SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934

For the month of MARCH, 2018
Commission File Number: 001-06439

SONY CORPORATION
(Translation of registrant's name into English)

1-7-1 KONAN, MINATO-KU, TOKYO, 108-0075, JAPAN
(Address of principal executive offices)

The registrant files annual reports under cover of Form 20-F.

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F,
 
Form 20-F  X
Form 40-F __
 
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934, Yes No X
 
If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):82-______
 
SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
 
SONY CORPORATION
 
(Registrant)
   
   
 
By:  /s/  Hiroki Totoki
 
                (Signature)
 
Hiroki Totoki
 
Executive Vice President and
 
Chief Financial Officer
 
Date: April 27, 2018
List of materials

Documents attached hereto:
 
i) Press release Announcement _______________________________________________________
 

Financial Statements and Consolidated Financial Results
for the Fiscal Year Ended March 31, 2018
And
Outlook for the Fiscal Year Ending March 31, 2019

April 27, 2018
Sony Corporation


Financial Statements (Unaudited)
F-1
   
Consolidated Balance Sheets
F-1
Consolidated Statements of Income (Fiscal year ended March 31)
F-2
Consolidated Statements of Comprehensive Income (Fiscal year ended March 31)
F-2
Consolidated Statements of Income (Three months ended March 31)
F-3
Consolidated Statements of Comprehensive Income (Three months ended March 31)
F-3
Consolidated Statements of Changes in Stockholders' Equity
F-4
Consolidated Statements of Cash Flows
F-5
Notes to Consolidated Financial Statements
F-6
-Business Segment Information
F-6
-Going Concern Assumption
F-13
-Accounting Policies and Other Information
F-13
-Subsequent Events
F-14
   
Consolidated Results for the Fiscal Year Ended March 31, 2018
1
   
Outlook for the Fiscal Year Ending March 31, 2019
4
   
Business Segment Information
(Consolidated Results for the Fiscal year ended March 31, 2018 and Outlook for the Fiscal year ending March 31, 2019)
5
   
Basic Views on Selection of Accounting Standards
9

 
All amounts are presented on the basis of Generally Accepted Accounting Principles in the U.S. (“U.S. GAAP”).
 
Sony Corporation and its consolidated subsidiaries are together referred to as “Sony”.
 

 
(Unaudited)
                 
Consolidated Financial Statements
                 
Consolidated Balance Sheets
                 
   
(Millions of yen)
 
   
March 31
   
March 31
   
Change from
 
ASSETS
 
2017
   
2018
   
March 31, 2017
 
Current assets:
                 
Cash and cash equivalents
 
¥
960,142
   
¥
1,586,329
   
¥
+626,187
 
Marketable securities
   
1,051,441
     
1,176,601
     
+125,160
 
Notes and accounts receivable, trade
   
1,006,961
     
1,061,442
     
+54,481
 
Allowance for doubtful accounts and sales returns
   
(53,150
)
   
(48,663
)
   
+4,487
 
Inventories
   
640,835
     
692,937
     
+52,102
 
Other receivables
   
223,632
     
190,706
     
-32,926
 
                         
Prepaid expenses and other current assets
   
525,861
     
516,744
     
-9,117
 
 Total current assets
   
4,355,722
     
5,176,096
     
+820,374
 
                         
Film costs
   
336,928
     
327,645
     
-9,283
 
                         
Investments and advances:
                       
Affiliated companies
   
149,371
     
157,389
     
+8,018
 
Securities investments and other
   
9,962,422
     
10,598,669
     
+636,247
 
     
10,111,793
     
10,756,058
     
+644,265
 
                         
Property, plant and equipment:
                       
Land
   
117,293
     
84,358
     
-32,935
 
Buildings
   
666,381
     
655,434
     
-10,947
 
Machinery and equipment
   
1,842,852
     
1,798,722
     
-44,130
 
Construction in progress
   
28,779
     
38,295
     
+9,516
 
     
2,655,305
     
2,576,809
     
-78,496
 
Less-Accumulated depreciation
   
1,897,106
     
1,837,339
     
-59,767
 
     
758,199
     
739,470
     
-18,729
 
                         
Other assets:
                       
Intangibles, net
   
584,185
     
527,168
     
-57,017
 
Goodwill
   
522,538
     
530,492
     
+7,954
 
Deferred insurance acquisition costs
   
568,837
     
586,670
     
+17,833
 
Deferred income taxes
   
98,958
     
96,772
     
-2,186
 
Other
   
323,396
     
325,167
     
+1,771
 
     
2,097,914
     
2,066,269
     
-31,645
 
  Total assets
 
¥
17,660,556
   
¥
19,065,538
   
¥
+1,404,982
 
                         
LIABILITIES AND EQUITY
                       
Current liabilities:
                       
