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 FEBRUARY 2019
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
 
Senior Executive Vice President and
 
Chief Financial Officer
 
Date: February 1, 2019

List of materials

Documents attached hereto:
 
i) Press release: _______________________________________________________
 
Quarterly Financial Statements
for the Third Quarter Ended December 31, 2018
And
Outlook for the Fiscal Year Ending March 31, 2019


February 1, 2019
Sony Corporation


Quarterly Financial Statements (Unaudited)
F-1
   
Consolidated Balance Sheets
F-1
Consolidated Statements of Income (Three months ended December 31)
F-2
Consolidated Statements of Comprehensive Income (Three months ended December 31)
F-2
Consolidated Statements of Income (Nine months ended December 31)
F-3
Consolidated Statements of Comprehensive Income (Nine months ended December 31)
F-3
Consolidated Statements of Cash Flows (Nine months ended December 31)
F-4
Notes to Consolidated Financial Statements
F-5
  -Business Segment Information
F-5
  -Going Concern Assumption
F-12
               -Significant Changes in Shareholders’ Equity
F-12
  -Accounting Policies and Other Information
F-12
   
Outlook for the Fiscal Year Ending March 31, 2019
1
   
Outlook for the Fiscal Year Ending March 31, 2019
1
   
Cautionary Statement
 3


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     December 31     Change from  
ASSETS
   2018
    2018     March 31, 2018  
Current assets:
                  
Cash and cash equivalents
  
¥
1,586,329
    
¥
1,480,816
    
¥
-105,513
  
Marketable securities
    
1,176,601
      
1,199,327
      
+22,726
  
Notes and accounts receivable, trade and contract assets
    
1,061,442
      
1,390,671
      
+329,229
  
Allowance for doubtful accounts
    
(48,663
)
    
(24,597
)
    
+24,066
  
Inventories
    
692,937
      
676,051
      
-16,886
  
Other receivables
    
190,706
      
240,516
      
+49,810
  
Prepaid expenses and other current assets
    
516,744
      
518,748
      
+2,004
  
Total current assets
    
5,176,096
      
5,481,532
      
+305,436
  
Film costs
    
327,645
      
414,428
      
+86,783
  
Investments and advances:
                        
Affiliated companies
    
157,389
      
161,630
      
+4,241
  
Securities investments and other
    
10,598,669
      
11,290,479
      
+691,810
  
     
10,756,058
      
11,452,109
      
+696,051
  
Property, plant and equipment:
                        
Land
    
84,358
      
84,382
      
+24
  
Buildings
    
655,434
      
686,003
      
+30,569
  
Machinery and equipment
    
1,798,722
      
1,859,793
      
+61,071
  
Construction in progress
    
38,295
      
29,640
      
-8,655
  
     
2,576,809
      
2,659,818
      
+83,009
  
Less-Accumulated depreciation
    
1,837,339
      
1,902,028
      
+64,689
  
     
739,470
      
757,790
      
+18,320
  
Other assets:
                        
Intangibles, net
    
527,168
      
924,399
      
+397,231
  
Goodwill
    
530,492
      
762,408
      
+231,916
  
Deferred insurance acquisition costs
    
586,670
      
594,940
      
+8,270
  
Deferred income taxes
    
96,772
      
201,326
      
+104,554
  
Other
    
325,167
      
333,208
      
+8,041
  
     
2,066,269
      
2,816,281
      
+750,012
  
  Total assets
  
¥
19,065,538
    
¥
20,922,140
    
¥
+1,856,602
  
LIABILITIES AND EQUITY
                        
Current liabilities:
                        
