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Forums - Sony Discussion - Sony Q1 2016: 3.5M PS4, Game Division Posts 44 billion Yen Operating Profit

ZhugeEX on 29 July 2016
DonFerrari said:
ZhugeEX said:

Sure. 

 

So before 2006 (Before PS3 launch), Sony used to report Production Shipments. 


A Production Shipment is from the Manufacturer to Sony's distribution centers. 

A Consolidated Shipment (PS3 & PS4) or Sell In as it is commonly known is a Shipment from the Manufacturer, to the distribution center, then to the retailer. 

 

So Production Shipments are artificially higher as they may not have been purchased or shipped to retailers just yet. Back in the day this was the preferred method by everyone, but in tbhis digital age they use Sell In. 

 

Both are similar, but not the same. 

 

As an example. 

 

Sony reported that they had production shipments of 1.84 million for the first quarter of PS3 sales, but in actuality, only 1.66 million were sold in to retailers. 

 

The above is not to be confused with sell through which is the sale from retail to consumer. 

So we could say something like the numbers have a 1 or 2 week time difference when sales are steady between production shipment and sell in.

 

Kind of, it's very hard to work out what the difference would be. 

Here is another example. When PS2 switched from Production Shipments to Sell In.

PS2 Production Shipments: 117.9m

PS2 Sell in : 115.6m

So there was a more than 2m difference at the same time. 

2.3m were still in Sony distribution centers. 

 

SWORDF1SH said:
Turkish said:

http://www.sony.net/SonyInfo/IR/library/fr/16q1_sonypre.pdf

or easier for the eyes

http://www.neogaf.com/forum/showpost.php?p=211804284&postcount=38

 

So from that report the Game and Network Services raked in 44 billion Yen while the company on a whole brought in 56 billion Yen (44 biilion Yen gaming and 12 billion Yen for rest of company). While the G&NS is up 25 billion Yen more from Q1 a year ago, Sony on a whole is  down 41 billion Yen.

Maybe kowenicki or ZhugeEX can apply a bit of context to it.

The earthquake in Japan had a big impact on some segments which pushed overall Operating Income down. 

The Games division, along with Imaging, home entertainment & Insurance posted a postive operating income. 

Semiconductors, Components and Pictures posted an operating loss. 

Pictures still on track for profit for the full year though due to strong H2. 

Semiconductors was affected by the earthquake



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DonFerrari on 29 July 2016
ZhugeEX said:
DonFerrari said:

So we could say something like the numbers have a 1 or 2 week time difference when sales are steady between production shipment and sell in.

 

Kind of, it's very hard to work out what the difference would be. 

Here is another example. When PS2 switched from Production Shipments to Sell In.

PS2 Production Shipments: 117.9m

PS2 Sell in : 115.6m

So there was a more than 2m difference at the same time. 

2.3m were still in Sony distribution centers. 

 

SWORDF1SH said:

So from that report the Game and Network Services raked in 44 billion Yen while the company on a whole brought in 56 billion Yen (44 biilion Yen gaming and 12 billion Yen for rest of company). While the G&NS is up 25 billion Yen more from Q1 a year ago, Sony on a whole is  down 41 billion Yen.

Maybe kowenicki or ZhugeEX can apply a bit of context to it.

The earthquake in Japan had a big impact on some segments which pushed overall Operating Income down. 

The Games division, along with Imaging, home entertainment & Insurance posted a postive operating income. 

Semiconductors, Components and Pictures posted an operating loss. 

Pictures still on track for profit for the full year though due to strong H2. 

Semiconductors was affected by the earthquake

I see... so to make everybody happy let's make PS4 shipment 2M more than the sell in and say it's even more ahead of PS2 =]

Thanks for the input.



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."

Kerotan on 29 July 2016

Ps4 in beast mode.

Crazy it's still ahead of the ps2.

Profits jumping nicely and that will keep going up to insane levels over the next few years.

It's going to breeze past the 50m mark and won't be long hitting 60m either.

And it's waaaaaaaay ahead of the ps3 launches alligned. Sony hit it out of the ball park this gen.



BOLLOCKS on 29 July 2016

PS4 finally making it rain.



Kerotan on 29 July 2016
BOLLOCKS said:

PS4 finally making it rain.

And it's going to rain a lot more over the coming years as software sales rise,  digital sales rise,  PS VUE,  Now and Plus continue to rise.  

 

Playstation is in an extremely good place right now. 



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Blood_Tears on 29 July 2016

Awesome results, especially for PS4! And this is without a new price cut, slim PS4 and Neo for the holidays.



Intrinsic on 29 July 2016
ZhugeEX said:
Intrinsic said:
Ok now I'm confused. And I used to be good with shit like this.

What's the difference between sell in to retail and production shipments?

Cause I was under the impression that anything that's not "sold in to consumers" is a "production shipment". Was also of the impression that the only hardware numbers Sony puts up in these reports are shipped numbers.

Which means that the 43.5M is a total LTD shipped number.

come on ZhugeEx set me straight here!!!

Sure. 

 

So before 2006 (Before PS3 launch), Sony used to report Production Shipments. 


A Production Shipment is from the Manufacturer to Sony's distribution centers. 

A Consolidated Shipment (PS3 & PS4) or Sell In as it is commonly known is a Shipment from the Manufacturer, to the distribution center, then to the retailer. 

 

So Production Shipments are artificially higher as they may not have been purchased or shipped to retailers just yet. Back in the day this was the preferred method by everyone, but in tbhis digital age they use Sell In. 

 

Both are similar, but not the same. 

 

As an example. 

 

Sony reported that they had production shipments of 1.84 million for the first quarter of PS3 sales, but in actuality, only 1.66 million were sold in to retailers. 

 

The above is not to be confused with sell through which is the sale from retail to consumer. 

Hmmmm....

Would it be right to then say that the number here, 3.5M sell in is actually lower than the overall production shipment number?

So for the quarter Sony sold in 3.5M consoles to retailers, but may have made a total of 4M consoles for the whole quater and still have 500k consoles chilling out in their distribution centres worldwide? 



konnichiwa on 29 July 2016

At this point the only thing they have to fear is the PS vr but looks that it will have a great start.






Ruler on 29 July 2016

Looks like smartphones are dying, first the camera business and now the battery business.



Why i left PC gaming

 

(2015) Question for PS4 owners: if the situation would be reverse? would you still play on PS4?

(2015) The "I don't care PS4 is the most powerful console" thread

JustcallmeRiff on 29 July 2016

What happened to all the articles about Nintendo being more profitable then PlayStation. Prior to Nintendo's quarterly earnings report based on a game that Nintendo did not make