Q309
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Sony posts $887 million net profit, PlayStation has strong holiday quarter
Sony had quite a good holiday during its third quarter for fiscal year 2010, posting a ¥137.5 billion (approximately US $1.68b) operating income. Year-over-year, however, it's actually six percent lower than Q3 FY09, with some blame attributable to a five percent stronger yen. Although sales were more or less the same in most divisions (with pictures and music seeing a more noticeable drop), operating income saw dramatic changes. Consumer, Professional and Devices dropped 47 percent to ¥26.8b ($327.3m), while Networked Products and Services (which includes the PlayStation brand) jumped a whopping 134 percent to ¥45.7b ($559.78). Looking at unit sales, Bravia sets were way up (7.9m units versus 5.4m in Q3 FY09), and video cameras, compact digital cameras, and PCs all saw moderate gains. PSP hardware took a pretty big hit, going from 4.2m last holiday to 3.6m this past quarter (the now-profitable PlayStation 3 saw a slight decline, 6.5m to 6.3m). Software-wise, though, both gaming machines saw a bump -- 57.6m (from 47.6m) for PS3 and 16.4m (from 15m) for PSP. The PlayStation 2, now almost 11 years old, actually had about the same 2.1m hardware unit sales YOY, though software took a pretty hard hit (from 11.2m to 5.3m). Sony's golden years console isn't going down without a fight -- then again, it might've been a different story had the company managed to add backwards compatibility to the PS3.
Sony Ericsson Q3 slump buoyed by new financing, a rumored November launch for XPERIA X3
Bad news, good news, and potentially great news time, folks. First with the bad: Sony Ericsson posted another loss for its fiscal third quarter, to the tune of 164 million euro (about $244 million US), blaming a large chunk of that on a drop in sales. Sales dropped year-over-year 40 percent to 1.6 billion euro, and unit shipments comparably down 45 percent. That's the bad, now what's good for SE is that its secured more financial backing to reshape its future into something more profitable. External financing totals a reported 455 million euro ($676 million US), 255 million of which is already in the company's position and 200 million as a two-year backup. SE also managed to beat analyst estimates, losing less than anticipated, and that's gotta induce some bittersweet smiles in the corporate boardrooms... oh, the potentially great news? Well, SEMC blog has boldly announced that the Android-imbued Rachael (a.k.a. XPERIA X3) is due out this November, same specs as we heard before and two color options, Sensuous Black and Luster White. Unfortunately, we're not seeing exactly where this news is coming for, so until SE speaks the magic words, we're considering it a rumor for now -- but we're hopeful. [Via GSM Arena; thanks, Gillz and Christo] Read - Rachael in November? Read - Sony Ericsson 3Q loss widens Read - XPERIA X3 in the wild
Gartner and IDC agree: 3rd quarter Mac sales are up
Amidst the ongoing macroeconomic malaise (is it over yet? Can we come out from under the covers?), the PC industry's sales have been suffering as big corporations and cash-strapped consumers postpone those discretionary purchases of shiny new gear. The expectation, based on 2008's results, was that this quarter would be tough sledding. Results from analysts Gartner and IDC, however, both show an uptick in unit sales across the PC market year-over-year (2.3% higher globally per IDC, 0.5% higher per Gartner). Any pickup in sales comes as a surprise to Gartner, which had predicted a 5.6% decline in unit shipments. For Apple specifically, the news is also good: both firms predict a boost in unit sales and share percentage for Apple's CPU shipments, with US numbers up from 8.6% to 8.8% share (Gartner) or a blazing 9.4% share (IDC). For the unvarnished results, you can tune in this coming Monday, 10/19 at 2pm PT to hear Apple's quarterly earnings call. [via BrainstormTech]
Garmin delays Nuvifone G60 yet again, Q3 launch now planned
Hey, remember the Nuvifone? Sure you do -- it's Garmin's entry into the wide world of smartphones. You know, the company's Linux-based, proprietary OS phone that's heavy on GPS integration? Well according to a recent report, plans to launch the device in the first half of 2009 have stalled, with the company stating that it will be pushing the window back towards something closer to Q3. President and COO Cliff Pemble expounded on the difficulties of building a smartphone from scratch during a conference call with analysts, noting "Smartphones are complicated and bringing one to market that's built totally from the ground up on a custom Linux platform is not an easy task." If you'll recall, the original announcement of the Nuvifone was way back in January of 2008, with a planned release in Q3 of that year -- placing this new launch a full 12 months out from the intended street date. We're all for competitors in this market, but it seems like maybe the folks at Garmin jumped the gun with all these dates they've been dropping on us -- missed launches don't exactly promote confidence.[Via PMP Today]
Microsoft Q309: Xbox division loses $31 million, 360 sales up 30%
Microsoft's third quarter may not have been the hotness, but the company's entertainment and devices division (that's Xbox) can have a very tiny fiesta to celebrate its sales victory. The mega-corp's revenues took a 6% beating, with net income down 32% over the prior year to $2.98 billion. The Xbox's (Zune, etc.) entertainment and devices division lost 31 million this quarter, after achieving a $106 million profit during the same time last year.On a happier note -- and pretty much the only relevant part for gamers -- the Xbox 360 console sold 1.7 million units during the quarter, an impressive year-over-year increase of 30 percent. The company also claims that the current tie ratio for the console is 8.3 games per owner. The company's chief financial officer said he was happy with the results given that this is the "most difficult economic environment" in the company's history.Source -- Microsoft's Xbox 360 division loses $31 millionSource -- Microsoft Reports Third-Quarter Results
EA: Quality up, but Q309 earnings 'below' expectations
This is one case where the phrase "lipstick on a pig" is quite accurate: in trying to dress up his company's disappointing Q3 earnings, for the period ended December 31, 2008, EA CEO John Riccitiello is quick to point out that despite a holiday quarter that "came in below" expectations, the company "delivered on game quality and innovation in calendar 2008." In other words, game quality is good while sales ... not so much. We're seeing a pattern.Net loss for the quarter was $641 million, $150 million below street estimates and far from last year's $33 million loss in the same period. While much of the performance can be attributed to macro economic situations (read: the crappy economy), EA admits that a "significant proportion relates to our own performance." So, getting operations in line with revenue is an important step – to that end, EA will be laying off 11% of its workforce (up from the previously announced 10%) and closing 12 facilities – "resulting in approximately $500 million of operating expense reductions in fiscal 2010 as compared with our previous plans," said EA CFO Eric Brown. EA seems eager to give up on fiscal '09 altogether, pushing the year's three remaining titles – Sims 3, Godfather II, and Dragon Age – into the next fiscal year, while announcing a litany of new sequels, a new Wii-centric focus, and a new marketing strategy. Maybe next year will be more lipstick, less pig, eh? But EA's still got another ugly Q4 to struggle through. Chin up, big guy.
