Sony Corporation has lowered its revenue forecast for fiscal 2017 after posting its Q1 results, largely as a result of foreign exchange rate fluctuations.
Revenues for the period were 1.6 trillion yen ($15.6 billion), reflecting a 10.8-percent decrease. Net income dropped to 21.2 billion yen ($205 million), a 74.3-percent reduction.
Sony attributed the revenue drop to the impact of foreign exchange rates and lower smartphone sales, among other factors. It did see gains in its game and network services segment, boosted by PS4 sales.
At Sony Pictures Entertainment, revenues were up by 6.9 percent to $1.8 billion. The studio reported higher theatrical and TV licensing revenues, as well as improved ad revenues in India and Latin America for its channels business. The segment reported an operating loss of $103 million.
For the year ending 31st March 2017, Sony Corporation is projecting revenues of 7.4 trillion yen, down from the previously forecast 7.8 trillion yen. This would reflect a reduction of 8.7 percent on the fiscal 2016 results. Sony continues to expect a net profit of 80 billion yen.