Sony expects PS5 sales to start to decline, ‘no major franchise titles’ next fiscal year
videogameschronicle.comSony says it expects PlayStation 5 hardware sales to “gradually decline” during its next fiscal year, which runs from April to March 2025, and confirmed it plans to release “no major franchise titles” during this 12-month period.
In the company’s financial results for the three months ended December 31, 2023, Sony gaming division reported another record quarter in terms of revenue, with PS5 sales reaching 54.7m, but lowered its sales forecast for the year after it fell behind in its lofty hardware sales target.
Sony Interactive Entertainment had set a lofty sales target of 25 million PS5s for the year ending March 2024. However, in the latest quarter in sold 8.2 million consoles, bringing the total for the year so far to 16.4m. The company said it now expects to fall short of its original target by 4 million units.
The corporation now expects ¥210 billion in sales for the year from its Game & Network Services segment – a 5% downward revision – which it said was partly due to a decrease in sales and increase in losses from hardware due to promotions.
“Regarding PS5 hardware, which will enter its fifth year since launch,” said Sony president, COO and CFO Hiroki Totoki. “Partially due to entering the latter half of the console cycle, we’re aiming to optimise sales with a greater emphasis on balance with profits. So we expect a gradual decline in unit sales from next fiscal year onwards.
“Regarding first-party software, we aim to continue to focus on producing high-quality productions and producing live service games. But while major projects are currently under development, we do not plan to release any new major existing franchise titles next fiscal year like God of War: Ragnarok and Marvel Spider-Man 2.”
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