For the past few years, we've covered the majority of Sony's downfalls and losses. That's not even counting the massive data breaches and the PSN attack. So it's only appropriate that we also report the good news, like we did last month. This week adds to the rare occurrence of a Sony positive, where the company actually posted a profit.
Sony announced this week that it made $1.5 billion in profit for its third quarter, which is up 2.2 percent from its original estimate and is definitely a sign of the company finally turning the ship in the right direction. The report attributes the success to several heavy cost-cutting measures, as well as strong sales in sensors and in the PlayStation brand. This is also better than the previous year, as Sony doubled its profits this year against last.
For Sony Pictures, the division that was the target of a quarter-billion dollar budget cut that included two movies, as well as the same division that fell victim to the #GOP attack, the studio saw some light at the end of this arduous tunnel. Revenue was up 6.5 percent from last year, which is just slightly over their predictions and estimates for the quarter.
Outlook for the year, however, has not changed, as Sony still predicts an annual loss. The good news is that shares have risen more than 30 percent based off the good news and off the heels on the huge budget cuts the company has done. But despite the cuts to bring profit to the quarter, the story here is that Sony put up a profit for a quarter and is continuing a promising, yet painstakingly slow path to recovery. The PlayStation brand still remains strong and we're seeing changes in divisions that haven't been close to breaking even for some time.