Short-term borrowings
 
¥
464,655
   
¥
496,093
   
¥
+31,438
 
Current portion of long-term debt
   
53,424
     
225,522
     
+172,098
 
Notes and accounts payable, trade
   
539,900
     
468,550
     
-71,350
 
Accounts payable, other and accrued expenses
   
1,394,758
     
1,514,433
     
+119,675
 
Accrued income and other taxes
   
106,037
     
145,905
     
+39,868
 
Deposits from customers in the banking business
   
2,071,091
     
2,159,246
     
+88,155
 
Other
   
591,874
     
610,792
     
+18,918
 
 Total current liabilities
   
5,221,739
     
5,620,541
     
+398,802
 
                         
Long-term debt
   
681,462
     
623,451
     
-58,011
 
Accrued pension and severance costs
   
396,715
     
394,504
     
-2,211
 
Deferred income taxes
   
432,824
     
449,863
     
+17,039
 
Future insurance policy benefits and other
   
4,834,492
     
5,221,772
     
+387,280
 
Policyholders’ account in the life insurance business
   
2,631,073
     
2,820,702
     
+189,629
 
Other
   
314,771
     
278,338
     
-36,433
 
  Total liabilities
   
14,513,076
     
15,409,171
     
+896,095
 
                         
Redeemable noncontrolling interest
   
12,058
     
9,210
     
-2,848
 
                         
Equity:
                       
Sony Corporation’s stockholders’ equity:
                       
Common stock
   
860,645
     
865,678
     
+5,033
 
Additional paid-in capital
   
1,275,337
     
1,282,577
     
+7,240
 
Retained earnings
   
984,368
     
1,440,387
     
+456,019
 
Accumulated other comprehensive income
   
(618,769
)
   
(616,746
)
   
+2,023
 
Treasury stock, at cost
   
(4,335
)
   
(4,530
)
   
-195
 
     
2,497,246
     
2,967,366
     
+470,120
 
                         
Noncontrolling interests
   
638,176
     
679,791
     
+41,615
 
  Total equity
   
3,135,422
     
3,647,157
     
+511,735
 
  Total liabilities and equity
 
¥
17,660,556
   
¥
19,065,538
   
¥
+1,404,982
 
 
 
F-1

 
Consolidated Statements of Income
                 
   
(Millions of yen, except per share amounts)
 
   
Fiscal year ended March 31
 
   
2017
   
2018
   
Change
 
Sales and operating revenue:
                 
Net sales
 
¥
6,443,328
   
¥
7,231,613
   
¥
+788,285
 
Financial services revenue
   
1,080,284
     
1,221,235
     
+140,951
 
Other operating revenue
   
79,638
     
91,134
     
+11,496
 
     
7,603,250
     
8,543,982
     
+940,732
 
                         
Costs and expenses:
                       
Cost of sales
   
4,753,010
     
5,188,259
     
+435,249
 
Selling, general and administrative
   
1,505,956
     
1,583,197
     
+77,241
 
Financial services expenses
   
910,144
     
1,042,163
     
+132,019
 
Other operating expense, net
   
149,001
     
4,072
     
-144,929
 
     
7,318,111
     
7,817,691
     
+499,580
 
                         
Equity in net income of affiliated companies
   
3,563
     
8,569
     
+5,006
 
                         
Operating income
   
288,702
     
734,860
     
+446,158
 
                         
Other income:
                       
Interest and dividends
   
11,459
     
19,784
     
+8,325
 
Gain on sale of securities investments, net
   
225
     
1,517
     
+1,292
 
Other
   
2,734
     
2,427
     
-307
 
     
14,418
     
23,728
     
+9,310
 
                         
Other expenses:
                       
Interest
   
14,544
     
13,566
     
-978
 
Loss on devaluation of securities investments
   
7,629
     
4,955
     
-2,674
 
Foreign exchange loss, net
   
22,181
     
30,634
     
+8,453
 
Other
   
7,147
     
10,384
     
+3,237
 
     
51,501
     
59,539
     
+8,038
 
                         
Income before income taxes
   
251,619
     
699,049
     
+447,430
 
                         
Income taxes
   
124,058
     
151,770
     
+27,712
 
                         
Net income
   
127,561
     
547,279
     
+419,718
 
                         
Less - Net income attributable to noncontrolling interests
   
54,272
     
56,485
     
+2,213
 
 
                       
Net income attributable to Sony Corporation’s stockholders
 
¥
73,289
   
¥
490,794
   
¥
+417,505
 
                         
Per share data:
                       
