Sony returns to profit, cuts full-year loss forecast

The company reported an operating profit of ¥146 billion (US$1.5 billion) for the quarter, its highest level in two years, on the back of sales of ¥2.2 trillion, up 4 percent from the same period a year earlier. Net profitability returned after three quarters of losses and was ¥79.2 billion.

The positive results were helped by a doubling of sales at Sony's financial unit and a 16 percent rise in sales at its movies business over the same period a year earlier.

The company's core electronics business didn't fare as well.

Sales in the consumer products and devices division dropped 11 percent as a result of price competition in the flat-panel TV, gaming-console chip and optical pick-up sectors but the benefits of restructuring helped the business make an operating profit.

Sales of Bravia LCD TVs and Cybershot digital cameras rose during the quarter but Handycam sales were down. As a result of the higher Cybershot sales, Sony revised upwards its digital camera full-year shipments forecast by 1 million units to 21 million cameras. It kept TV sales targets unchanged at 15 million but said it is hoping to sell around 20 million TVs next fiscal year and return its TV operations to profitability.