索尼 (SONY) 2021 Q4 法說會逐字稿

Ladies and gentlemen, it's now time to start this Sony Group Corporation's Financial Results Briefing for the Fiscal Year Ended March 31, 2021. I'm [Ida] as the emcee for this session. Thank you very much for coming.

女士們先生們，現在是開始索尼集團公司截至 2021 年 3 月 31 日的財政年度財務業績簡報會的時候了。我是 [Ida] 作為本次會議的主持人。非常感謝你的到來。

And today, that -- as we have announced beforehand, we have invited media members and analysts and institutional investors. And this -- the conference will be streamed through the Internet from our site. Executive Deputy President and CFO, Mr. Totoki, will present this financial results of the fiscal year ended March 31, 2021. And later, we have a Q&A session. And the total program is about 70 minutes. Thank you very much. We'd now like to turn to Mr. Totoki.

今天，正如我們之前宣布的那樣，我們邀請了媒體成員、分析師和機構投資者。而這個-- 會議將通過互聯網從我們的站點進行流式傳輸。執行副總裁兼首席財務官 Totoki 先生將介紹截至 2021 年 3 月 31 日的財政年度的財務業績。稍後，我們將舉行問答環節。整個節目約70分鐘。非常感謝。我們現在想求助於 Totoki 先生。

Thank you very much. So this is the topic that I would like to cover today. The consolidated results for the fiscal year ended March 31, 2021, and so forth. And the consolidated sales grew -- increased 9% compared to the previous fiscal year to JPY 8,999.4 billion, and consolidated operating income increased JPY 126.4 billion to JPY 971.9 billion, both record highs, primarily due to the improvement of valuation gains and losses on the investment securities and other income and expenses. Income before income taxes increased JPY 392.9 billion year-on-year to JPY 1,192.4 billion.

非常感謝。這就是我今天要討論的主題。截至 2021 年 3 月 31 日的財政年度的合併結果等。合併銷售額增長——與上一財年相比增長 9% 至 89,994 億日元，合併營業收入增長 1,264 億日元至 9,719 億日元，均創歷史新高，這主要是由於估值損益的改善。投資證券和其他收入和支出。所得稅前收入同比增加 3,929 億日元至 1,1924 億日元。

And net income attributed to Sony Group Corporate stockholders increased JPY 589.6 billion year-on-year to JPY 1,171.8 billion. Adjusted operating income before income taxes and net income attributable to Sony Group Corporate stockholders, which excludes extraordinary items can be found on Page 4 through 10 of the materials.

歸屬於索尼集團公司股東的淨利潤同比增長 5896 億日元至 11718 億日元。調整後的稅前營業收入和歸屬於索尼集團公司股東的淨收入（不包括特殊項目）可在材料的第 4 頁至第 10 頁中找到。

FY '20 consolidated operating cash flow, excluding the Financial Services segment, was JPY 1,122.2 billion, approximately JPY 2.6 trillion cumulative for the last 3 fiscal years, a level that significantly exceeds the target we established with the third mid-range plan.

不包括金融服務部門的 20 財年合併經營現金流為 11,222 億日元，過去 3 個財年累計約為 2.6 萬億日元，這一水平大大超過了我們在第三個中期計劃中設定的目標。

The cash flow of each of our business segment in FY '20 is shown on this slide. This slide shows the results by segment.

這張幻燈片顯示了 20 財年我們每個業務部門的現金流量。這張幻燈片按部分顯示了結果。

Next, I will show the consolidated results forecast for FY '21. Sales are expected to be JPY 9,700 billion. And operating income is expected to be JPY 930 billion. We have changed our accounting standards to International Financial Reporting Standards, IFRS, from FY '21. Therefore, the FY '20 results I will explain today are based on the U.S. GAAP, while our FY '21 forecast is based on IFRS.