Net income attributable to Sony Corporation’s stockholders
                       
   — Basic
 
¥
58.07
   
¥
388.32
   
¥
+330.25
 
   — Diluted
   
56.89
     
379.75
     
+322.86
 
 
Consolidated Statements of Comprehensive Income
                       
   
(Millions of yen)
 
   
Fiscal year ended March 31
 
     
2017
     
2018
   
Change
 
                         
Net income
 
¥
127,561
   
¥
547,279
   
¥
+419,718
 
                         
Other comprehensive income, net of tax –
                       
Unrealized gains (losses) on securities
   
(30,293
)
   
1,070
     
+31,363
 
Unrealized gains (losses) on derivative instruments
   
1,140
     
(1,184
)
   
-2,324
 
Pension liability adjustment
   
63,232
     
12,390
     
-50,842
 
Foreign currency translation adjustments
   
(17,988
)
   
(6,335
)
   
+11,653
 
                         
Total comprehensive income
   
143,652
     
553,220
     
+409,568
 
 
                       
Less - Comprehensive income attributable to noncontrolling interests
   
35,814
     
60,403
     
+24,589
 
 
                       
Comprehensive income attributable to Sony Corporation’s stockholders
 
¥
107,838
   
¥
492,817
   
¥
+384,979
 
 
F-2

 
Consolidated Statements of Income
                 
   
(Millions of yen, except per share amounts)
 
   
Three months ended March 31
 
   
2017
   
2018
   
Change
 
Sales and operating revenue:
                 
Net sales
 
¥
1,609,315
   
¥
1,658,340
   
¥
+49,025
 
Financial services revenue
   
273,330
     
270,943
     
-2,387
 
Other operating revenue
   
20,959
     
21,738
     
+779
 
     
1,903,604
     
1,951,021
     
+47,417
 
                         
Costs and expenses:
                       
Cost of sales
   
1,193,083
     
1,230,559
     
+37,476
 
Selling, general and administrative
   
417,860
     
424,007
     
+6,147
 
Financial services expenses
   
216,607
     
231,196
     
+14,589
 
Other operating (income) expense, net
   
(16,453
)
   
44,203
     
+60,656
 
     
1,811,097
     
1,929,965
     
+118,868
 
                         
Equity in net income of affiliated companies
   
1,884
     
1,128
     
-756
 
                         
Operating income
   
94,391
     
22,184
     
-72,207
 
                         
Other income:
                       
Interest and dividends
   
3,600
     
3,228
     
-372
 
Gain on sale of securities investments, net
   
70
     
38
     
-32
 
Other
   
828
     
(102
)
   
-930
 
     
4,498
     
3,164
     
-1,334
 
                         
Other expenses:
                       
Interest
   
2,642
     
2,784
     
+142
 
Loss on devaluation of securities investments
   
2,769
     
3,152
     
+383
 
Foreign exchange loss, net
   
2,951
     
5,480
     
+2,529
 
Other
   
2,671
     
5,461
     
+2,790
 
     
11,033
     
16,877
     
+5,844
 
                         
Income before income taxes
   
87,856
     
8,471
     
-79,385
 
                         
Income taxes
   
43,127
     
13,289
     
-29,838
 
                         
Net income (loss)
   
44,729
     
(4,818
)
   
-49,547
 
                         
Less - Net income attributable to noncontrolling interests
   
17,079
     
12,008
     
-5,071
 
 
                       
Net income (loss) attributable to Sony Corporation’s stockholders
 
¥
27,650
   
¥
(16,826
)
 
¥
-44,476
 
                         
Per share data:
                       
Net income (loss) attributable to Sony Corporation’s stockholders
                       
   — Basic
 
¥
21.90
   
¥
(13.30
)
 
¥
-35.20
 
   — Diluted
   
21.45
     
(13.30
)
   
-34.75
 
 
Consolidated Statements of Comprehensive Income
                       
   
(Millions of yen)
 
   
Three months ended March 31
 
     
2017
     
2018
   
Change
 
                         
Net income (loss)
 
¥
44,729
   
¥
(4,818
)
 
¥
-49,547
 
                         
Other comprehensive income, net of tax –
                       
Unrealized losses on securities
   
(4,648
)
   
(5,960
)
   
-1,312
 
Unrealized losses on derivative instruments
   
(2,550
)
   
(1,334
)
   
+1,216
 
Pension liability adjustment
   
53,935
     
5,381
     
-48,554
 
Foreign currency translation adjustments
   
(23,365
)
   
(40,077
)
   
-16,712
 
                         
Total comprehensive income (loss)
   
68,101
     
(46,808
)
   
