To meet demand, Sony is still having trouble producing enough PlayStation 5 consoles. According to the company’s earnings report, it shipped 3.9 million units during the crucial holiday fiscal quarter, bringing the total supplied since launch to 17.3 million.
When compared to the 20.2 million units the PS4 had sold at the same point in its life cycle, that is a significant decline.
As a result, Sony’s gaming division reported revenue of 813.3 billion yen ($7.09 billion), down from the same quarter last year’s figure of 883.2 billion yen ($7.703 billion).
Because Sony actually loses money on each PS5 console sold, operating profit increased 12.1 per cent to $810 million.
Sony reduced its 14.8 million unit PS5 shipment forecast for the fiscal year to 11.5 million. As a result, it reduced its projection for Game & Network Services (G&NS) full-year revenue by 170 million yen ($1.48 billion). Due to the previously mentioned unprofitable consoles, it also anticipates a 6 per cent increase in profit despite lower game sales.
Does Sony lose money on consoles?
The fact that Sony actually loses money on each PS5 console sold, however, led to an operating profit increase of 12.1 per cent to $810 million.
People want to purchase PS5 consoles, but partners can’t provide components because of the ongoing chip shortage, according to Sony CFO Hiroki Totoki, who made the statement during an analyst webcast.