Short-term borrowings
  
¥
496,093
    
¥
674,962
    
¥
+178,869
  
Current portion of long-term debt
    
225,522
      
167,326
      
-58,196
  
Notes and accounts payable, trade
    
468,550
      
597,499
      
+128,949
  
Accounts payable, other and accrued expenses
    
1,514,433
      
1,752,074
      
+237,641
  
Accrued income and other taxes
    
145,905
      
208,652
      
+62,747
  
Deposits from customers in the banking business
    
2,159,246
      
2,280,654
      
+121,408
  
Other
    
610,792
      
660,819
      
+50,027
  
Total current liabilities
    
5,620,541
      
6,341,986
      
+721,445
  
                         
Long-term debt
    
623,451
      
549,045
      
-74,406
  
Accrued pension and severance costs
    
394,504
      
385,540
      
-8,964
  
Deferred income taxes
    
449,863
      
484,334
      
+34,471
  
Future insurance policy benefits and other
    
5,221,772
      
5,520,203
      
+298,431
  
Policyholders’ account in the life insurance business
    
2,820,702
      
2,902,319
      
+81,617
  
Other
    
278,338
      
283,095
      
+4,757
  
Total liabilities
   
15,409,171
      
16,466,522
      
+1,057,351
  
Redeemable noncontrolling interest
    
9,210
      
8,490
      
-720
  
Equity:
                        
Sony Corporation’s stockholders’ equity:
                        
Common stock
    
865,678
      
873,283
      
+7,605
  
Additional paid-in capital
    
1,282,577
      
1,267,200
      
-15,377
  
Retained earnings
    
1,440,387
      
2,257,739
      
+817,352
  
Accumulated other comprehensive income
    
(616,746
)
    
(612,749
)
    
+3,997
  
Treasury stock, at cost
    
(4,530
)
    
(4,670
)
    
-140
  
     
2,967,366
      
3,780,803
      
+813,437
  
Noncontrolling interests
    
679,791
      
666,325
      
-13,466
  
  Total equity
    
3,647,157
      
4,447,128
      
+799,971
  
  Total liabilities and equity
  
¥
19,065,538
    
¥
20,922,140
    
¥
+1,856,602
  

F-1
Consolidated Statements of Income
                  
    (Millions of yen, per share amounts)
 
    Three months ended December 31  
    2017     2018     Change
 
Sales and operating revenue:
                  
Net sales
  
¥
2,279,714
    
¥
2,220,123
    
¥
-59,591
  
Financial services revenue
    
371,498
      
161,630
      
-209,868
  
Other operating revenue
    
21,105
      
20,052
      
-1,053
  
     
2,672,317
      
2,401,805
      
-270,512
  
Costs and expenses:
                        
Cost of sales
    
1,607,962
      
1,581,376
      
-26,586
  
Selling, general and administrative
    
415,532
      
430,025
      
+14,493
  
Financial services expenses
    
315,404
      
123,756
      
-191,648
  
Other operating income, net
    
(13,119
)
    
(112,809
)
    
-99,690
  
     
2,325,779
      
2,022,348
      
-303,431
  
                         
Equity in net income (loss) of affiliated companies
    
4,299
      
(2,469
)
    
-6,768
  
                         
Operating income
    
350,837
      
376,988
      
+26,151
  
                         
Other income:
                        
Interest and dividends
    
3,519
      
6,436
      
+2,917
  
Gain on sale of securities investments, net
    
833
    
–      
-833
  
Foreign exchange gain, net
  
–      
5,085
      
+5,085
  
Other
    
1,531
      
1,927
      
+396
  
     
5,883
      
13,448
      
+7,565
  
                         
Other expenses:
                        
Interest
    
3,536
      
3,510
      
-26
  
Loss on devaluation of securities investments
    
1,324
    
–
     
-1,324
  
Loss on equity securities, net
  
–      
44,777
      
+44,777
  
Foreign exchange loss, net
    
5,888
    
–      
-5,888
  
Other
    
2,853
      
1,619
      
-1,234
  
     
13,601
      
49,906
      
+36,305
  
                         
Income before income taxes
    
343,119
      
340,530
      
-2,589
  
                         
Income taxes
    
28,234
      
(100,723
)
    
-128,957
  
                         
Net income
    
314,885
      
441,253
      
+126,368
  
                         
Less - Net income attributable to noncontrolling interests
    
18,988
      
12,291
      
-6,697
  
                         
Net income attributable to Sony Corporation’s stockholders
  
¥
295,897
    
¥
428,962
    
¥
+133,065
  
                         
                         