接下來，我將展示 21 財年的綜合業績預測。銷售額預計為97,000億日元。營業收入預計為9300億日元。從 21 財年起，我們已將會計準則更改為國際財務報告準則 IFRS。因此，我今天將解釋的 20 財年結果基於美國公認會計原則，而我們的 21 財年預測基於 IFRS。

As a result of the adoption of IFRS, the impact of the fluctuations in the market for financial instruments is expected to result in variances with U.S. GAAP in the results of our Financial Services segment and in consolidated other income and expenses. However, since we do not incorporate into our forecast any impact from the fluctuation in the market conditions, we believe that the variance in the forecast resulting from the difference in accounting standards are limited.

由於採用國際財務報告準則，金融工具市場波動的影響預計將導致我們的金融服務部門的結果和合併其他收入和支出與美國公認會計原則的差異。但是，由於我們的預測並未納入市場狀況波動的任何影響，我們認為會計準則差異導致的預測差異有限。

This slide shows our forecast by segment for FY '21. I will now explain the situation in each of our business segments. First is the Game & Network Services segment. Sales in FY '20 increased a significant 34% year-on-year to JPY 2,656.3 billion.

這張幻燈片顯示了我們對 21 財年的分部預測。我現在將解釋我們每個業務部門的情況。首先是遊戲和網絡服務部門。 20 財年的銷售額同比大幅增長 34% 至 26,563 億日元。

Operating income increased a significant JPY 103.8 billion year-on-year to JPY 342.2 billion, a record high for the segment. The increase in operating income was primarily due to the increase in sales of same -- game software, Network Services, partially offset by an increase in selling, general and administrative expenses associated with the launch of the PlayStation 5.

營業收入同比大幅增長 1,038 億日元至 3,422 億日元，創下該部門的歷史新高。營業收入的增加主要是由於遊戲軟件、網絡服務的銷售額增加，但部分被與發布 PlayStation 5 相關的銷售、一般和管理費用的增加所抵消。

FY '21 sales are expected to increase 9% year-on-year to JPY 2,900 billion. And operating income is expected to decrease JPY 17.2 billion to JPY 325 billion.

21 財年的銷售額預計將同比增長 9% 至 29,000 億日元。營業收入預計將減少 172 億日元至 3250 億日元。

Now I will explain in a little more detail the assumptions we made in the fiscal year forecast. As for hardware, supply has not been able to keep up with extremely strong demand for PS5, although constraints on the supply of components, especially semiconductors, are expected to continue this fiscal year. Our current target is to exceed the 14.8 million units we sold in the second year after the launch of the PlayStation 4.

現在我將更詳細地解釋我們在財政年度預測中所做的假設。在硬件方面，供應未能跟上對 PS5 極其強勁的需求，儘管預計本財年零部件，尤其是半導體的供應限制將繼續存在。我們目前的目標是在 PlayStation 4 推出後的第二年銷量超過 1480 萬台。

In order to meet the strong demand from our customers, we will continue to work to secure components and strive to do our utmost to produce and sell more units than target. Primarily due to improvements in the profitability of the PS5, we expect hardware and peripherals together to contribute to the same level of profit for the full year as they did in the previous fiscal year.

為了滿足客戶的強烈需求，我們將繼續努力確保零部件，並儘最大努力生產和銷售超過目標的數量。主要是由於 PS5 盈利能力的提高，我們預計硬件和外圍設備共同為全年的利潤貢獻了與上一財年相同的水平。

Next, I will talk about software. Total gameplay time of PlayStation users in March 2021 continued to be quite high at approximately 20% above March 2019, which had no impact from COVID-19. We believe that this level of strong user engagement will continue in FY '21. Software sales in the first quarter ending June 30, 2021, are expected to be below the same period of the previous fiscal year when lockdowns were widespread worldwide. But we expect the same or greater revenue year-on-year from the second quarter ending September 30, 2021, onward.

接下來，我將談論軟件。 2021 年 3 月 PlayStation 用戶的總遊戲時間仍然很高，比 2019 年 3 月高出約 20%，這並沒有受到 COVID-19 的影響。我們相信這種強大的用戶參與度將在 21 財年繼續。預計截至 2021 年 6 月 30 日的第一季度的軟件銷售額將低於上一財年的同期，當時全球範圍內普遍存在封鎖。但我們預計從截至 2021 年 9 月 30 日的第二季度開始，收入將與去年同期相同或更高。

Regarding Network Services, we do not anticipate a significant increase in subscribers as was the case in the previous fiscal year, resulting from stay-at-home demand. But we do aim to maintain and expand the number of subscribers to PlayStation Plus, which increased throughout the previous fiscal year.

