Sony FY2023 Earnings Announcement: 4.5M PS5 sold in Q4 (20.8M in FY2023, 59.2M LTD). Allocating 11.5 billion in future acquisitions.
- Thread starter Yurinka
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I did a couple graphs to compare PS5 hardware sales vs the other PS consoles by fiscal year, including the 18M forecast (Sony did stop reporting PS3 numbers on its 7th FY):
As you can see their consoles normally peak aroud the 4-5th year, as happened with PS5. In rival home consoles there's a simlar sales curve but shorter, in their case normally peaking before, somewhere between their 2nd and 5th year.
The fact that Sony managed for the PS5 to almost keep up with the PS4 sales while not only refusing to decrease its price but even increasing it, is quite the feat IMO.
Just two years after release, the PS4 was already going for just $350 on a bundle with The Last of Us.
The PS5's hardware price is so much more bullish in comparison, thanks to the semiconductor crisis of 2020-2021.
OP
OP
They lose a lot of money per unit sold because the price of components and shipments kept rising a lot since launch and there's a big inflation. To the point that even if still keep losing money per unit sold, had to rise the price.
In past generations this didn't happen: over time the prices of the components got cheaper to a point they ended selling hardware at a profit, and were able to price cut it and still have profit or losing a minimal amount of money per unit.
Considering this and the chips shortage they had during a long period of time, it's a miracle that they managed to keep the console sales almost at PS4 levels.
Yet this isn't true for the most expensive ICs, though. The cost for TSMC's N7 and N6 waffers went down and yields went way up compared to what was in 2020, and so did the cost per-GB of GDDR6. Sure, that may have been partially offset by the cost of logistics, but I doubt it happened to the point of having to permanently increase its price.
Also, Sony hasn't sold the PS5 at a loss since Q3 2021.
TSMC wafer price rise every single year since 2020.
Just 2023 the price increased 22%.
Ohhhh and in the last earnings they already said they increased again by 8% this year.
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OP
The prices of the components kept rising since 2021 and they have been losing money per each unit sold during the last fiscal year according to Sony.
So according to you Sony lied yesterday to their investors and has been lying to them in the recent earnings presentations during over a year?
If this is the case, then why don't investors sue them?
And well, Sony didn't mention it, but fuel price also highly increased so I assume their shipment costs for hardware+accesories+physical games also highly increased since launch.
They didn’t lie…
The price they paid on TSMC N7 today is near 50% more than what they paid in 2020.
Even if you account Sony moved to N6 and it have a smaller size and better yields than N7 the rise in price is so high that it is probably that even with that PS5’s chip today is more expensive than 2020.
Semicondutor overall have all prices rising since 2020 and it won’t stop… the lower demand (chip shipped) is forcing companies like TSMC already announcing new price rises for mid of this year.
There's no need to sue because they never said the PS5 sells at a loss. They only mention losses on hardware due to promotions.
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This is what they said in this page, but in other pages, the presentation and Q&A of this and other presentations mentioned the components pricing rise and consoles being sold at a loss. Not only yesterday but in several quarterly or yearly report presentations.
米Sony Interactive Entertainment、24年3月期決算は最終利益71％減の277億円 | gamebiz
米国Sony Interactive Entertainmentの2024年3月期の決算は、売上高及び金融ビジネス収入2兆1537億6000万円(前の期比9.7%増)、税引前利益44億8400万円(同96.4%減)、最終利益277億6100万円(同71.2%減)だった。・売上高及び金融ビジネス収入:2兆1537億6000万円(同9.7%増)・税引前利益:44億8400万円(同96.4%減)・最終…
- Sales & financial business income : 2,153.760 trillion ¥ (up 9.7% YoY)
- Profit (before tax) : 4,484 billion ¥ (down 96.4% YoY)
- Net profit : 27,761 billion ¥ (down 71.2% YoY)