Per share data:
                        
Net income attributable to Sony Corporation’s stockholders
                        
   — Basic
  
¥
234.08
    
¥
337.97
    
¥
+103.89
  
   — Diluted
    
228.91
      
330.77
      
+101.86
  

Consolidated Statements of Comprehensive Income
                        
   
(Millions of yen)  
   
Three months ended December 31      
 
      2017       2018     Change  
                         
Net income
  
¥
314,885
    
¥
441,253
    
¥
+126,368
  
                         
Other comprehensive income, net of tax –
                        
Unrealized gains on securities
    
11,688
      
24,986
      
+13,298
  
Unrealized gains (losses) on derivative instruments
    
(79
)
    
326
      
+405
  
Pension liability adjustment
    
2,365
      
2,342
      
-23
  
Foreign currency translation adjustments
    
3,655
      
(36,160
)
    
-39,815
  
                         
Total comprehensive income
    
332,514
      
432,747
      
+100,233
  
                         
Less - Comprehensive income attributable to noncontrolling interests
    
21,603
      
20,634
      
-969
  
                         
Comprehensive income attributable to Sony Corporation’s stockholders  
¥
310,911
    
¥
412,113
    
¥
+101,202
  

F-2
Consolidated Statements of Income
                  
    (Millions of yen, except per share amounts)
  
    Nine months ended December 31  
    2017     2018     Change  
Sales and operating revenue:
                  
Net sales
  
¥
5,573,273
    
¥
5,632,057
    
¥
+58,784
  
Financial services revenue
    
950,292
      
846,363
      
-103,929
  
Other operating revenue
    
69,396
      
59,769
      
-9,627
  
     
6,592,961
      
6,538,189
      
-54,772
  
                         
Costs and expenses:
                        
Cost of sales
    
3,957,700
      
3,916,607
      
-41,093
  
Selling, general and administrative
    
1,159,190
      
1,176,915
      
+17,725
  
Financial services expenses
    
810,967
      
728,246
      
-82,721
  
Other operating income, net
    
(40,131
)
    
(99,751
)
    
-59,620
  
     
5,887,726
      
5,722,017
      
-165,709
  
                         
Equity in net income (loss) of affiliated companies
    
7,441
      
(4,667
)
    
-12,108
  
                         
Operating income
    
712,676
      
811,505
      
+98,829
  
                         
Other income:
                        
Interest and dividends
    
16,556
      
15,741
      
-815
  
Gain on sale of securities investments, net
    
1,479
    
–      
-1,479
  
Gain on equity securities, net
  
–      
79,937
      
+79,937
  
Foreign exchange gain, net
  
–      
1,174
      
+1,174
  
Other
    
2,529
      
4,121
      
+1,592
  
     
20,564
      
100,973
      
+80,409
  
Other expenses:
                        
Interest expenses
    
10,782
      
10,704
      
-78
  
Loss on devaluation of securities investments
    
1,803
    
–      
-1,803
  
Foreign exchange loss, net
    
25,154
    
–      
-25,154
  
Other
    
4,923
      
2,760
      
-2,163
  
     
42,662
      
13,464
      
-29,198
  
                         
Income before income taxes
    
690,578
      
899,014
      
+208,436
  
                         
Income taxes
    
138,481
      
33,767
      
-104,714
  
                         
Net income
    
552,097
      
865,247
      
+313,150
  
                         
Less - Net income attributable to noncontrolling interests
    
44,477
      
36,837
      
-7,640
  
                         
Net income attributable to Sony Corporation’s stockholders
  
¥
507,620
    
¥
828,410
    
¥
+320,790
  
                         
                         
Per share data:
                        
Net income attributable to Sony Corporation’s stockholders
                        
   — Basic
  
¥
401.76
    
¥
653.09
    
¥
+251.33
  
   — Diluted
    
393.05
      
638.89
      
+245.84
  

Consolidated Statements of Comprehensive Income
                        
   
(Millions of yen)
  
