SMEJ reports sales gains.
Sony Corp. reports that Sony BMG recorded third-quarter revenues of $1.5 billion and net income of $21 million for the three months ended Dec. 31, 2004. This includes $168 million in restructuring charges before taxes.
As a result, Sony claimed equity in net income of ¥1.1 billion ($11 million) from the joint venture for the quarter.
Since Aug. 1, 2004, Sony's 50% of the net profits or losses from Sony BMG have been included under the line "Equity in net income (loss) of affiliated companies" in the company's financial statements.
Sony Music Entertainment no longer factors into Sony's music results. The company's remaining music assets -- which include Sony Music Entertainment (Japan) and Sony ATV music publishing -- posted revenues of $547 million and operating income of $116 million for the quarter.
SMEJ sales increased 10.5% compared with the same quarter of the previous fiscal year, due to a rise in album and singles sales. Best-selling albums during the quarter included "musiQ" by Orange Range and "SentimentaLover" by Ken Hirai.
Sony's non-Japan based disc manufacturing and physical distribution businesses, formerly included in the "Music" segment, have been reclassified to the "Electronics" segment.
Overall, Sony Corp.'s net income increased 55% to ¥143.8 billion ($1.4 billion), while sales dipped 7.5% to ¥2.1 trillion ($20.8 billion).