Strong PS3 sales Multiply profit expectations sixfold; Sony stock Reaches 5-year high

[zekrahminator]

The Sony PlayStation3, along with other Sony electronics, have seen a sharp sales increase. This surge in sales forced a re-calculation of Sony's expected profits. While Sony was expecting "only" 60 billion Yen, new calculations indicate that Sony could stand to make as much as 400 billion Yen ($3.4 billion USD, £1.7 billion) this year. If Sony really does make 400 billion Yen this year, they will more than make up for the little hole the PS3 made in Sony's profits (200 billion Yen). Sony's stock is now selling for 6,510 Yen in the Japanese stock market.

View at TechPowerUp Main Site

 

[Jimmy 2004]

Umm... this sounds strange considering that they lose money on each console they sell

Unless they are making enormous profits from game sales.

 

[kwchang007]

Umm... this sounds strange considering that they lose money on each console they sell

Unless they are making enormous profits from game sales.

yeah, losing money on each concole, then selling more=better profit? but i guess you're right they'd have to sell more games. well unless they're doing really good with blu-ray and their big screens (we have a 60" sony big screen, love it)

 

[jocksteeluk]

they don't lose a penny on console sold in Europe since we pay $850/£450 and receive a lower specification system to boot. good old Son, always using the European consumer to make up its shortfalls in profits.

 

[erocker]

Hey-ooooooooooo! Sony sells more than just PS3's. The loss they take on PS3's is just pocket change man, pocket change.

 

[Batou1986]

there sony/ericson cell phones are nice i just picked up a w810i and it pwns , like someone else said sonys got there hand in a lil bit of everything so even if the ps3 was a huge failure it wouldn't hurt them badly

 

[Benpi]

They lose a ton of money on their consoles, but that's good for the consumer. If you buy a PS3, sony is basically giving you 2-300 dollars worth of hardware upgrades. According to theinq, sony makes about $10 per game sold, so you'd have to buy 20-30 games to make up for the loss of the PS3. I wonder tho, how much they make from Blu-ray discs since they all costs like 30 dollars.

 

[WarEagleAU]

Exactly, their TVs, cell phones, computers (mainly laptops now) surround speaker systems and even the PS3 believe it or not, is there big money makers.