   
Nine months ended December 31  
      2017       2018     Change  
                         
Net income
  
¥
552,097
    
¥
865,247
    
¥
+313,150
  
                         
Other comprehensive income, net of tax –
                        
Unrealized gains on securities
    
7,030
      
3,920
      
-3,110
  
Unrealized gains on derivative instruments
    
150
      
1,241
      
+1,091
  
Pension liability adjustment
    
7,009
      
7,085
      
+76
  
Foreign currency translation adjustments
    
33,742
      
4,305
      
-29,437
  
                         
Total comprehensive income
    
600,028
      
881,798
      
+281,770
  
                         
Less - Comprehensive income attributable to noncontrolling interests
    
48,959
      
33,865
      
-15,094
  
                         
Comprehensive income attributable to Sony Corporation’s stockholders
  
¥
551,069
    
¥
847,933
    
¥
+296,864
  

F-3
Consolidated Statements of Cash Flows
            

  (Millions of yen)
 

  Nine months ended December 31  
    2017     2018  
Cash flows from operating activities:
            
Net income
  
¥
552,097
    
¥
865,247
  
Adjustments to reconcile net income to net cash provided by operating activities:
                
Depreciation and amortization, including amortization of deferred insurance acquisition costs and contract costs
    
258,187
      
278,405
  
Amortization of film costs
    
259,709
      
232,138
  
Accrual for pension and severance costs, less payments
    
3,948
      
(5,601
)
Other operating income, net
    
(40,131
)
    
(99,751
)
(Gain) loss on securities investments, net (other than financial services business)
    
324
      
(80,130
)
(Gain) loss on marketable securities and securities investments held in the financial services business, net
    
(109,675
)
    
43,780
  
Deferred income taxes
    
(4,551
)
    
(150,648
)
Equity in net (income) loss of affiliated companies, net of dividends
    
(2,125
)
    
7,628
  
Changes in assets and liabilities:
                
   Increase in notes, accounts receivable, trade and contract assets
    
(488,285
)
    
(290,046
)
   (Increase) decrease in inventories
    
(88,954
)
    
7,252
  
   Increase in film costs
    
(279,082
)
    
(296,276
)
   Increase in notes and accounts payable, trade
    
90,484
      
124,026
  
   Increase in accrued income and other taxes
    
70,983
      
67,644
  
   Increase in future insurance policy benefits and other
    
424,084
      
290,626
  
   Increase in deferred insurance acquisition costs
    
(65,248
)
    
(68,092
)
   Increase in marketable securities held in the life insurance business
    
(64,727
)
    
(68,579
)
   Increase in other current assets
    
(25,633
)
    
(25,948
)
   Increase in other current liabilities
    
189,524
      
167,892
  
Other
    
(21,572
)
    
(98,203
)
        Net cash provided by operating activities
    
659,357
      
901,364
  
                 
Cash flows from investing activities:
                
Payments for purchases of fixed assets
    
(189,780
)
    
(230,008
)
Proceeds from sales of fixed assets
    
15,095
      
13,463
  
Payments for investments and advances by financial services business
    
(671,982
)
    
(808,017
)
Payments for investments and advances (other than financial services business)
    
(16,526
)
    
(40,930
)
Proceeds from sales or return of investments and collections of advances by financial services business
    
256,652
      
216,013
  
Proceeds from sales or return of investments and collections of advances (other than financial services business)
    
5,404
      
2,705
  
Payment for EMI Music Publishing acquisition, net of cash acquired
  
–      
(244,197
)
Proceeds from sales of businesses
    
44,624
    
–  
Proceeds related to sales of Spotify Technology S.A. Shares
  
–      
82,467
  
Other
    
(10,767
)
    
(26,497
)
        Net cash used in investing activities
    
(567,280
)
    
(1,035,001
)
                 
Cash flows from financing activities:
                
Proceeds from issuance of long-term debt
    
92,833
      
70,958
  
Payments of long-term debt
    
(20,570
)
    
(378,047
)
Increase in short-term borrowings, net
    
72,913
      
180,467
  
Increase in deposits from customers in the financial services business, net
    
154,374
      
205,990
  
Dividends paid
    
(27,750
)
    
