Sony raised its annual profit and sales forecasts after a blockbuster performance from its latest Demon Slayer film and stronger-than-expected PlayStation demand. The company also expects a softer impact from US tariffs than previously feared.
Shares in Japanese giant Sony jumped more than five percent Tuesday after it hiked full-year profit forecasts thanks to the latest Demon Slayer anime blockbuster.
The company also attributed the improved forecasts to higher expected sales of its PlayStation console and a smaller-than-anticipated impact from US tariffs.
For the 2025-26 financial year, Sony projects net profit of 1.05 trillion yen ($6.8 billion), up eight percent from its previous forecast and little changed from last year’s record profit.
It also increased its operating profit projection by eight percent and its sales forecast by three percent.
The new guidance marked the second upward revision this year, after Sony in August raised its net profit projection to 970 billion yen.
In the first half of the current financial year, net profit rose 13.7 percent year-on-year to 570 billion yen, Sony said.
Demon Slayer: Kimetsu No Yaiba – Infinity Castle: Part 1, the first title in a new trilogy based on the popular manga, has been a massive hit.
The animated film has become the second-highest-grossing movie of all time in Japan, behind only the previous Demon Slayer installment released during the Covid pandemic.
The dark fantasy about sword-wielding Tanjiro Kamado’s final battle against demons also topped the North American box office upon its September release.
Sony lowered its forecast for the impact of US tariffs to around 50 billion yen, a reduction of 20 billion yen from its August estimate.
Trade officials in July reached a deal that saw the United States lower tariffs on Japanese goods to 15 percent from a threatened 25 percent.
Japanese automaker Toyota last week also raised its operating income and net profit forecasts for the current fiscal year.
Sony in August increased the price of PlayStation 5 consoles by $50 in the United States, citing a “challenging economic environment.”
The PlayStation 5, launched in 2020, is “in the downcycle of its lifespan,” analyst David Cole of DFC Intelligence told AFP.
The highly anticipated release of Grand Theft Auto VI is also key for Sony.
Rockstar Games last week again delayed the launch, this time to November 2026.
“Overall this is one of the biggest concerns for PlayStation sales as GTA6 is expected to be a major driver for Sony,” said Cole.
“However, the PlayStation business model is such that it is not dependent on one or two big hits,” he added.
Sony Group shares were up 5.7 percent in afternoon trade.
By Simon STURDEE and Katie FORSTER / AFP
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