Sony Q3 FY2020 - PS5 4.5M (Matches PS4 Launch), PS4 1.4M (114.9M LTD), Spider-Man MM 4.1M Sell-Through

[the-pi-guy]

with playstation driving profits i better see playstation related "investments" or i'm going to be mad.

Supposedly a BP announcement is coming soon.

If I'm reading this correctly on slide 17, then they planning on setting 1.6 trillion Yen, so $15.2bln, aside for strategic investments for the company in the next 3 years.

https://www.sony.net/SonyInfo/IR/library/presen/er/pdf/20q3_sonyspeech.pdf

Looks like it's the case, but it also includes buying stock back.

[DerNebel]

Supposedly a BP announcement is coming soon.
Looks like it's the case, but it also includes buying stock back.

Yeah, I saw. That might be getting expensive for them, their stock is soaring at the moment

They added 11% and like over $15bln in market cap today.

[kitler53]

Yeah, I saw. That might be getting expensive for them, their stock is soaring at the moment

They added 11% and like over $15bln in market cap today.

what the crud are you looking at?    bluepoint is not publicly traded.

[the-pi-guy]

what the crud are you looking at?    bluepoint is not publicly traded.

->
Made a change for clarification:

Looks like it's the case, but it also includes buying (Sony's own) stock back.

Yeah, I saw. That might be getting expensive for them, their stock is soaring at the moment

They added 11% and like over $15bln in market cap today.

Sony wants to buy some of their own stock back.

[Xevross]

Yeah, I saw. That might be getting expensive for them, their stock is soaring at the moment

They added 11% and like over $15bln in market cap today.

Just a few hundred billion more and people will stop saying Sony are so much smaller than Microsoft.

[kitler53]

->
Made a change for clarification:
Sony wants to buy some of their own stock back.

[the-pi-guy]

Just a few hundred billion more and people will stop saying Sony are so much smaller than Microsoft.

MS is worth a trillion dollars, that is 13 digits worth of numbers.

As a 999 billion dollar company, Sony is a whole order of magnitude smaller, you can tell as it's only worth 12 digits.

[Xevross]

This is definitely the most impressive thing for me:



That's with only the new home console launch years highlighted and this is all the years:



PS3 was awful but still there was always a cycle of profit for gen transitions with a new HW year being a loss, that cycle is completely gone now and all we see is sustained growth. This will be SIE's most profitable year ever even with launching PS5, with probably the biggest launch FY shipment of any of these consoles.

This also kind of shows the impact of first party sales on profits. 2018 was a huge year with GOW and Spidey, which was the main reason for the huge spike in profits. 2019 was relatively poor in comparison, hence the drop. The amazing performance of Sony first party in 2020 is a big part of the record profits for this year.

Circling back to our game pass convo, this is a big thing that xbox are kind of moving away from. There's just so many risks associated with game pass.

The long sustained revenue and profit growth is mainly down to this:



Just absurd growth of digital this gen.

[BananaKing]

Yeah, I saw. That might be getting expensive for them, their stock is soaring at the moment

They added 11% and like over $15bln in market cap today.

Companies do stock buy backs to increase their stock price. Thus, increase value for investors, thus big fat paycheck for CEO. If their stock is soaring now, its even better for them to do Stock buy backs to increase it even more