(38,081
)
Payment for purchase of Nile Acquisition LLC shares from noncontrolling interests
  
–      
(32,041
)
Other
    
(6,612
)
    
(33,420
)
        Net cash provided by (used in) financing activities
    
265,188
      
(24,174
)
                 
Effect of exchange rate changes on cash and cash equivalents, including restricted
    
10,179
      
49,499
  
                 
Net increase (decrease) in cash and cash equivalents, including restricted
    
367,444
      
(108,312
)
Cash and cash equivalents, including restricted, at beginning of the fiscal year
    
968,624
      
1,592,938
  
                 
Cash and cash equivalents, including restricted, at end of the period
    
1,336,068
      
1,484,626
  
                 
Less - restricted cash and cash equivalents, included in other current assets and other assets
    
7,143
      
3,810
  
Cash and cash equivalents at end of the period
  
¥
1,328,925
    
¥
1,480,816
  

F-4

Notes to Consolidated Financial Statements
                  
Business Segment Information
                  
(Business Segments)
                  
    (Millions of yen)  
    Three months ended December 31  
Sales and operating revenue
   2017     2018     Change
 
Game & Network Services
                  
Customers
  
¥
681,649
    
¥
759,109
    
¥
+77,460
  
Intersegment
    
36,317
      
31,504
      
-4,813
  
Total
    
717,966
      
790,613
      
+72,647
  
Music
                        
Customers
    
214,267
      
205,287
      
-8,980
  
Intersegment
    
4,162
      
4,063
      
-99
  
Total
    
218,429
      
209,350
      
-9,079
  
Pictures
                        
Customers
    
260,050
      
276,340
      
+16,290
  
Intersegment
    
267
      
397
      
+130
  
Total
    
260,317
      
276,737
      
+16,420
  
Home Entertainment & Sound
                        
Customers
    
429,604
      
388,705
      
-40,899
  
Intersegment
    
243
      
119
      
-124
  
Total
    
429,847
      
388,824
      
-41,023
  
Imaging Products & Solutions
                        
Customers
    
179,112
      
185,636
      
+6,524
  
Intersegment
    
1,990
      
2,357
      
+367
  
Total
    
181,102
      
187,993
      
+6,891
  
Mobile Communications
                        
Customers
    
215,141
      
134,978
      
-80,163
  
Intersegment
    
2,402
      
2,243
      
-159
  
Total
    
217,543
      
137,221
      
-80,322
  
Semiconductors
                        
Customers
    
218,303
      
201,469
      
-16,834
  
Intersegment
    
32,627
      
28,858
      
-3,769
  
Total
    
250,930
      
230,327
      
-20,603
  
Financial Services
                        
Customers
    
371,498
      
161,630
      
-209,868
  
Intersegment
    
1,773
      
1,956
      
+183
  
Total
    
373,271
      
163,586
      
-209,685
  
All Other
                        
Customers
    
96,611
      
86,466
      
-10,145
  
Intersegment
    
11,971
      
14,885
      
+2,914
  
Total
    
108,582
      
101,351
      
-7,231
  
Corporate and elimination
    
(85,670
)
    
(84,197
)
    
+1,473
  
Consolidated total
  
¥
2,672,317
    
¥
2,401,805
    
¥
-270,512
  

Game & Network Services (“G&NS”) intersegment amounts primarily consist of transactions with All Other.
Semiconductors intersegment amounts primarily consist of transactions with the G&NS segment, the Imaging Products & Solutions (“IP&S”) segment and the Mobile Communications (“MC”) segment.
All Other intersegment amounts primarily consist of transactions with the G&NS segment, the Music segment and the Pictures segment.
Corporate and elimination includes certain brand and patent royalty income.

