Sony beat market expectations with its quarterly profit on improved PC and game businesses, and raised its full-year outlook despite tough price competition and the negative impact of a stronger yen.
The result suggests Sony is making progress on cost-cutting efforts put in place by chief executive Howard Stringer, who has struggled to boost the company's margins and come up with hit products since taking the helm five years ago.
Sony said its earnings were also boosted by strong sales of Vaio personal computers and PlayStation 3 game consoles, partially supported by the recent launch of its Move motion-based videogame controller.
Sony, which competes with Samsung Electronics and LG Electronics in televisions, and Nintendo and Microsoft in games, reported a 68.65 billion yen ($847 million) operating profit for July-September.
The quarterly profit compares with a 32.6 billion yen loss during the same period last year and an estimate for a 35.1 billion yen profit in a poll of five analysts by Thomson Reuters I/B/E/S.
For the full year to March, Sony raised its profit forecast to 200 billion yen from 180 billion yen. The forecast is above an average estimate for a 187.4 billion yen profit from 23 analysts.
In its TV business, Sony made its biggest push yet into so-called connected televisions in partnership with Google, unveiling high-definition TVs that also allow users to surf the Internet.
Prior to the announcement, Sony shares closed down 1.4 per cent at 2,690 yen.
Sony shares have fallen about 26 per cent since hitting a two-year peak in March. The electrical machinery subindex is down about 13 per cent over the same period.
Reuters