Sony Q1 FY2022 Results (2.4m PS5,

[ethomaz]

We'll see, not releasing games seems to go hand in hand with the focus on these services.

I ain't buying anything except games I'm 100% sure about being bangers that I can't wait to play. When my PS+ runs out I'll reevaluate.

I just checked.

April to June 2021 we have:

Returnal
Genshin Impact
Resident Evil Village
Ratchet & Clank: Rift Apart

And more... I just listed to ones I think could have bigger impact in revenue in Q1 FY2021.
This year April to June was very poor to be fair.

 

[KnittedKnight]

Consumers in western nations have been in a recession for quite a while now. It's not a new occurrence just this month or the past month. If anything, indicators always lag big time. Gaming will be seeing red indicators all over the place. Buckle up.

PS + revamp won't help with third party sales either, that is true, but it's an overtime effect. Hardware is still not meeting demand.

Too many things want to drag the ship to red. Even MS is coasting on cost... those Gamepass line ups are atrocious. They'll try to grab one of Warner's games for this holiday (an xbox fan hope) but don't expect much more than that with this economy.

It's what it's.

 

[nominedomine]

Consumers in western nations have been in a recession for quite a while now. It's not a new occurrence just this month or the past month. If anything, indicators always lag big time. Gaming will be seeing red indicators all over the place. Buckle up.

PS + revamp won't help with third party sales either, that is true, but it's an overtime effect. Hardware is still not meeting demand.

Too many things want to drag the ship to red. Even MS is coasting on cost... those Gamepass line ups are atrocious. They'll try to grab one of Warner's games for this holiday (an xbox fan hope) but don't expect much more than that with this economy.

It's what it's.

Xbox growth is not compatible at all with the level of investment MS has put into it, I can't even think of what else they can try at this point to somehow get those numbers growing at a better rate. They are even putting adds for PC Gamepass on Formula 1 cars... lol.

 

[SSfox]

-37% revenues , Thanks to the PC porting. Also the price increase, many people are now less willing to buy new games, thanks Jimbo.

 

[RE4-Station]

-37% revenues , Thanks to the PC porting. Also the price increase, many people are now less willing to buy new games, thanks Jimbo.

-37% profit, revenue is only -2%.
It more likely that PSVR R&D and material cost and that 300 Million Sony is putting in PlayStation Studios is taking effect: https://www.playstationlifestyle.net/2022/05/10/sony-300-million-first-party-games/
Also I think Haven Studios purchase was finalized in this Quarter?
but they are practically making the same amount of money as Q1 2021 (even tho no exclusives this Quarter while Returnal and Ratchet were in Q1 last year) just spending is up on the PlayStation division.

 

[Bernd Lauert]

Xbox growth is not compatible at all with the level of investment MS has put into it, I can't even think of what else they can try at this point to somehow get those numbers growing at a better rate. They are even putting adds for PC Gamepass on Formula 1 cars... lol.

It's funny, Playstation is outspending Xbox something like 4:1 with ads, and yet PS+ has been stagnating for around 3 years now. Makes sense why Jimbo isn't happy and is pivoting to PC and GaaS.

 

[KnittedKnight]

Xbox growth is not compatible at all with the level of investment MS has put into it, I can't even think of what else they can try at this point to somehow get those numbers growing at a better rate. They are even putting adds for PC Gamepass on Formula 1 cars... lol.

They'll try anything under the sun. It's strategic for them, nationally strategic even.

A U.S company by default must have a foot in the console hardware side of the premium games market. Whether it's MS, or someone else (Apple/Amazon/Valve/Google). In this case, MS bears the cost, and is one of the best companies positioned to bear the cost of non-performance. It's also a self-protection mechanism for the attractiveness of Windows as an OS platform. Tencent replacing MS in the premium games market as a console maker would terrify american strategic thinkers and become political quick - thus a vaccum to fill must not be allowed to be opened. Not that it matters much, sooner or later Tencent will debut preferentially uncontested on the Chinesse market, and spread to the global south, with or without an opening in the Western markets by one of the current big 3 (tik tok - no pun intended). Business and politics are inseparable. So MS must endure... as it does. It's multifaceted. It explains, in many ways, why they continue throwing billions at a money pit... but as with everything, it's not the sole reason.

 

[Deleted member 13]

Sony Earnings FY2022 Q1 - Sony Cuts Profit Outlook on Lower PlayStation Prospects



- Sony Cuts Profit Outlook on Lower PlayStation Prospects
- Third-party game sales estimates have been revised down
- Weaker yen helped the company’s revenue over last quarter

PS+ numbers dropped compared to last quarter.
Only 2.4 million PS5 shipped.
Only 6.4 million 1st party sales.
The PlayStation division declined ~38% year over year.