    (Millions of yen)  
    Three months ended December 31  
Operating income (loss)
   2017     2018
    Change  
Game & Network Services
  
¥
85,364
    
¥
73,082
    
¥
-12,282
  
Music
    
39,342
      
147,096
      
+107,754
  
Pictures
    
10,489
      
11,588
      
+1,099
  
Home Entertainment & Sound
    
46,213
      
47,474
      
+1,261
  
Imaging Products & Solutions
    
25,982
      
34,241
      
+8,259
  
Mobile Communications
    
15,801
      
(15,502
)
    
-31,303
  
Semiconductors
    
60,558
      
46,510
      
-14,048
  
Financial Services
    
56,287
      
37,894
      
-18,393
  
All Other
    
2,255
      
6,104
      
+3,849
  
Total
    
342,291
      
388,487
      
+46,196
  
Corporate and elimination
    
8,546
      
(11,499
)
    
-20,045
  
Consolidated total
  
¥
350,837
    
¥
376,988
    
¥
+26,151
  

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.
 
Beginning from the first quarter of the fiscal year ending March 31, 2019, a change has been made to the calculation method used for allocating indirect expenses incurred by sales companies to the segments every quarter. As a result of this change, a year-on-year decrease in expenses, composed primarily of 6.1 billion yen in the Home Entertainment & Sound (“HE&S”) segment, is included for the three months ended December 31, 2018. However, because an increase in expenses totaling the same amount is included in Corporate and elimination, this change has no impact on consolidated operating income for the three months ended December 31, 2018. Additionally, because increases and decreases in expenses per quarter for each segment resulting from this change in the calculation method will be offset by the increases and decreases in expenses in other quarters for that segment throughout the current year, this change will also have no impact on operating income (loss) for each segment, or for Corporate and elimination, for the fiscal year ending March 31, 2019.
F-5
(Business Segments)
                  
    (Millions of yen)  
    Nine months ended December 31  
Sales and operating revenue
   2017     2018     Change  
Game & Network Services
                  
Customers
  
¥
1,418,955
    
¥
1,744,843
    
¥
+325,888
  
Intersegment
    
80,277
      
67,936
      
-12,341
  
Total
    
1,499,232
      
1,812,779
      
+313,547
  
Music
                        
Customers
    
582,180
      
583,289
      
+1,109
  
Intersegment
    
11,387
      
11,388
      
+1
  
Total
    
593,567
      
594,677
      
+1,110
  
Pictures
                        
Customers
    
709,458
      
691,588
      
-17,870
  
Intersegment
    
673
      
1,101
      
+428
  
Total
    
710,131
      
692,689
      
-17,442
  
Home Entertainment & Sound
                        
Customers
    
986,839
      
935,158
      
-51,681
  
Intersegment
    
808
      
691
      
-117
  
Total
    
987,647
      
935,849
      
-51,798
  
Imaging Products & Solutions
                        
Customers
    
488,399
      
509,742
      
+21,343
  
Intersegment
    
5,058
      
6,344
      
+1,286
  
Total
    
493,457
      
516,086
      
+22,629
  
Mobile Communications
                        
Customers
    
564,025
      
380,218
      
-183,807
  
Intersegment
    
6,746
      
7,331
      
+585
  
Total
    
570,771
      
387,549
      
-183,222
  
Semiconductors
                        
Customers
    
584,389
      
601,066
      
+16,677
  
Intersegment
    
99,165
      
85,946
      
-13,219
  
Total
    
683,554
      
687,012
      
+3,458
  
Financial Services
                        
Customers
    
950,292
      
846,363
      
-103,929
  
Intersegment
    
5,363
      
5,881
      
+518
  
Total
    
955,655
      
852,244
      
-103,411
  
All Other
                        
Customers
    
286,307
      
238,139
      
-48,168
  
Intersegment
    
44,335
      
35,254
      
-9,081
  
Total
    
330,642
      
273,393
      
-57,249
  
Corporate and elimination
    
(231,695
)
    
(214,089
)
    
+17,606
  
Consolidated total
  
¥
6,592,961
    
¥
6,538,189
    
¥
-54,772
  

G&NS intersegment amounts primarily consist of transactions with All Other.
Semiconductors intersegment amounts primarily consist of transactions with the G&NS segment, the IP&S segment and the MC segment.
All Other intersegment amounts primarily consist of transactions with the G&NS segment, the Music segment and the Pictures segment.
Corporate and elimination includes certain brand and patent royalty income.

