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I never expected sony to make a profit. Good for them, I never thought PS3 sales would be so high or that PS2 would keep offsetting the losses somewhat for so long. Can sony sustain this profit however?



 

 

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rocketpig said:
shams said:
I guess Sony would be happy with this - it makes nice reading anyway. They would take a 100m profit over any loss, anyday.

BUT - as stated above, it *is* the holiday quarter. There is no breakdown of profitability by platform - and they did sell:

- 5.4m PS2s
- 5.76m PSPs
- 4.90m PS3s

...plus a heap of software (all profit) - around 105m units.

Consider that *each* piece of software should be making at *least* $1US profit (after all costs are taken into account), that PS2 hardware should be... $30? profitable per unit - as should PSP hardware?

...and you get $100m (software) + 11m x $30 (hardware) = around $450m (profit)

So the 5m PS3 units still cost them around $100US loss per unit.

...

With much lower sales next qrt (non-holidays), be interesting to see how the figures stack up.

The PS2 cash cow will start slowing down, too. It is amazing how well that thing still sells, though. I never thought I would see another console have the lifespan of the NES or 2600.


Well aside from it's crappy durability it is a worthy successor to it.  It's the massive library of games that does it.

 



Probably GGE will get sick after reading this report...



kber81 said:
Probably GGE will get sick after reading this report...

 Or she will laugh harder than ever after she reads this:

"PS3 Forecast cut to 9.5 million units"

 

That's a lot more related to gaming and future 3rd party support than how much money Sony makes. 



carlos710 - Capitán Primero: Nintendo Defense Force

"Wii are legion, for Wii are many"

PS3 LTD Shipments> XBox 360 LTD Shipments through five quarters despite a later European launch and higher pricing (obviously 360 has been for four more quarters than PS3).

Check out the article I wrote, and check Fishy Joe's article for the money details. 



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carlos710 said:

That's a lot more related to gaming and future 3rd party support than how much money Sony makes.


 lol /few more words to stay unbanned /



@Carlos: keep trying, I'm sure you can come up with a negative spin on this somehow. Keep hope alive!



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carlos710 said:
kber81 said:
Probably GGE will get sick after reading this report...

Or she will laugh harder than ever after she reads this:

"PS3 Forecast cut to 9.5 million units"

 

That's a lot more related to gaming and future 3rd party support than how much money Sony makes.


Same can be said when Nintendo reports that the majority of their profits come from plugNplay technology and a white scale, either way, 3rd party support for the Wii typically results in either a flop in sales or shovelware. Third parties aren't exactly lining up to put their big budget software on the Wii either.

 



shams said:
The comment on inventory is also telling - they have $1.6bn of "finished goods" sitting in their warehouse, waiting to be shipped. This is a 77% increase on the figures from 12 months ago.

So in short - they are making hardware much faster than they are selling it (although the inventory did drop over the Xmas qrt, as expected).


Not at all - that's a simple statistical artifact, the result of PS3 sales substituting for PS2 sales. Monthly sales of the PS3 are finally higher than monthly sales of the PS2, so of course inventory costs are higher. A PS3 costs at least three times as much as a PS2 ($399 versus $129). But not to worry, monthly sales of the PS3 have nearly doubled since last January. 



ckmlb said:
@Carlos: keep trying, I'm sure you can come up with a negative spin on this somehow. Keep hope alive!

It's not spin... SCE having profit = great for them. Downgrade of PS3 sales forecasts = bad for them.

 



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