Sony upgrades full-year forecast, logs brisk quarterly profit

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Sony also reported that God of War and Detroit had exceeded sales expectations and boosted hardware sales, and the hope the forthcoming Spider-Man game will have the same effect.

Sony announced during its first quarter financial results overnight that PlayStation 4 shipments have topped 82.2 million units worldwide. Sony's Playstation division raked in $750 million in profit which was more than twice that any other division could muster.

The company was able to do this due to excellent sales of its iconic gaming console PlayStation, as well as the stake the company bought in recently public listed company Spotify Technology SA.

The Japanese electronics and entertainment giant said group net profit for the quarter to June 30 almost tripled from a year earlier to a record 226.45 billion yen ($2 billion), helped by a special profit from the sale of shares in Swedish streaming giant Spotify Technology S.A. Net profit rose to JPY 174.8 billion, including a JPY 112.8 billion net gain from the Spotify sale, from JPY 62.70 billion in the year-earlier period.

The upward revisions were largely due to foreign-exchange gains, brisk sales of PlayStation 4 software and the growing value of its shares in top streaming platform Spotify Ltd.

The electronics and entertainment giant now forecasts 500 billion yen ($4.5 billion) in net profit for the fiscal year to March 2019, up from its earlier estimate of 480 billion yen. The division includes sensors, which Sony expects to grow in the mid-to-long term as applications expand to vehicles, factory automation, surveillance and depth sensing.

Despite this, Sony's revenues increased significantly thanks to PlayStation.

For the year to March, Nintendo maintained optimistic annual targets, forecasting net profit of ¥165 billion and operating profit of ¥225 billion on sales of ¥1.2 trillion. That gain came from the sale of Sony's camera module unit and the receipt of insurance payouts for natural disaster damage.

Ahead of the stronger-than-expected first-quarter results, many analysts said the full-year outlook was too conservative.

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