Sony Q2 report reveals 94% profit loss

The PS3 has apparently the brightest future among all the next-gen consoles. Even back during the E3 when Sony had first shown us some really kick-ass previews of the PS3 and its next-gen titles. Sony’s console is destined to reap rewards for its manufacturer’s hard labor. However,  it seems that the second quarter of 2006 was too harsh on Sony, with financial reports revealing a 94% profit loss.

There were a lot of factors to account for the bleak financial standing. On the gaming side, Japanese financial reports tell us that the PS2 and the PSP aren’t selling very well. On the other hand, Sony Computer Entertainment is also losing money. Again, as we’ve mentioned the role of the PS3 for Sony’s future, the high cost of the PS3’s development has also taken away a portion of Sony’s profits for the investment on it.

Outside of the gaming scene, incidents of laptop battery explosions caused profits to plummet. Remember that Sony did a recall for 9.6 million laptop batteries, costing them some US$ 429 million worth of loss.

On the bright side, despite the net profit plunge, Sony’s overall revenue increased from US$ 14.4 billion last year to US$15.6 billion during this year’s quarter.

(Thanks for the tip, badam!)

The PS3 has apparently the brightest future among all the next-gen consoles. Even back during the E3 when Sony had first shown us some really kick-ass previews of the PS3 and its next-gen titles. Sony’s console is destined to reap rewards for its manufacturer’s hard labor. However,  it seems that the second quarter of 2006 was too harsh on Sony, with financial reports revealing a 94% profit loss.

There were a lot of factors to account for the bleak financial standing. On the gaming side, Japanese financial reports tell us that the PS2 and the PSP aren’t selling very well. On the other hand, Sony Computer Entertainment is also losing money. Again, as we’ve mentioned the role of the PS3 for Sony’s future, the high cost of the PS3’s development has also taken away a portion of Sony’s profits for the investment on it.

Outside of the gaming scene, incidents of laptop battery explosions caused profits to plummet. Remember that Sony did a recall for 9.6 million laptop batteries, costing them some US$ 429 million worth of loss.

On the bright side, despite the net profit plunge, Sony’s overall revenue increased from US$ 14.4 billion last year to US$15.6 billion during this year’s quarter.

(Thanks for the tip, badam!)