

On a constant currency basis, sales decreased 3% year-on-year.

Looking ahead, for fiscal year ending March 31, 2017, the company continues to expect attributable net income of 80 billion yen, lower than last year, and operating income of 300 billion yen, higher than last year.

Sales and operating income for the year is now expected to be 7.4 trillion yen, lower than previous estimate of 7.8 trillion yen, and down 8.7 percent from last year.

The company in June had cut its fiscal year 2017 sales outlook of Devices, Mobile Communications, and pictures Segments.