Sony's CFO Hiroki Totoki Gets More Responsibilities As Company Becomes Content Driven
Sony Group Corp (NYSE: SONY) promoted its CFO Hiroki Totoki to President and COO, effective April 1, 2023. Totoki will also continue as the CFO.
The promotion coincided with Sony's upgradation of annual guidance, forecasting more robust profits for its PlayStation gaming business.
Analysts have considered Totoki as the natural successor to Yoshida for their role in Sony's turnaround following years of losses in its consumer electronics business, Financial Times reports.
Sony's profits mainly came from content, including games, films, and music, with the original electronics business accounting for less than 20% of operating profits in FY21.
Yoshida also focused on electric vehicles via a joint venture with Honda Motor Company, Ltd (NYSE: HMC).
Analysts say Sony can sell its sensor business and in-car software platform into the global market for EVs lest its EV aspirations fail to take off.
Yoshida said the company needed to strengthen its management structure and allocate its capital more efficiently as Sony navigates U.S.-China tensions amid rapid changes in the global tech industry.
Sony expected an FY23 operating profit of ¥1.18 trillion ($9.1 billion), up 2% from its forecast in November, courtesy of the recent strengthening in the yen as a boost for its gaming division.
Quarterly revenue increased 13% as sales of PlayStation 5 consoles grew for the holiday quarter as chip supply shortages eased.
Sony increased its forecast for PS5 sales from 18 million to 19 million for FY23 and raised its operating profit guidance for its gaming division by 7%.
Price Action: SONY shares traded higher by 5.90% at $94.83 on the last check Thursday.
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