-114,909
 
 
                       
Less - Comprehensive income attributable to noncontrolling interests
   
14,507
     
11,444
     
-3,063
 
 
                       
Comprehensive income (loss) attributable to Sony Corporation’s stockholders
 
¥
53,594
   
¥
(58,252
)
 
¥
-111,846
 
 
 
F-3

 
Consolidated Statements of Changes in Stockholders' Equity
                                     
                                           (Millions of yen)  
   
Common stock
   
Additional paid-
in capital
   
Retained
earnings
   
Accumulated
other
comprehensive
 income
   
Treasury stock,
at cost
   
Sony
Corporation’s stockholders’
equity
   
Noncontrolling interests
   
Total equity
 
Balance at March 31, 2016
 
¥
858,867
   
¥
1,325,719
   
¥
936,331
   
¥
(653,318
)
 
¥
(4,259
)
 
¥
2,463,340
   
¥
661,070
   
¥
3,124,410
 
Exercise of stock acquisition rights
   
1,778
     
1,778
                             
3,556
             
3,556
 
Stock based compensation
           
1,601
                             
1,601
             
1,601
 
                                                                 
Comprehensive income:
                                                               
Net income
                   
73,289
                     
73,289
     
54,272
     
127,561
 
Other comprehensive income, net of tax
                                                               
Unrealized losses on securities
                           
(14,101
)
           
(14,101
)
   
(16,192
)
   
(30,293
)
Unrealized gains on derivative instruments
                           
1,140
             
1,140
             
1,140
 
Pension liability adjustment
                           
63,003
             
63,003
     
229
     
63,232
 
Foreign currency translation adjustments
                           
(15,493
)
           
(15,493
)
   
(2,495
)
   
(17,988
)
Total comprehensive income
                                           
107,838
     
35,814
     
143,652
 
                                                                 
Stock issue costs, net of tax
           
(30
)
                           
(30
)
           
(30
)
Dividends declared
                   
(25,252
)
                   
(25,252
)
   
(17,068
)
   
(42,320
)
Purchase of treasury stock
                                   
(114
)
   
(114
)
           
(114
)
Reissuance of treasury stock
           
(10
)
                   
38
     
28
             
28
 
Transactions with noncontrolling interests shareholders and other
           
(53,721
)
                           
(53,721
)
   
(41,640
)
   
(95,361
)
Balance at March 31, 2017
 
¥
860,645
   
¥
1,275,337
   
¥
984,368
   
¥
(618,769
)
 
¥
(4,335
)
 
¥
2,497,246
   
¥
638,176
   
¥
3,135,422
 
 
In September 2016, Sony obtained full ownership of its U.S.-based music publishing subsidiary by acquiring the 50% interest in the subsidiary held by the Estate of Michael Jackson (the “Estate”). The aggregate cash consideration paid to the Estate was 750 million U.S. dollars, including 17 million U.S. dollars of distributions to which the subsidiary previously committed. The difference between cash consideration paid and the decrease in the carrying amount of the noncontrolling interests was recognized as a decrease to additional paid-in capital of 70,730 million yen. 
 
   
Common stock
   
Additional paid-
in capital
   
Retained
earnings
   
Accumulated
other
comprehensive
income
   
Treasury stock,
at cost
   
Sony
Corporation’s stockholders’
equity
   
Noncontrolling interests
   
Total equity
 
Balance at March 31, 2017
 
¥
860,645
   
¥
1,275,337
     
984,368
     
(618,769
)
   
(4,335
)
   
2,497,246
     
638,176
     
3,135,422
 
Issuance of new shares
   
488
     
488
                             
976
             
976
 
Exercise of stock acquisition rights
   
4,533
     
4,532
                             
9,065
             
9,065
 
Conversion of convertible bonds
   
12
     
12
                             
24
             
24
 
Stock based compensation
           
3,160
                             
3,160
             
3,160
 
                                                                 
Comprehensive income:
                                                               
Net income
                   
490,794
                     
490,794
     
56,485
     
547,279
 
Other comprehensive income, net of tax
                                                               
Unrealized gains (losses) on securities
                           
(444
)
           
(444
)
   
1,514
     
1,070
 
Unrealized losses on derivative instruments
                           
(1,184
)
           
(1,184
)
           
(1,184
)
Pension liability adjustment
                           
12,292
             
12,292
     
98
     
12,390
 
Foreign currency translation adjustments
                           
(8,641
)
           
(8,641
)
   
2,306
     
(6,335
)
Total comprehensive income
                                           
492,817
     
60,403
     
553,220
 
                                                                 
Stock issue costs, net of tax
           
(879
)
                           
