Bloomberg: Sony profits could fall 50 percent

January 29th, 2007, 17:31 Posted By: wraggster

via gamespot

Sony's third quarter financial earnings results, which are scheduled to be released tomorrow, could see its net income down to 84.1 billion yen (approx $680 million), reports Bloomberg.

The financial news service surveyed five analysts, and its median estimates weigh in with the PlayStation 3 maker falling dramatically short of its previous third quarter earnings, which saw record profits of 168.9 billion yen ($1.39 billion) last year.

Sony CEO Howard Stringer has "failed to fend off Nintendo," the report continues, with the Wii outselling the PS3 two-to-one worldwide.

The company is likely to lose a record 191.9 billion yen ($1.57 billion) from games this fiscal year, compared with a profit of 8.7 billion yen ($71 million) last year, according to the survey.

In October, Sony cut its fiscal year profit forecast to 80 billion yen, a five-year low. Shares in Sony recently jumped six percent, the biggest single increase in more than a year, although these figures trail beyond the 61 percent share-price increase for Nintendo, and the 26 percent increase for Xbox 360 maker Microsoft.

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