    (Millions of yen)  
    Nine months ended December 31  
Operating income (loss)
   2017     2018     Change  
Game & Network Services
  
¥
157,847
    
¥
247,154
    
¥
+89,307
  
Music
    
96,878
      
210,701
      
+113,823
  
Pictures
    
8,688
      
27,522
      
+18,834
  
Home Entertainment & Sound
    
93,183
      
89,322
      
-3,861
  
Imaging Products & Solutions
    
68,056
      
82,131
      
+14,075
  
Mobile Communications
    
16,964
      
(56,074
)
    
-73,038
  
Semiconductors
    
165,370
      
123,575
      
-41,795
  
Financial Services
    
139,109
      
117,635
      
-21,474
  
All Other
    
(6,004
)
    
11,440
      
+17,444
  
Total
    
740,091
      
853,406
      
+113,315
  
Corporate and elimination
    
(27,415
)
    
(41,901
)
    
-14,486
  
Consolidated total
  
¥
712,676
    
¥
811,505
    
¥
+98,829
  

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.
 
Beginning from the first quarter of the fiscal year ending March 31, 2019, a change has been made to the calculation method used for allocating indirect expenses incurred by sales companies to the segments every quarter. As a result of this change, a year-on-year decrease in expenses, composed primarily of 3.1 billion yen in the HE&S segment, is included for the nine months ended December 31, 2018. However, because an increase in expenses totaling the same amount is included in Corporate and elimination, this change has no impact on consolidated operating income for the nine months ended December 31, 2018. Additionally, because increases and decreases in expenses per quarter for each segment resulting from this change in the calculation method will be offset by the increases and decreases in expenses in other quarters for that segment throughout the current year, this change will also have no impact on operating income (loss) for each segment, or for Corporate and elimination, for the fiscal year ending March 31, 2019.
F-6
(Sales to Customers by Product Category)

The following tables include a breakdown of sales and operating revenue to external customers for certain segments shown in the Business Segment Information on page F-5 and 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 these tables is useful to investors in understanding sales by product category.

    (Millions of yen)  
 
    Three months ended December 31  
Sales and operating revenue (to external customers)
   2017     2018     Change  
                   
Game & Network Services
                  
Network
  
¥
300,407
    
¥
433,704
    
¥
+133,297
  
Hardware and Others
    
381,242
      
325,405
      
-55,837
  
Total
    
681,649
      
759,109
      
+77,460
  
                         
Music
                        
Recorded Music
    
128,239
      
117,350
      
-10,889
  
Music Publishing
    
18,334
      
30,374
      
+12,040
  
Visual Media and Platform
    
67,694
      
57,563
      
-10,131
  
Total
    
214,267
      
205,287
      
-8,980
  
                         
Pictures
                        
Motion Pictures
    
106,931
      
140,319
      
+33,388
  
Television Productions
    
82,227
      
64,426
      
-17,801
  
Media Networks
    
70,892
      
71,595
      
+703
  
Total
    
260,050
      
276,340
      
+16,290
  
                         
Home Entertainment & Sound
                        
Televisions
    
301,476
      
264,258
      
-37,218
  
Audio and Video
    
127,303
      
123,481
      
-3,822
  
Other
    
825
      
966
      
+141
  
Total
    
429,604
      
388,705
      
-40,899
  
                         
Imaging Products & Solutions
                        
Still and Video Cameras
    
121,156
      
122,767
      
+1,611
  
Other
    
57,956
      
62,869
      
+4,913
  
Total
    
179,112
      
185,636
      
+6,524
  
                         
Mobile Communications
    
215,141
      
134,978
      
-80,163
  
                         
Semiconductors
    
218,303
      
201,469
      
-16,834
  
                         
Financial Services
    
371,498
      
161,630
      
-209,868
  
                         
All Other
    
96,611
      
86,466
      
-10,145
  
                         
Corporate
    
6,082
      
2,185