Movies

‘Spider-Man’, ‘Hollywood’ Swing Sony Pictures To $366M Quarterly Profit

Sony Pictures Entertainment has posted a 73% jump in profits for the second quarter, snaring $366M during the July-September period. This is the third straight Q2 to see significant increases in the film segment, and is largely attributable to Marvel sequel Spider-Man: Far From Home and Quentin Tarantino’s Once Upon A Time In Hollywood.

The friendly neighborhood arachnid become Sony Pictures’ highest-grossing global release ever this summer, having caught $1.3B at the worldwide box office. Hollywood has also contributing muscle to the period with $370M global to date.

From Tokyo today, Sony Corp overall reported a 16% hike in earnings versus the comparable 2018 frame. This is a new Q2 record for the entertainment and electronics giant with operating income rising to 279B yen ($2.6B) for the three months ended September 30. Increases were cited in the Imaging, Electronics, Music and Film divisions.

Sales in film and TV were up 12% on a dollar basis, to $2.43B. However, Sony did note lower licensing revenues for its U.S. television catalog and higher development expenses in TV productions. Looking at the full fiscal 2019, SPE’s sales forecast has been revised 5% downward to $9.6B. Sony says the culprit is a delay in the timing of theatrical releases, though that will positively impact operating income whose outlook has been inched upwards to $651M.

Sony currently has Zombieland: Double Tap in theaters as it continues international rollout. On deck through the end of the year are the Elizabeth Banks-directed Charlie’s Angels, Tom Hanks-starrer A Beautiful Day In The Neighborhood and Jumanji: The Next Level which releases in mid-December.

Elsewhere, the games division was down as the PlayStation 4 console reaches its sell-by date and as the new PlayStation 5 console is coming in 2020. Sales dropped about 17% for operating income of $605M. Sony said on Tuesday that it plans to shutter its PlayStation Vue skinny-bundle TV service in order to refocus on its core videogame business. The end of the line will come next January 30.

Overall, Sony boosted its full-year 2019 outlook by 4%, aiming for 840B yen ($7.7B) in profits.

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