Shares of Sony Group (NYSE: SONY) were down in pre-market trading on Friday as it has forecasted operating profit in FY24 to drop by 3.2% year-over-year to ¥1.17 trillion or $8.65 billion which was below analysts’ average estimate of a profit of ¥1.275 trillion. Sales in FY24 are expected to decline by 0.3% year-over-year to ¥11.5 trillion.
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The Japanese consumer products giant announced record FY23 operating revenues of ¥11.54 trillion, a jump of 16.3% year-over-year driven by higher sales of its flagship PlayStation 5 gaming console and its chip division. This year, the company expects to sell a record 25 million PlayStation 5 (PS5) consoles versus 19.1 million last fiscal year. For FY23, Sony’s operating profit nudged up to ¥1.21 trillion.
In the March quarter, the company generated operating revenues of ¥3.06 trillion or $22.7 billion, up by 35% year-over-year and above consensus estimates of ¥2.92 trillion. In calendar Q1, Sony’s operating profit, however, declined by 7% year-over-year to ¥128.5 billion versus analysts’ expectations of ¥124.34 billion.
SONY stock has surged by more than 20% year-to-date.