關於網絡服務，我們預計用戶數量不會像上一財年那樣顯著增加，這是由於居家需求所致。但我們的目標是維持和擴大 PlayStation Plus 的訂戶數量，該數量在上一財年有所增加。

In terms of costs, we plan to increase development personnel and other costs in our in-house studios by approximately JPY 20 billion year-on-year as we further strengthened our in-house product -- produced software. On the other hand, we plan to keep costs in all other areas at the level similar to the previous fiscal year despite the increase in sales.

在成本方面，我們計劃將內部工作室的開發人員和其他成本同比增加約 200 億日元，因為我們進一步加強了我們的內部產品——生產的軟件。另一方面，儘管銷售額增加，但我們計劃將所有其他領域的成本保持在與上一財年相似的水平。

To enhance our software offering, we intend to continue investing in our partnering with external studios in addition to aggressively investing in our in-house studios. As I just mentioned, we aim to strengthen the PlayStation platform through action such as the recently announced partnership with Haven Entertainment Studios, which was established by Jade Raymond, the creator of the famous game, Assassin's Creed, and our additional investment in Epic Games. Along with the rest of the Sony Group, we will also work to enhance the social and platform capabilities of Games.

為了增強我們的軟件產品，除了積極投資我們的內部工作室外，我們還打算繼續投資與外部工作室的合作。正如我剛才提到的，我們的目標是通過行動加強 PlayStation 平台，例如最近宣布與著名遊戲刺客信條的創造者 Jade Raymond 建立的 Haven Entertainment Studios 合作，以及我們對 Epic Games 的額外投資。與索尼集團的其他成員一起，我們還將努力增強遊戲的社交和平台能力。

Next is the Music segment. FY '20 sales increased 11% year-on-year to JPY 939.9 billion, mainly due to the growth of streaming revenue and Demon Slayer -Kimetsu no Yaiba- The Movie: Mugen Train, which was a blockbuster hit.

接下來是音樂部分。 20 財年的銷售額同比增長 11% 至 9,399 億日元，這主要是由於流媒體收入的增長和惡魔殺手 -Kimetsu no Yaiba- The Movie: Mugen Train 大獲成功。

Operating income increased a significant JPY 45.7 billion year-on-year to JPY 188.1 billion chiefly due to the impact of the increased sales and recording of onetime gains of JPY 11.9 billion from the transfer of businesses.

營業收入同比大幅增長 457 億日元至 1881 億日元，主要是由於銷售額增加和業務轉讓一次性收益 119 億日元的影響。

In Recorded Music, streaming revenue for the fiscal year continued to grow at the high rate of approximately 22% year-on-year. The profit contribution from Visual Media and Platform, which includes Mobile Game applications and anime, mainly in Japan, accounted for a little less than 30% of the operating income of the entire segment.

在錄製音樂方面，本財年的流媒體收入繼續以同比約 22% 的高速度增長。主要在日本的視覺媒體和平台（包括手游應用和動漫）的利潤貢獻佔整個分部營業收入的比例略低於30%。

FY '21 sales are expected to increase 5% year-on-year to JPY 990 billion. And operating income is expected to decrease JPY 26.1 billion to JPY 162 billion. The decrease in operating income is mainly due to a conservative view as to the profit contribution of mobile game applications this fiscal year, while the previous fiscal year had onetime gains and historic blockbuster hit, Demon Slayer, that I mentioned earlier.

預計 21 財年銷售額將同比增長 5% 至 9900 億日元。營業收入預計將減少261億日元至1620億日元。營業收入的下降主要是由於對本財年手游應用的利潤貢獻持保守態度，而上一財年曾有過一次收益和我之前提到的歷史性大片《屠魔者》。

On the other hand, in the Recorded Music and Music Publishing businesses, we expect continued profit growth as we capitalize on the growth of streaming revenue.

