Earnings: Sony 2Q05 Game Sales Soar 79 Percent Thanks To PSP; Overall Earnings Down 47 Percent

Overall, Sony earnings dropped 47 percent, putting the problems facing Sir Howard Stringer and company as they continue the current restructuring. Only a one-time boost from switching most of its pension plan to Japanese goivernment control saved the company from a loss.
Sony shipped 3.75 million PSPs and 9 million PSP units of software in FY2Q05, sending sales for Sony’s game division up 79 percent to $1.89 billion compared with the PSP-less same quarter last year; higher sales of PS2 helped. Operating income of $73 million was a swing from a slight loss the previous year. Sony BMG, the company’s joint venture with Bertelsmann AG, turned in a net loss of $60 million on sales revenues of $936 million reflecting, in part, “harsh market conditions” in various spots around the world — the U.S. Germany, Australia, Italy, Spain and the U.K. Audio sales slid 11 .7 percent.
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