Sony lifts profit outlook on strong gaming results

Sony Group significantly raised its full-year profit forecast on Friday, July 31, 2026, citing robust performance in its gaming division fueled by U.S. tariff refunds and favorable foreign exchange rates. The Japanese conglomerate now expects annual operating profit of 1.72 trillion yen ($10.72 billion), an 8% increase from its previous forecast.

The upgraded outlook follows strong quarterly results for the period ending June 30. Group operating profit surged 40% year-on-year to 476.5 billion yen, surpassing analyst estimates. While overall sales were essentially flat, the gaming unit's operating income jumped 37% to 202.0 billion yen. Company officials attributed the profit boost primarily to the tariff refunds and exchange rate benefits, though they noted these gains were partially offset by increased costs, including investments in next-generation hardware and restructuring expenses.

On the hardware front, Sony shipped 1.6 million PlayStation 5 consoles during the quarter, bringing the system's lifetime sales to 95.3 million. While this represented a sequential improvement, it was a decline from the same period last year. The company is anticipating a significant sales boost...