另一方面，在錄製音樂和音樂出版業務中，隨著我們利用流媒體收入的增長，我們預計利潤將持續增長。

We are steadily improving our ability to discover and nurture artists and continuously create hits, and we aim to continue to increase our profitability going forward. Opportunities for investment in the Music segment are steadily increasing and we are aggressively pursuing them. To capture more of the growth in emerging markets, we recently announced the acquisition of Som Livre, an independent music label in Brazil. Like the acquisition of AWAL, an artist services business in the independent space that we announced in February, regulatory approval is necessary, but we believe both these transactions will contribute to the further growth of the Music segment.

我們正在穩步提高我們發現和培養藝術家並不斷創造熱門歌曲的能力，我們的目標是繼續提高我們的盈利能力。音樂領域的投資機會正在穩步增加，我們正在積極尋求這些機會。為了抓住新興市場的更多增長，我們最近宣布收購巴西的獨立音樂品牌 Som Livre。就像我們在 2 月宣布的獨立空間中的藝術家服務業務 AWAL 的收購一樣，監管部門的批准是必要的，但我們相信這兩項交易都將有助於音樂部門的進一步增長。

Next is the Pictures segment. FY '20 sales decreased a significant 25% year-on-year to JPY 758.8 billion, chiefly due to a significant decrease in theatrical releases and delays in TV show productions and deliveries resulting from the impact of COVID-19. Despite the impact of the lower sales, operating income increased JPY 12.3 billion year-on-year to JPY 80.5 billion, mainly due to a significant decrease in marketing costs and strong home entertainment and television licensing revenues in Motion Pictures as well as a decrease in portfolio review costs in Media Networks.

接下來是圖片部分。 20 財年的銷售額同比大幅下降 25% 至 7,588 億日元，主要是由於 COVID-19 的影響導致戲劇發行量大幅減少以及電視節目製作和交付延遲。儘管受到銷售額下降的影響，營業收入仍同比增長 123 億日元至 805 億日元，主要是由於營銷成本顯著下降以及電影的家庭娛樂和電視授權收入強勁，以及媒體網絡中的投資組合審查成本。

FY '21 sales are expected to increase a significant 50% year-on-year to JPY 1,140 billion. This increase is mainly due to a resumption of theatrical releases in Motion Pictures and a recovery in TV Productions and Media Networks. Operating income is expected to increase JPY 2.5 billion year-on-year to JPY 83 billion chiefly due to the impact of the increase in sales for the entire segment, including license revenue for the popular U.S. TV series, Seinfeld, partially offset by an increase in marketing costs associated with the reopening of theaters.

21 財年的銷售額預計將同比大幅增長 50%，達到 11,400 億日元。這一增長主要是由於電影的院線發行恢復以及電視製作和媒體網絡的複蘇。營業收入預計將同比增加 25 億日元至 830 億日元，主要是由於整個部門的銷售額增加的影響，包括美國熱門電視劇《宋飛正傳》的許可收入，部分被增加所抵消與劇院重新開放相關的營銷成本。

In Motion Pictures, theaters in major U.S. cities are reopening. And from June, we plan to release into U.S. theaters sequels to hit films like Peter Rabbit and Hotel Transylvania. Theatrical releases remain important to Sony, but taking into account the crowded schedule of release post theater reopening, we will be flexible when selecting the channel through which we will sell our product depending on the content, scale and timing of the work so as to maximize long-term value of each work. In addition, license agreement negotiations for films and TV shows are proceeding smoothly against the of backdrop increasing demand for content.

在電影方面，美國主要城市的影院正在重新開放。從 6 月開始，我們計劃在美國影院上映電影的續集，如彼得兔和特蘭西瓦尼亞酒店。影院上映對索尼來說仍然很重要，但考慮到上映後重新開放的排期很擁擠，我們將根據工作的內容、規模和時間靈活選擇銷售我們的產品的渠道，以最大限度地提高每件作品的長期價值。此外，在內容需求增加的背景下，影視節目的許可協議談判進展順利。

As we announced the other day, we have signed long-term license agreements on good terms with Netflix and Disney for U.S. distribution of theatrical releases from 2022.