(879
)
           
(879
)
Dividends declared
                   
(34,775
)
                   
(34,775
)
   
(14,361
)
   
(49,136
)
Purchase of treasury stock
                                   
(199
)
   
(199
)
           
(199
)
Reissuance of treasury stock
           
0
                     
4
     
4
             
4
 
Transactions with noncontrolling interests shareholders and other
           
(73
)
                           
(73
)
   
(4,427
)
   
(4,500
)
Balance at March 31, 2018
 
¥
865,678
   
¥
1,282,577
     
1,440,387
     
(616,746
)
   
(4,530
)
   
2,967,366
     
679,791
     
3,647,157
 
 
 
F-4

 
Consolidated Statements of Cash Flows
           
   
(Millions of yen)
 
   
Fiscal year ended March 31
 
   
2017
   
2018
 
Cash flows from operating activities:
           
Net income
 
¥
127,561
   
¥
547,279
 
Adjustments to reconcile net income to net cash provided by operating activities:
               
Depreciation and amortization, including amortization of deferred insurance acquisition costs
   
327,048
     
361,444
 
Amortization of film costs
   
297,505
     
359,274
 
Accrual for pension and severance costs, less payments
   
9,297
     
4,113
 
Other operating expense, net
   
149,001
     
4,072
 
Loss on sale or devaluation of securities investments, net
   
7,404
     
3,438
 
Gain on revaluation of marketable securities held in the financial services business for trading purposes, net
   
(55,789
)
   
(47,339
)
Loss on revaluation or impairment of securities investments held in the financial services business, net
   
47
     
220
 
Deferred income taxes
   
23,798
     
24,085
 
Equity in net (income) loss of affiliated companies, net of dividends
   
4,409
     
(2,956
)
Changes in assets and liabilities:
               
   Increase in notes and accounts receivable, trade
   
(37,529
)
   
(80,004
)
   (Increase) decrease in inventories
   
11,199
     
(51,508
)
   Increase in film costs
   
(331,179
)
   
(362,496
)
   Decrease in notes and accounts payable, trade
   
(1,386
)
   
(87,939
)
   Increase in accrued income and other taxes
   
26,701
     
29,181
 
   Increase in future insurance policy benefits and other
   
433,803
     
495,419
 
   Increase in deferred insurance acquisition costs
   
(93,234
)
   
(86,779
)
   Increase in marketable securities held in the financial services business for trading purposes
   
(81,456
)
   
(89,797
)
   (Increase) decrease in other current assets
   
(21,402
)
   
3,776
 
   Increase in other current liabilities
   
79,114
     
151,805
 
Other
   
(65,650
)
   
79,684
 
        Net cash provided by operating activities
   
809,262
     
1,254,972
 
                 
Cash flows from investing activities:
               
Payments for purchases of fixed assets
   
(333,509
)
   
(262,989
)
Proceeds from sales of fixed assets
   
13,098
     
60,599
 
Payments for investments and advances by financial services business
   
(1,233,290
)
   
(963,210
)
Payments for investments and advances (other than financial services business)
   
(17,208
)
   
(13,801
)
Proceeds from sales or return of investments and collections of advances by financial services business
   
289,901
     
317,159
 
Proceeds from sales or return of investments and collections of advances (other than financial services business)
   
16,078
     
6,596
 
Proceeds from sales of businesses
   
3,262
     
44,624
 
Other
   
7,695
     
(11,175
)
        Net cash used in investing activities
   
(1,253,973
)
   
(822,197
)
                 
Cash flows from financing activities:
               
Proceeds from issuance of long-term debt
   
254,695
     
125,092
 
Payments of long-term debt
   
(261,299
)
   
(44,561
)
Increase in short-term borrowings, net
   
317,827
     
35,145
 
Increase in deposits from customers in the financial services business, net
   
277,152
     
169,479
 
Dividends paid
   
(25,301
)
   
(28,490
)
Payment for purchase of Sony/ATV shares from noncontrolling interests
   
(76,565
)
 
 
Other
   
(34,207
)
   
(10,209
)
        Net cash provided by financing activities
   
452,302
     
246,456
 
                 
Effect of exchange rate changes on cash and cash equivalents
   
(31,061
)
   
(53,044
)
                 
Net increase (decrease) in cash and cash equivalents
   
(23,470
)
   
626,187
 
Cash and cash equivalents at beginning of the fiscal year
   
983,612
     
960,142
 
Cash and cash equivalents at end of the fiscal year
 
¥
960,142
   
¥
1,586,329
 
 
 
F-5

 
Notes to Consolidated Financial Statements
                 
Business Segment Information
                 
(Business Segments)
                 
