Seeking Alpha
0
All posts from Seeking Alpha
Seeking Alpha in Seeking Alpha - Read, Decide, Invest.,

Update: Sony Q3 Earnings Impress And Confirm Turnaround Thesis

Today, Sony (SNE) released its earnings for Q3 FY14. The cyber attack on Sony Pictures Entertainment ((SPE)) left the company unable to close its financial statements for the Pictures segment, which means that today's consolidated earnings include a forecast for that segment. The final consolidated statement is expected to be released March 31.

For the first time in many years, the company released better-than-expected earnings and even raised its full-year guidance. For the third quarter, the company stated that revenue increased 6.1% Q/Q to ¥2,557.8B, but fell 1% in CC, while operating income saw a massive increase of 97% in CC to ¥178.3B. Furthermore, Sony announced that it now expects a loss of ¥170B for FY14 compared to ¥230B in an earlier forecast form October.

In previous articles (1,2), I've argued that the Gaming & Network Services (G&NS) segment is critical for Sony's turnaround. Therefore,… Read More …