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Sony’s annual profit forecast up by 13% to $4.9bn

by Peter Smyth Tech Journalist
9th Nov 20 9:28 am

According to Sony Corp’s earnings report for the quarter ended September 2020, its PlayStation revenue totaled 507 billion yen ($4.9 billion). The game segment’s operating profit was 105 billion yen ($1 billion), up by 40% year-over-year (YoY).

Based on the research data analyzed and published by Safe Betting Sites part of the reason behind this was an increase in Playstation Plus subscribers. GamesIndustry.biz reported that the number of subscribers was 41.5 million in May 2020. It had risen to 45.9 million by the end of October 2020 according to Euro Gamer.

Sony Targets $25 Billion in Gaming Revenue by April 2021, 7.6m Unit Sales

Sony’s gaming revenue was also boosted by an increase in its digital game sales. These accounted for 59% of all its gaming sales during the quarter, up from 55% the year before.

During the quarter, Sony’s top PS4 release was Ghost of Tsushima. It sold 2.4 million units in the first three days of its launch in July 2020. Within its first month of release, the title sold 1.9 million digital units. According to The NPD Group, it was the best-selling software title in the US in July 2020. Following its release, the title instantly became the fifth best seller in 2020 in the US.

Moreover, Sony revised its profit forecast for the fiscal year upwards to 700 billion yen ($6.7 billion), 13% higher than the previous outlook. It expects to generate 2.6 trillion yen ($24.9 billion) in revenue from its gaming segment by end of March 2021. Its target profit from the gaming segment within the same period totals 300 billion yen ($2.9 billion). To achieve that, it targets 7.5 million PS5 console unit sales.

Sony sold as many consoles during the first 12 hours of PS5’s pre-order as it did in the first 12 weeks of PS4. When it launches on November 12, 2020, the console’s high-end version will sell at $500. However, on the online black market, the PS5 is selling at a 59% markup, averaging $871.

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