Sony Pictures recorded a $920million loss between October and December, Sony Corp have announced.
Speaking in Tokyo, CEO Kaz Hirai revealed that the majority of the loss was due to a good-will impairment charge that was “originally recorded at the time of the acquisition of Columbia Pictures Entertainment Inc. in 1989”.
Chief Financial Officer Kenichiro Yoshida moved quickly to reiterate Sony’s commitment to their film division after the charge seemed to doom the company’s financial capabilities for the financial year and caused a spate of speculation regarding Sony’s motivations and the increased likelihood of a sale.
Speaking at the announcement, Yoshida stated: “We plan to leverage IP from games for Sony Pictures Entertainment, something we can only do because we have both games and movie divisions.”
The news comes off the back of a recent run of bad financial results that has seen Sony Corp reveal a drop of 50% on operating profit (to $796million) for the same quarter, and cut its full-year operating income forecast by more than 10% (to $2.13Billion).