正如我們前幾天宣布的那樣，我們已與 Netflix 和迪士尼簽署了長期許可協議，從 2022 年開始在美國發行影院版本。

Next is the Electronics Products & Solutions segment. FY '20 sales decreased 4% year-on-year to JPY 1,920.7 billion, mainly due to a decrease in unit sales, especially of digital cameras, and the impact of foreign exchange rates.

接下來是電子產品和解決方案部門。 20 財年銷售額同比下降 4% 至 19,207 億日元，主要是由於單位銷售額下降，尤其是數碼相機，以及匯率的影響。

Operating income increased a significant JPY 51.9 billion year-on-year to JPY 139.2 billion, mainly due to a reduction of operating costs, mainly in Mobile Communications and an improvement in the product mix for TVs and other products, partially offset by the impact of the decrease in sales. FY '21 sales are expected to be JPY 2,260 billion, and operating income is expected to be JPY 148 billion. Excluding the impact of the change in segmentation resulting from the recent organizational change, we expect that sales will increase 9% year-on-year, and operating income will increase JPY 13.9 billion year-on-year.

營業收入同比大幅增長 519 億日元至 1,392 億日元，主要是由於運營成本降低（主要是移動通信）以及電視和其他產品的產品結構改善，部分抵消了銷售額的下降。 21財年銷售額預計為22,600億日元，營業收入預計為1,480億日元。剔除近期組織結構變化帶來的細分變化的影響，我們預計銷售額將同比增長 9%，營業收入將同比增長 139 億日元。

Throughout FY '20, this segment was significantly impacted by intermittent disruptions in the supply chain of components caused by the various factors such as COVID-19. However, we were able to respond swiftly to these changes and secure a high level of profit.

在整個 20 財年，該部分受到 COVID-19 等各種因素導致的組件供應鏈間歇性中斷的重大影響。然而，我們能夠迅速應對這些變化並確保高水平的利潤。

Moreover, the Mobile Communications business, which had been an issue for us, was able to record a large profit which exceeded our initial expectations. From this April, the businesses within EP&S have been combined into the new Sony Corporation.

此外，對我們來說一直是個問題的移動通信業務能夠錄得超過我們最初預期的巨額利潤。從今年 4 月起，EP&S 內的業務已合併為新的索尼公司。

The operating environment remains unpredictable. But the new management team, which is comprised of people who helped manage through the difficult operating environment of the previous fiscal year, are expected to continue to manage this business with a high degree of resiliency to change.

操作環境仍然無法預測。但新的管理團隊由幫助管理上一財年艱難經營環境的人員組成，預計將繼續以高度彈性來管理這項業務，以應對變化。

Next is the Imaging & Sensing Solutions segment. Fiscal year '20 sales decreased 5% year-on-year to JPY 1,012.5 billion, primarily due to lower sales of image sensors for mobile.

接下來是成像和傳感解決方案部分。 20 財年銷售額同比下降 5% 至 10,125 億日元，主要是由於移動圖像傳感器的銷售額下降。

Operating income decreased a significant JPY 89.7 billion year-on-year to JPY 145.9 billion, primarily due to an increase in research and development expenses and depreciation as well as the impact of the decrease in sales.

營業收入同比大幅減少 897 億日元至 1459 億日元，主要是由於研發費用和折舊增加以及銷售額下降的影響。

Fiscal year '21 sales are expected to increase 12% year-on-year to JPY 1, 130 billion, and operating income is expected to decrease JPY 5.9 billion to JPY 140 billion.

21財年銷售額預計同比增長12%至1,300億日元，營業收入預計將減少59億日元至1,400億日元。

In fiscal year '21, we expect that our market share on a volume basis will return to a similar level as it was in the fiscal year ended March 31, 2020, thanks to our efforts to expand our market -- our customer base in the mobile sensor business. We will manage the business in a more proactive manner while keeping an eye on risk. We plan to increase research expenses in fiscal year '21 by approximately 15% or JPY 25 billion year-on-year to expand the type of products we sell and to shift to higher value-added models from the fiscal year ending March 31, 2023.