Pretty underwhelming all around.

Yea, this is why I don't think their will be a mid-gen refresh going forward. I personally believe it was a fluke last gen (basically no other generation had a mid-gen refresh). Sales are low and costs for manufacturing are expensive. I think both Sony and MS will focus on their current generation models for the foreseeable future. The game developers are pretty much inefficient right now due to COVID and stagnant workload.

 

[nominedomine]

It's funny, Playstation is outspending Xbox something like 4:1 with ads, and yet PS+ has been stagnating for around 3 years now. Makes sense why Jimbo isn't happy and is pivoting to PC and GaaS.

Maybe that's what happens when you get close to 50m subscribers, Xbox wouldn't know that as they are hardly half-way there.

They'll try anything under the sun. It's strategic for them, nationally strategic even.

A U.S a company by default must have a foot in the console hardware side of the premium games market. Whether it's MS, or someone else. In this case, MS bears the cost, and is one of the best companies positioned to bear the cost of non-performance.

I think you are reading too much into how Phil Spencer while making up excuses for his massive failures was able to con Nadella into spending so much into decadent publishers to buy back into the gaming market.

 

[Bernd Lauert]

Maybe that's what happens when you get close to 50m subscribers, Xbox wouldn't know that as they are hardly half-way there.

They're at 41m and been growing since then. We'll see what happens once they reach 50m.

 

[Deleted member 13]

-37% revenues , Thanks to the PC porting. Also the price increase, many people are now less willing to buy new games, thanks Jimbo.

Nah, you can't say that loss is due to PC ports. You basically believe that people are buying PCs instead of PS5s? The PC market is in decline too.

 

[Bernd Lauert]

Nah, you can't say that loss is due to PC ports. You basically believe that people are buying PCs instead of PS5s? The PC market is in decline too.

The financial report explicitly states the reason for the loss, namely more investments in existing studios.

 

[KnittedKnight]

Maybe that's what happens when you get close to 50m subscribers, Xbox wouldn't know that as they are hardly half-way there.


I think you are reading too much into how Phil Spencer while making up excuses for his massive failures was able to con Nadella into spending so much into decadent publishers to buy back into the gaming market.

I think you're a bit off the rails if you think Phil is "conning" Nadella into anything. Phil the hypnotist... cmon. Top business is bullshitter experts supreme. To even make the suggestion is, to say the least... well I rather not use the term cause you're a good fellow.

They have their reasons..... which is why Xbox has survived 3 MS CEO changes (by my count I believe despite being a money pit).... Windows being the central one with respect to the company. But there are other reasons, where politics, national interests, and foreign competitors/strategic rivals combine.

To point you in the right direction.... just look at the anti-Huawei campaign. If you can read between the lines of course... if you take the propaganda at face value then there is nothing I can do for you there, the conditioning being too strong.

 

[ethomaz]

The financial report explicitly states the reason for the loss, namely more investments in existing studios.

Loss? It is profit.

Profit accounts for expenses where Sony invested more in first-party development and have acquisitions deals closed.

That is the reason profits decreased but it is profiting yet… there is no loss.

 

[nominedomine]

I think you're a bit off the rails if you think Phil is "conning" Nadella into anything. To even make the suggestion is, to say the least... well I rather not use the term cause you're a good fellow.

It's how he made his career, overpromising and underdelivering.

With the death of Stadia, xCloud failing miserably to disrupt anything, Gamepass slow growth and with Amazon and Google not making any big moves into the console space we already know that his vision of the gaming market was way off.

 

[Bernd Lauert]

Loss? It is profit.

Profit accounts for expenses where Sony invested more in first-party development and have acquisitions deals closed.

That is the reason profits decreased but it is profiting yet… there is no loss.

The loss in profit compared to last year. No need to wet your panties

 

[nominedomine]

The loss in profit compared to last year. No need to wet your panties

At least they run a profitable operation.

 

[Bernd Lauert]

At least they run a profitable operation.

8% profit margin this quarter, super impressive

 

[nominedomine]

8% profit margin this quarter, super impressive

Better than being ashamed to share such info.

I can't wait for the next few years of Xbox, it will be a privilege to watch it all crumble.

 

[Bernd Lauert]

Better than being ashamed to share such info.

I can't wait for the next few years of Xbox, it will be a privilege to watch it all crumble.

Yeah, Microsoft is very ashamed of Azure profits (estimate: 20+ billion a year), makes total sense.