Sony Corporation (SNE) Corporate Strategy Meeting Conference Call for Overseas Investors April 12, 2012 9:00 AM ET Executives Edward Reid – IR Kazuo Hirai – President and CEO Masaru Kato – EVP and CFO Analysts Daniel Ernst – Hudson Square Research Takashi Watanabe – Goldman Sachs Japan Co. Jeff Loff – Macquarie Capital Securities Karl Hammond Presentation Operator
Previous Statements by SNE
» Sony's CEO Hosts Corporate Strategy Meeting (Transcript)
» Sony's CEO Discusses F3Q11 Results - Earnings Call Transcript
» Sony Management Discusses F2Q 2011 Results - Earnings Call Transcript
Sony cautions you that a number of important factors could cause actual results to differ materially from those discussed in the forward-looking statements. For additional information as to the risks and uncertainties, as well as other factors that could cause actual results to differ, please refer to today’s press release, which can be accessed by visiting sony.net/ir.Let me remind you that a webcast replay of the meeting held earlier today, along with the slides presented at that meeting are available on our website for your access. With that, I’m now going to turn to today’s announcement and hand you over to Mr. Hirai. Kazuo Hirai Good afternoon, good morning and good evening, everybody, depending on where you are. This is Kazuo Hirai. I’d like to just make several opening comments before we move on to taking your questions and hopefully, you have the opportunity to review the press release and the presentation materials or have had the opportunity to perhaps view the video already. But I just wanted to spend maybe five minutes or so just going through the highlights of what was discussed at the Corporate Strategy Meeting here in Tokyo earlier today. First, I talked about the key initiatives, five key initiatives that we will be focusing on to transform and turn around the electronics business, and I’m not going to go into detail on each of these, but just to highlight them in bullet point form. Number one is strengthening our core business, which we have defined as the area of digital imaging, which also includes the image sensor business that we have on the semiconductor side, as well as obviously all of our consumer digital imaging products as well as our professional digital imaging products. Number two is the games business, obviously the PlayStation business PS3, PlayStation beta launched earlier this year in the European and U.S. markets, late last year in Japan, and also continuing strong, especially in the emerging markets, is the PlayStation Portable. The other area of focus is the mobile space, which includes obviously the Sony Xperia smartphone business, the Sony Tablet business, also the VAIO PCs.
The second key initiative is something that I’m sure everybody is very focused on, including ourselves, obviously, is bringing the TV business back to profitability. And as I outlined back in November of last year, I believe, we have embarked on a two-year plan, which has us returning the TV business back to profitability by the end of fiscal year 2013.The third key initiative is growth in the emerging markets, where we see a huge growth opportunity in these emerging markets, and we expect that about 60% of our fiscal 2013 audio-visual and IT sales will come from the emerging markets. And we want to make sure that we leverage the strength that we have, the knowledge base that we’ve acquired in doing business in the emerging markets. We have some great examples where we command number one market share in certain categories such as in the Indian market as well as the Mexican market, we certainly want to leverage that experience into other markets as well. The fourth key initiative is creating new businesses and also accelerating innovation. In this space, we talked about our planned entry into the medical space and then as far as innovation is concerned, accelerating our innovation in the 4K space where as some of you probably know, this is a – allows for a new display or monitor that has about four times resolution of the currently available high-definition. And we believe that this is another area of growth and innovation for our television business. Read the rest of this transcript for free on seekingalpha.com