在 21 財年，我們預計我們的市場份額將恢復到與截至 2020 年 3 月 31 日的財年相似的水平，這要歸功於我們努力擴大市場——我們在移動傳感器業務。我們將以更加積極主動的方式管理業務，同時密切關注風險。我們計劃在 21 財年將研究費用同比增加約 15% 或 250 億日元，以擴大我們銷售的產品類型並從截至 2023 年 3 月 31 日的財年轉向更高附加值的模型.

We expect Image Sensor capital expenditures to be JPY 285 billion, part of which was postponed from the previous fiscal year. We plan to shift to higher value-added products that leverage Sony's stack technology in preparation for an improvement in the product mix from fiscal year '22 and we will concentrate our investment on production capacity necessary to produce them.

我們預計圖像傳感器的資本支出為 2850 億日元，其中一部分比上一財年推遲。我們計劃轉向利用索尼堆棧技術的高附加值產品，為從 22 財年改進產品組合做準備，我們將把投資集中在生產這些產品所需的產能上。

The other day, we held a completion ceremony for our new fab 5 building at our Nagasaki factory. Expansion of production capacity is progressing according to plan, and we'll be able to expand and equip facilities in line with the expansion pace of expansion of our business going forward.

前幾天，我們在長崎工廠舉行了新的 fab 5 大樓竣工儀式。產能擴張正在按計劃進行，我們將能夠根據未來業務擴張的擴張步伐來擴大和裝備設施。

Shortages of semiconductors have become an issue recently. But with the cooperation of our partners, we have already secured enough supply of logic semiconductors used in our image sensors to cover our production plan for this fiscal year. However, there's a possibility that the semiconductor shortage will be prolonged, so we are accelerating the shift to higher value-added products that we have been advancing here before.

半導體短缺已成為最近的一個問題。但是在我們合作夥伴的合作下，我們已經獲得了足夠的用於我們圖像傳感器的邏輯半導體的供應，以滿足我們本財年的生產計劃。但是，半導體短缺可能會延長，因此我們正在加快向我們以前一直在推進的高附加值產品的轉變。

We are also continuing to proactively pursue mid- to long-term initiatives in the automotive and 3D sensing areas, and we'll explain more details at the IR day scheduled for next month.

我們還將繼續在汽車和 3D 傳感領域積極推進中長期計劃，我們將在下個月的 IR 日解釋更多細節。

Last is the Financial Services segment. Fiscal year '20 Financial Services revenue increased a significant 28% year-on-year to JPY 1,668.9 billion, primarily due to an increase in net gains on investment in the separate accounts at Sony Life insurance, partially offset by a decrease in single premium insurance.

最後是金融服務部門。 20 財年金融服務收入同比大幅增長 28% 至 16,689 億日元，這主要是由於索尼人壽保險的獨立賬戶投資淨收益增加，部分被單筆保費保險的減少所抵消.

Operating income increased significant JPY 35 billion year-on-year to JPY 164.6 billion, primarily due to an improvement in valuation gains and losses on securities at Sony Bank and a decline in the loss ratio for automobile insurance at Sony Assurance, partially offset by an impairment charge against long-lived assets in the nursing care business. New policy amount in force at Sony Life in fiscal '20 was below that of the previous fiscal year due to the impact of COVID-19, but it has trended higher year-on-year from the second quarter ended March -- September 30, 2020.

營業收入同比大幅增長 350 億日元至 1646 億日元，主要是由於索尼銀行證券的估值損益改善以及索尼保險的汽車保險損失率下降，部分抵消了護理業務中長期資產的減值費用。由於 COVID-19 的影響，Sony Life 在 20 財年生效的新保單金額低於上一財年，但從截至 3 月的第二季度至 9 月 30 日，該保單金額同比呈上升趨勢， 2020 年。

Fiscal '21 Financial Services revenue is expected to decrease 16% to JPY 1,400 billion, primarily because we do not incorporate into our forecast an increase in net gains and investments in the separate account of Sony Life, resulting from strong market conditions as was the case in the previous fiscal year.