   
(Millions of yen)
 
   
Fiscal year ended March 31
 
Sales and operating revenue
 
2017
   
2018
   
Change
 
                   
Game & Network Services
                 
Customers
 
¥
1,581,568
   
¥
1,848,298
   
¥
+266,730
 
Intersegment
   
68,231
     
95,514
     
+27,283
 
Total
   
1,649,799
     
1,943,812
     
+294,013
 
                         
Music
                       
Customers
   
630,767
     
784,792
     
+154,025
 
Intersegment
   
16,891
     
15,203
     
-1,688
 
Total
   
647,658
     
799,995
     
+152,337
 
                         
Pictures
                       
Customers
   
901,230
     
1,010,173
     
+108,943
 
Intersegment
   
1,899
     
894
     
-1,005
 
Total
   
903,129
     
1,011,067
     
+107,938
 
                         
Home Entertainment & Sound
                       
Customers
   
1,034,215
     
1,221,734
     
+187,519
 
Intersegment
   
4,789
     
999
     
-3,790
 
Total
   
1,039,004
     
1,222,733
     
+183,729
 
                         
Imaging Products & Solutions
                       
Customers
   
571,499
     
647,163
     
+75,664
 
Intersegment
   
8,134
     
8,729
     
+595
 
Total
   
579,633
     
655,892
     
+76,259
 
                         
Mobile Communications
                       
Customers
   
752,688
     
713,916
     
-38,772
 
Intersegment
   
6,457
     
9,826
     
+3,369
 
Total
   
759,145
     
723,742
     
-35,403
 
                         
Semiconductors
                       
Customers
   
659,779
     
726,892
     
+67,113
 
Intersegment
   
113,344
     
123,118
     
+9,774
 
Total
   
773,123
     
850,010
     
+76,887
 
                         
Financial Services
                       
Customers
   
1,080,284
     
1,221,235
     
+140,951
 
Intersegment
   
7,220
     
7,142
     
-78
 
Total
   
1,087,504
     
1,228,377
     
+140,873
 
                         
All Other
                       
Customers
   
375,116
     
351,527
     
-23,589
 
Intersegment
   
75,334
     
55,647
     
-19,687
 
Total
   
450,450
     
407,174
     
-43,276
 
                         
Corporate and elimination
   
(286,195
)
   
(298,820
)
   
-12,625
 
Consolidated total
 
¥
7,603,250
   
¥
8,543,982
   
¥
+940,732
 
 
Game & Network Services (“G&NS”) intersegment amounts primarily consist of transactions with All Other. Semiconductors intersegment amounts primarily consist of transactions with the Mobile Communications (“MC”) segment, the G&NS segment and the Imaging Products & Solutions (“IP&S”) segment. All Other intersegment amounts primarily consist of transactions with the Pictures segment, the Music segment and the G&NS segment. Corporate and elimination includes certain brand and patent royalty income.
 
   
(Millions of yen)
 
   
Fiscal year ended March 31
 
Operating income (loss)
 
2017
   
2018
   
Change
 
                   
Game & Network Services
 
¥
135,553
   
¥
177,478
   
¥
+41,925
 
Music
   
75,798
     
127,786
     
+51,988
 
Pictures
   
(80,521
)
   
41,110
     
+121,631
 
Home Entertainment & Sound
   
58,504
     
85,841
     
+27,337
 
Imaging Products & Solutions
   
47,257
     
74,924
     
+27,667
 
Mobile Communications
   
10,164
     
(27,636
)
   
-37,800
 
Semiconductors
   
(7,811
)
   
164,023
     
+171,834
 
Financial Services
   
166,424
     
178,947
     
+12,523
 
All Other
   
(29,585
)
   
(23,530
)
   
+6,055
 
Total
   
375,783
     
798,943
     
+423,160
 
                         
Corporate and elimination
   
(87,081
)
   
(64,083
)
   
+22,998
 
Consolidated total
 
¥
288,702
   
¥
734,860
   
¥
+446,158
 
 
The 2017 segment disclosure above has been reclassified to reflect the change in the business segment classification. Operating income (loss) is sales and operating revenue less costs and expenses, and includes equity in net income (loss) of affiliated companies.
Corporate and elimination includes headquarters restructuring costs and certain other corporate expenses, including the amortization of certain intellectual property assets such as the cross-licensing of intangible assets acquired from Ericsson at the time of the Sony Mobile Communications acquisition, which are not allocated to segments.
 
