Sony CEO Assures Profitability, Looks To Boost Pictures Unit
Zacks Investment Research | May 22, 2017 10:20PM ET
Sony Corporation’s (NYSE:SNE) CEO Kazuo Hirai emphasized his optimism about the entertainment and electronics giant’s strong gaming and semiconductor businesses in a Corporate Strategy Meeting earlier today, and assured investors that he expects the company’s operating profit to reach ¥500 billion ($4.5 billion at current exchange rates) in the fiscal year ending Mar 2018.
This is a level that the company hasn't achieved in over two decades. In fact, the CEO – Hirai – who took helm of the company five years ago acknowledged that the company has never experienced extended periods of profitability in the seven decades of its existence.
Sony saw an operating profit of ¥525 billion in fiscal 1997 — its highest till date. Moving forward, Hirai asserted that his goal is to maintain robust profitability in the years to come, and he has already implemented major restructuring. Sony has been offloading its assets to ensure profitability, including the Vaio personal computer business. The company plans to promote innovation in its consumer electronic business, while investing in fields like healthcare, artificial intelligence, virtual reality and robotics.
Encouragingly, the company started fiscal 2017 on a decent note, having gained 26.7% year to date — ahead of the Zacks categorized Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.