'21 財年金融服務收入預計將減少 16% 至 14,000 億日元，這主要是因為我們沒有將索尼人壽單獨賬戶的淨收益和投資的增加納入我們的預測，這是由於市場狀況強勁而導致的在上一個財政年度。

Operating income is expected to increase JPY 5.4 billion to JPY 170 billion, primarily due to an increase in policy amount in force at Sony Life.

營業收入預計將增加 54 億日元至 1700 億日元，主要是由於索尼人壽有效的保單金額增加。

Now I would like to discuss the financial directions of fourth mid-range plan, which starts this fiscal year. In previous mid-range plans, we have prioritized the improvement and enhancement of the profitability of each business. But in the fourth mid-range plan, we aim to grow both sales and profit.

現在我想討論一下本財年開始的第四個中期計劃的財務方向。在之前的中期計劃中，我們優先考慮改善和提高每個業務的盈利能力。但在第四個中檔計劃中，我們的目標是增加銷售額和利潤。

We will adopt adjusted EBITDA as the group key performance indicator for the fourth mid-range plan. EBITDA is a metric that enables us to confirm that all of the businesses in the Sony Group, including Financial Services, which is now a wholly-owned subsidiary, are expanding over the mid to long term through cycles of investment and return and it is often used to calculate corporate value. Our target for the cumulative total of the new -- next 3 fiscal years is JPY 4.3 trillion.

我們將採用調整後的 EBITDA 作為第四個中期計劃的集團關鍵績效指標。 EBITDA 是一個指標，使我們能夠確認索尼集團的所有業務，包括現在是全資子公司的金融服務，都在通過投資和回報週期進行中長期擴張，而且通常用於計算企業價值。我們新的——未來 3 個財政年度的累計目標是 4.3 萬億日元。

For more details, including the definition of the adjusted EBITDA, please refer to Page 23 of the presentation materials.

有關更多詳細信息，包括調整後 EBITDA 的定義，請參閱演示材料的第 23 頁。

Now I will update you on our capital allocation plan. During the third mid-range plan, we used the consolidated operating cash flow, excluding the Financial Services segment and the cash we generated from asset sales, to invest JPY 1.2 trillion in capital expenditures; to invest JPY 1.4 trillion in strategic investments, including share repurchases and issued JPY 170 billion in dividends.

現在我將向您介紹我們的資本分配計劃。在第三個中期計劃中，我們使用合併經營現金流（不包括金融服務部門和資產出售產生的現金）投資了 1.2 萬億日元的資本支出；投資 1.4 萬億日元進行戰略投資，包括股票回購和派發 1,700 億日元的股息。

In the new mid-range plan, we have established a capital expenditure target of JPY 1.5 trillion and a strategic investment target of JPY 2 trillion or more as we aim to grow our business over the long term beyond the duration of the plan.

在新的中期計劃中，我們設定了 1.5 萬億日元的資本支出目標和 2 萬億日元或更多的戰略投資目標，我們的目標是在計劃期限之後長期發展我們的業務。

Regarding dividends, our policy is to increase dividends in a stable manner over the long term. We expect to fund our allocation of capital through consolidated operating cash flow, excluding the Financial Services segment, including cash left over from before. If additional funds become necessary, we might also sell assets and borrow with a strict eye on financial discipline.

在股息方面，我們的政策是長期穩定增加股息。我們預計通過合併運營現金流（不包括金融服務部門，包括以前剩餘的現金）為我們的資本分配提供資金。如果需要額外的資金，我們也可能會在嚴格遵守財務紀律的情況下出售資產和借款。

Operating cash flow includes dividends from the Financial Services business. And we expect that the Financial Services business will contribute to the growth investment capacity -- capability of the Sony Group through a stable increase in its dividends as its own profit grows over the mid- to long term.

經營現金流包括金融服務業務的股息。我們預計，隨著中長期自身利潤的增長，金融服務業務將通過股息的穩定增長，為索尼集團的增長投資能力做出貢獻。

Lastly, I would like to touch on share repurchases. Today, we announced the establishment of a facility to repurchase up to JPY 200 billion of the shares of Sony Group Corporation over the period of 1 year. In the previous fiscal year, we did not avail ourselves of the share repurchase facility we had in place because of a steady increase in growth investment opportunities and the price of our shares. But we continue to view share repurchases as a part of the strategic investment, and we will implement them in an opportune manner.

