Sony Group(SONY) - 2024 Q4 - Annual Report

Financial Performance - For the fiscal year ended March 31, 2024, Sony Group Corporation reported total sales and financial services revenue of ¥13,020,768 million, an increase of ¥2,046,395 million or 18.6% compared to the previous year[8]. - The net income attributable to Sony Group Corporation's stockholders for the fiscal year was ¥970,573 million, a decrease of ¥34,704 million or 3.5% from the prior year[8]. - Operating income for the fiscal year was reported at ¥1,208,831 million, a decline of ¥93,558 million or 7.8% from the previous year[8]. - Total sales and financial services revenue increased by 14.5% from ¥3,040,845 million in Q1 2023 to ¥3,480,966 million in Q1 2024, with a change of ¥440,121 million[10]. - Net income attributable to Sony Group Corporation's stockholders increased by 34.1% from ¥140,981 million in Q1 2023 to ¥189,005 million in Q1 2024, a change of ¥48,024 million[10]. - For the fiscal year 2024, net income attributable to Sony Group Corporation's stockholders was ¥1,005,277 million, up from ¥970,573 million in 2023, indicating a growth of approximately 3.6%[28]. - Operating income for the fiscal year 2024 was ¥1,035,271 million, compared to ¥983,321 million in 2023, reflecting an increase of about 5.3%[28]. Assets and Liabilities - Total assets as of March 31, 2024, reached ¥34,107,490 million, reflecting an increase of ¥2,953,395 million or 9.5% from the previous year[7]. - Sony's total liabilities rose to ¥26,351,385 million, an increase of ¥1,854,440 million or 7.6% compared to March 31, 2023[7]. - The company's retained earnings increased to ¥6,002,407 million, up by ¥909,965 million or 17.9% year-over-year[7]. - Sony's total equity increased to ¥7,756,105 million, up by ¥1,098,955 million or 16.5% year-over-year[7]. Cash Flow - Cash flows from operating activities improved dramatically, increasing from ¥314,691 million in FY 2023 to ¥1,373,213 million in FY 2024[13]. - Cash and cash equivalents at the end of FY 2024 were ¥1,907,113 million, up from ¥1,480,900 million at the end of FY 2023, reflecting a net increase of ¥426,213 million[14]. - The company reported a net cash used in investing activities of ¥818,886 million for the fiscal year 2024, compared to ¥1,052,664 million in 2023, indicating a decrease in cash outflow[30]. - The net cash provided by financing activities for the fiscal year 2024 was ¥84,300 million, a decrease from ¥261,969 million in 2023, indicating a reduction in financing inflows[30]. Segment Performance - Game & Network Services segment saw a revenue increase of ¥634,461 million, totaling ¥4,172,994 million in 2024, up from ¥3,538,533 million in 2023, a growth of about 17.9%[15]. - Financial Services segment revenue surged by ¥882,199 million, reaching ¥1,760,731 million in 2024, compared to ¥878,532 million in 2023, marking an increase of over 100%[15]. - Digital Software and Add-on Content within the Game & Network Services segment increased by ¥411,541 million, totaling ¥1,934,586 million in 2024, compared to ¥1,523,045 million in 2023, a growth of about 27%[24]. - Recorded Music - Streaming revenue in the Music segment increased by ¥110,585 million, reaching ¥709,453 million in 2024, compared to ¥598,868 million in 2023, an increase of approximately 18.5%[24]. - Sales in the Imaging & Sensing Solutions segment increased by 200.6 billion yen (14%) year-on-year to 1 trillion 602.7 billion yen, driven by higher sales of image sensors for mobile products[94]. Future Outlook - The company plans to continue expanding its market presence and investing in new technologies for the fiscal year ending March 31, 2025[4]. - For the fiscal year ending March 31, 2025, consolidated sales are forecasted to decrease by 5.5% to 12,310 billion yen[67]. - Operating income is expected to increase by 5.5% to 1,275 billion yen for the fiscal year ending March 31, 2025[67]. - Net cash provided by operating activities is expected to increase by 18.9% to 1,400 billion yen for the fiscal year ending March 31, 2025[67]. Shareholder Returns - The company declared dividends of ¥98,685 million in FY 2024, compared to ¥86,635 million in FY 2023, reflecting an increase of 13.5%[14]. - Sony's total dividend per share for the fiscal year ending March 31, 2024, is 85 Yen, an increase from 75 Yen in the previous year[114]. - Sony plans to repurchase up to 30 million shares at a maximum total purchase price of ¥250 billion, effective from May 15, 2024, to May 14, 2025[40]. - A stock split will occur on October 1, 2024, with each share split into five shares, increasing the total number of issued shares from approximately 4.99 billion to 6.24 billion[42][43].