Pursuant to a separation of Sony’s businesses into distinct subsidiaries and a realignment of corporate functions, changes have been made to the method of calculating the amount of pension and severance-related expenses allocated to Sony’s headquarters and each business segment. As a result of these changes, an increase in corporate costs totaling 7.5 billion yen is included in Corporate and elimination for the fiscal year ended March 31, 2018. Conversely, a decrease in expenses totaling the same amount is included in each business segment for the fiscal year ended March 31, 2018, mainly in the Semiconductors (3.2 billion yen) and IP&S (2.0 billion yen) segments. These changes have no impact on consolidated operating income.
 
F-6

 
(Business Segments)
                 
   
(Millions of yen)
 
   
Three months ended March 31
 
Sales and operating revenue
 
2017
   
2018
   
Change
 
                   
Game & Network Services
                 
Customers
 
¥
368,955
   
¥
429,343
   
¥
+60,388
 
Intersegment
   
12,886
     
15,237
     
+2,351
 
Total
   
381,841
     
444,580
     
+62,739
 
                         
Music
                       
Customers
   
172,511
     
202,612
     
+30,101
 
Intersegment
   
4,525
     
3,816
     
-709
 
Total
   
177,036
     
206,428
     
+29,392
 
                         
Pictures
                       
Customers
   
301,310
     
300,715
     
-595
 
Intersegment
   
1,234
     
221
     
-1,013
 
Total
   
302,544
     
300,936
     
-1,608
 
                         
Home Entertainment & Sound
                       
Customers
   
213,416
     
234,895
     
+21,479
 
Intersegment
   
1,367
     
191
     
-1,176
 
Total
   
214,783
     
235,086
     
+20,303
 
                         
Imaging Products & Solutions
                       
Customers
   
151,837
     
158,764
     
+6,927
 
Intersegment
   
3,079
     
3,671
     
+592
 
Total
   
154,916
     
162,435
     
+7,519
 
                         
Mobile Communications
                       
Customers
   
153,833
     
149,891
     
-3,942
 
Intersegment
   
2,022
     
3,080
     
+1,058
 
Total
   
155,855
     
152,971
     
-2,884
 
                         
Semiconductors
                       
Customers
   
175,447
     
142,503
     
-32,944
 
Intersegment
   
25,630
     
23,953
     
-1,677
 
Total
   
201,077
     
166,456
     
-34,621
 
                         
Financial Services
                       
Customers
   
273,330
     
270,943
     
-2,387
 
Intersegment
   
1,803
     
1,779
     
-24
 
Total
   
275,133
     
272,722
     
-2,411
 
                         
All Other
                       
Customers
   
98,456
     
65,220
     
-33,236
 
Intersegment
   
18,221
     
11,312
     
-6,909
 
Total
   
116,677
     
76,532
     
-40,145
 
                         
Corporate and elimination
   
(76,258
)
   
(67,125
)
   
+9,133
 
Consolidated total
 
¥
1,903,604
   
¥
1,951,021
   
¥
+47,417
 
 
G&NS intersegment amounts primarily consist of transactions with All Other. Semiconductors intersegment amounts primarily consist of transactions with the MC segment, the G&NS segment and the IP&S segment. All Other intersegment amounts primarily consist of transactions with the Pictures segment, the Music segment and the G&NS segment. Corporate and elimination includes certain brand and patent royalty income. 
 
   
(Millions of yen)
 
   
Three months ended March 31
 
Operating income (loss)
 
2017
   
2018
   
Change
 
                   
Game & Network Services
 
¥
22,502
   
¥
19,631
   
¥
-2,871
 
Music
   
15,425
     
30,908
     
+15,483
 
Pictures
   
33,686
     
32,422
     
-1,264
 
Home Entertainment & Sound
   
(5,227
)
   
(7,342
)
   
-2,115
 
Imaging Products & Solutions
   
3,790
     
6,868
     
+3,078
 
Mobile Communications
   
(15,167
)
   
(44,600
)
   
-29,433
 
Semiconductors
   
12,756
     
(1,347
)
   
-14,103
 
Financial Services
   
55,318
     
39,838
     
-15,480
 
All Other
   
12,019
     
(17,526
)
   
-29,545
 
Total
   
135,102
     
58,852
     
-76,250
 
                         
Corporate and elimination
   
(40,711
)
   
(36,668
)
   
+4,043
 
Consolidated total
 
¥
94,391
   
¥
22,184
   
¥
-72,207
 
 
The 2017 segment disclosure above has been reclassified to reflect the change in the business segment classification. Operating income (loss) is sales and operating revenue less costs and expenses, and includes equity in net income (loss) of affiliated companies.
Corporate and elimination includes headquarters restructuring costs and certain other corporate expenses, including the amortization of certain intellectual property assets such as the cross-licensing of intangible assets acquired from Ericsson at the time of the Sony Mobile Communications acquisition, which are not allocated to segments.
 
