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Teeqoz on 25 September 2017
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Hedra42 said:
Teeqoz said:

His post basically repeats what I've been writing here anyway. Gaming is very important to Sony, but it's not the only important segment, unlike what Wyrdness claimed.

I agree that Wyrdness's claim, when taken literally, is untrue.

But the points that Videogameaccountant made, such as:

- where the revenues from Financials will most likely go

- how, despite having even larger profits, the Financials division couldn't save Sony a few years ago

- how Gaming profits makes up 75% of the next three profitable divisions

These all show how heavily reliant Sony is on the Gaming division to keep their heads above water, and that if it fell apart, they'd be in serious trouble, regardless of profits made by other divisions, which validates the point I think Wyrdness was trying to make.

Investors want a good return on their investments, and the 20.00 JPY dividend reported by Sony this year is part of that. If Videogameaccountant is right about the profit from Financials being ploughed back into investments, then you can bet that the reported dividend is mostly based on profits made from the Gaming division.

The financials division is the reason Sony didn't go bankrupt a few years ago. If that doesn't qualify as "saving" then I don't know what does.

Revenues and Operating Income are two different things. As for the claim that much of Sony Financial's profit doesn't end up in investor's hands, that is easily disproven - Sony Financial Holdings is a separate, publicly traded entity of Sony, but Sony owns 63% of the shares. The "Financials" segment that Sony reports is the revenue and Operating Income of those 63% of Sony Financial Holdings. Sony Financial Holdings have a dividend payout ratio of over 50%, meaning that over 50% of their Net Income is paid out to investors by means of dividends. So it's not like that money has to be saved in case of later unforeseen circumstances - stuff like that is already taken into consideration before the dividend is set, and they still pay out over 50% (about 57% to be precise).

http://www.sonyfh.co.jp/en/financial_info/for_investor.html

Now, if you'll excuse me, I would like you to actually provide data from now on if you are going to dispute what I'm saying. Like you said, it's only fair to provide supporting info when calling someone out for being wrong, but I feel like I'm the only one actually using the numbers here.