Sony's financial results for the fiscal year ending March 31st, 2010, confirm the company as a whole was not able to secure profitability during the past twelve months, incurring a ¥40.8 billion ($438.9 million USD) loss. This is still better than the loss Sony originally forecast earlier this week, and certainly an improvement from the ¥98.9 billion ($1.06 billion) loss it posted just the year before. However, annual renvenue dropped to ¥7.21 trillion ($77.6 billion USD).
The Networked Products & Services division, which now handles the business for all of Sony's console gaming platforms, saw its own revenues drop 10 percent to ¥1.58 trillion ($16.9 billion USD). Ultimately the division was forced to stomach an ¥83.1 billion ($894 million USD) loss, better than the ¥87.4 billion ($940 million USD) loss that the division posted for the prior fiscal year.
Sony explains its losses in the console gaming business stemmed from "unfavorable foreign currency exchange rates" and "decreases in unit sales of PSP hardware and of PS2 software" despite the improved PS3 software sales of 115.3 million units. PS3 hardware sales increased to reach an annual milestone of 13 million units, but Sony's other platforms didn't fare as well. On the flip side, Sony's PS3 business wasn't the thing holding back the company this time around! This points to better profitability from the PS3 alone thanks to decreasing production costs, which ought to be encouraging after all the lumps Sony took because of the Blu-ray equipped console.
You would think the PSP would enjoy a greater moment in the sun for all its chart-topping months in Japan, but annual hardware sales for the handheld dropped sharply to 9.9 million units from the 14.1 million sold the year before. Software sales also dipped to 44.4 million units. Year-on-year hardware sales for the legacy PS2 platform fell slightly to 7.3 million units, while PS2 game sales downright plummeted to 35.7 million units from 83.5 million the year before.
The company as a whole is predicting it will go back to black this fiscal year when it forecasts a ¥50 billion ($538 million USD) profit from revenue of ¥7.6 trillion ($81.8 billion USD).