F-7

 
(Sales to Customers by Product Category)
                 
   
(Millions of yen)
 
   
Fiscal year ended March 31
 
Sales and operating revenue (to external customers)
 
2017
   
2018
   
Change
 
                   
Game & Network Services
                 
Network
 
¥
714,924
   
¥
1,033,192
   
¥
+318,268
 
Hardware and Others
   
866,644
     
815,106
     
-51,538
 
Total
   
1,581,568
     
1,848,298
     
+266,730
 
                         
Music
                       
Recorded Music
   
388,948
     
446,960
     
+58,012
 
Music Publishing
   
66,541
     
74,360
     
+7,819
 
Visual Media and Platform
   
175,278
     
263,472
     
+88,194
 
Total
   
630,767
     
784,792
     
+154,025
 
                         
Pictures
                       
Motion Pictures
   
409,363
     
448,945
     
+39,582
 
Television Productions
   
271,886
     
289,024
     
+17,138
 
Media Networks
   
219,981
     
272,204
     
+52,223
 
Total
   
901,230
     
1,010,173
     
+108,943
 
                         
Home Entertainment & Sound
                       
Televisions
   
720,557
     
861,763
     
+141,206
 
Audio and Video
   
311,771
     
357,194
     
+45,423
 
Other
   
1,887
     
2,777
     
+890
 
Total
   
1,034,215
     
1,221,734
     
+187,519
 
                         
Imaging Products & Solutions
                       
Still and Video Cameras
   
351,834
     
415,318
     
+63,484
 
Other
   
219,665
     
231,845
     
+12,180
 
Total
   
571,499
     
647,163
     
+75,664
 
                         
Mobile Communications
   
752,688
     
713,916
     
-38,772
 
                         
Semiconductors
   
659,779
     
726,892
     
+67,113
 
                         
Financial Services
   
1,080,284
     
1,221,235
     
+140,951
 
                         
All Other
   
375,116
     
351,527
     
-23,589
 
                         
Corporate
   
16,104
     
18,252
     
+2,148
 
Consolidated total
 
¥
7,603,250
   
¥
8,543,982
   
¥
+940,732
 
 
The above table includes a breakdown of sales and operating revenue to external customers for certain segments shown in the Business Segment Information on page F-6. Sony management views each segment as a single operating segment. However, Sony believes that the breakdown of sales and operating revenue to external customers for the segments in this table is useful to investors in understanding sales by product category.
 
In the G&NS segment, Network includes network services relating to game, video and music content provided by Sony Interactive Entertainment; Hardware and Others includes home and portable game consoles, packaged software and peripheral devices. In the Music segment, Recorded Music includes the distribution of physical and digital recorded music and revenue derived from artists’ live performances; Music Publishing includes the management and licensing of the words and music of songs; Visual Media and Platform includes the production and distribution of animation titles, including game applications based on the animation titles, and various service offerings for music and visual products. In the Pictures segment, Motion Pictures includes the worldwide production, acquisition and distribution of motion pictures and direct-to-video content; Television Productions includes the production, acquisition and distribution of television programming; Media Networks includes the operation of television and digital networks worldwide. In the Home Entertainment & Sound (“HE&S”) segment, Televisions includes LCD and OLED televisions; Audio and Video includes Blu-ray disc players and recorders, home audio, headphones and memory-based portable audio devices. In the IP&S segment, Still and Video Cameras includes interchangeable lens cameras, compact digital cameras, consumer video cameras and video cameras for broadcast; Other includes display products such as projectors and medical equipment.
 
F-8

 
(Sales to Customers by Product Category)
                 
   
(Millions of yen)
 
   
Three months ended March 31
 
Sales and operating revenue (to external customers)
 
2017
   
2018
   
Change
 
                   
Game & Network Services
                 
Network
 
¥
210,056
   
¥
314,497
   
¥
+104,441
 
Hardware and Others
   
158,899
     
114,846
     
-44,053
 
Total
   
368,955
     
429,343
     
+60,388
 
                         
Music
                       
Recorded Music
   
94,652
     
109,722
     
+15,070
 
Music Publishing
   
19,750
     
19,667
     
-83
 
Visual Media and Platform
   
58,109
     
73,223
     
+15,114
 
Total
   
172,511
     
202,612
     
+30,101
 
                         
Pictures
                       
Motion Pictures
   
143,662
     
146,940
     
+3,278
 
Television Productions
   
103,225
     
87,510
     
-15,715
 
Media Networks
   
54,423
     
66,265
     
+11,842
 
Total
   
301,310