Wednesday, November 2, 2011
Sony Pictures Swings To Profit In 2Q While Parent Company Forecasts $1.2B FY Loss
Sony delivered a gloomy report as it reeled from problems that ranged from surprisingly low sales of TV sets tofloods in Thailand. For the quarter that ended in September, the fiscal 2Q, Sony had a net loss of $350M on sales of $20.5B. But it also slashed its projection for the fiscal year results to a $1.2B loss from a $769M profit. Sony Pictures delivered operating income of $268M, up from a $61.6M loss in the quarter last year, on revenues of $2.2B, up 17%. But that includes $278M from the sale of Spider-Man merchandising rights, as well as strong results for The Smurfs. Overall, the company says that theatrical was a drag on the higher sales of TV shows and home entertainment. The music unit sang a different tune, with operating income down 21.9% to $82M on sales of $1.3B, down 6.6%. The company attributes that to the appreciation of the yen, and lower album sales outside of the U.S.