Sony Group Corp (SNEJF) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

We'd like to start the Sony Group Corporation's FY2025 Q2 Consolidated Financial Results presentation. This is Ishii from PR. I'll be the MC. So today, we will present the FY2025 Q2 financial results as well as the full year forecast from Lin Tao, the CFO, Corporate Executive Officer. We will have questions and answers after that. The total time will be 70 minutes. Lin Tao's financial results will be presented in English based on the pre-recorded video, which will be streamed. Hello, everyone. Today, I will explain the content shown here. Sales of continuing operations for the quarter increased 5% compared to the same quarter of the previous fiscal year to 3,107.9 billion yen. And operating income increased 10% to 429 billion yen. Both were record highs for the second quarter. Net income increased 7% to 311.4 billion yen. The financial results by segment are shown here. As for our full year result forecast, we upwardly revised sales from our previous forecast 3% to 12 trillion yen, operating income 8% to 1 trillion 430 billion yen, and net income 8% to 1 trillion 50 billion yen. We expect that the impact of additional U.S. tariffs on the operating income of our continuing operations to decrease 20 billion yen from our previous forecast to 50 billion yen. And we have reflected that impact in the forecast for each segment from this quarter. We upwardly revised our forecast for operating cash flow 18% to 1,500,000,000 yen. The forecast for each segment are shown here. Now I will turn to an overview of each business. First is the GNNS segment. FY25 Q2 sales increased 4% year on year, primarily due to the growth of network service revenue and the software sales. Despite the impact of the increasing sales, operating income decreased 13% year on year. This was primarily due...