Sony Is No Longer Losing Money on PlayStation 5 Consoles
Sony has released its financial results for Q1 of 2021 fiscal year and the latest report confirms that the PlayStation 5 is no longer being sold at a loss to Sony. The latest results also indicate that there are now 10.1 million units shipped around the world since launching in November 2020 and while it’s great to see Sony hitting their goals, there’s still a shortage that scalpers are banking on.
The PlayStation 5 Digital Edition is on track to have its losses offset by other hardware including peripherals and the PlayStation 4. During the last quarter, Sony sold 500,000 PlayStation 4 consoles, bringing lifetime sales up to a whopping 116.4 million.
Here is a breakdown of Sony's Game & Network services division by segment.
The core difference is that hardware now accounts for 20% of revenue due to PS5. Was 9% last year. Accessory sales have also increased too.
Sony’s Games & Network Services division made $5.6 billion USD, a 10% increase from the same period last year. PlayStation however, did see losses with the decline from last year’s operating costs hitting 40%, due to selling the PlayStation 5 at a loss. It took the PlayStation 4 roughly six months to no longer being sold at a loss.
PlayStation Plus took a hit as well, with subscribers dropping to 46.3 million from 47.6 million in the previous quarter and monthly users fell to 104 million from 109 million.
Thanks to VGC, who transcribed pieces of the call-in section of the quarterly meeting, CFO Hiroki Totoki claimed that Sony has secured enough semiconductors to make a further 12 million consoles this year. “The shortage of semiconductors has impacts in various areas and through various measures, we have been taking some action,” he said. “For PS5, the target has been set for the number of units to be sold this year, and we have secured the number of chips that is necessary to achieve that. Regarding the supply of semiconductors, we are not concerned.”