Sony reported a surprise quarterly profit today after a weaker-than-expected yen boosted overseas sales and dulled the impact of damp demand for electronics in Japan.
But the entertainment and electronics conglomerate left its full-year estimate unchanged, forecasting an operating profit of 160 billion yen (€1.19 billion) in the year to March 31st, after €1.07 billion yen of restructuring costs.
The main factor behind the unexpected first-quarter profit was the yen, which was weaker than the company's assumed rates of 105 yen per dollar and 125 yen per euro. The Japanese currency averaged around 109 per dollar and 131 per euro during the quarter, boosting the value of overseas sales when converted into yen.
Sony had warned in April it might suffer an operating loss in the quarter because of marketing costs related to the "Spider-Man" movie sequel and an expected strengthening of the yen versus a year earlier.
Sony is nearly halfway through a three-year restructuring plan aimed at improving profitability by reducing fixed costs and securing its supplies of key semiconductors and display panels.
Electronics sales, usually weak in April-June, felt the impact of a push by rivals Matsushita and Sharp to introduce DVD recorders and flat-panel televisions before the Olympics in August.
Sony did not launch as many new products, choosing to wait for the year-end shopping period, when it sees its heaviest demand.
Its movie division swung to a profit of 4.1 billion yen, €3.4 billion helped by sales of DVD and VHS movies, and lower promotional spending compared with a year ago.
Its summer blockbuster, "Spider-Man 2", has already topped $300 million at the box office and is on pace to surpass its predecessor, which generated $403 million.
The strong turnout for the movie did not show up on Sony's earnings during the past quarter, but will boost profits at the company's film unit in the three months to September 30th.