最後，我想談談股票回購。今天，我們宣佈設立一項機制，在 1 年內回購高達 2,000 億日元的索尼集團股份。在上一財年，由於增長投資機會和股票價格的穩步增加，我們沒有利用現有的股票回購機制。但我們仍將股票回購視為戰略投資的一部分，並將適時實施。

This concludes my remarks.

我的發言到此結束。

Thank you very much, Mr. Totoki, the Executive Deputy President. And at 16:25, we would like to start this media question and answer. At 16:50, we have a Q&A session for the analysts and the institutional investors and then about 20 minutes each allocated to each Q&A session. And then -- so those -- the media members and investors and analysts who have already registered to ask questions, you have a designated phone number and then please link to that number. If you have not made any prior registration, through the international streaming, you can listen to the Q&A session. So please wait a moment while we get ready for the Q&A session. Thank you.

非常感謝常務副會長戶時先生。 16:25，我們要開始這個媒體問答。 16:50，我們為分析師和機構投資者進行了問答環節，然後每個問答環節分別分配了大約 20 分鐘。然後 - 所以那些 - 已經註冊提問的媒體成員、投資者和分析師，你有一個指定的電話號碼，然後請鏈接到那個號碼。如果您沒有事先註冊，您可以通過國際直播收聽問答環節。所以請稍等片刻，我們為問答環節做好準備。謝謝你。

We will soon start the question-and-answer session for the media. Please wait for a few minutes.

我們即將開始媒體問答環節。請等待幾分鐘。

Thank you very much for waiting. Now we'd like to entertain questions from the media. The responder is Mr. Totoki, the Executive Deputy President and CFO; and Ms. Naomi Matsuoka, Senior Vice President in charge of Corporate Planning and Control, Finance and IR; and Mami Imada, the VP -- Senior General Manager at the Corporate Communications.

非常感謝您的等待。現在我們想接受媒體的提問。響應者是常務副總裁兼首席財務官 Totoki 先生；松岡直美女士，負責公司計劃和控制、財務和 IR 的高級副總裁；以及企業傳播部副總裁——高級總經理 Mami Imada。

(Operator Instructions) Thank you for your cooperation. (Operator Instructions) Thank you.

（操作說明）感謝您的合作。 （操作員說明）謝謝。

The first question from Toyo Keizai, [Mr. Takahashi], please.

來自東洋經濟的第一個問題，[Mr.高橋]，請。

I hope you can hear my voice.

我希望你能聽到我的聲音。

Yes, we can.

我們可以。

I have 2 questions. First of all, the games, this year, the PS5, the unit volume was presented. But in that -- this number, for example, within this year, at certain times, there could be maybe the solution of a problem of the semiconductor and then maybe the number might be different and maybe increased. In conjunction to the EP&S, you also talked about the possible impact by the semiconductor shortage. So is that the likely scenario of the shortage of semiconductor? That's the first question.

我有 2 個問題。首先是遊戲，今年PS5，單位體積呈現。但是在那個 - 這個數字，例如，在今年內，在某些時候，可能會有半導體問題的解決方案，然後這個數字可能會有所不同並且可能會增加。結合 EP&S，您還談到了半導體短缺可能帶來的影響。那麼這是半導體短缺的可能情況嗎？這是第一個問題。

The second one is capital allocation, your outlook. Maybe on the IR Day, you might give us more details of capital investment in the facility and equipment. In the previous MRP, the semiconductor was the major focus of investment. But in the fourth MRP, where do you give emphasis in your capital investment? Do you have any change in your policy?

第二個是資本配置，你的前景。也許在 IR 日，您可能會向我們提供更多關於設施和設備的資本投資細節。在之前的 MRP 中，半導體是主要的投資重點。但是在第四個 MRP 中，您在哪裡強調您的資本投資？你的政策有什麼變化嗎？

Strategic investment, some of the acquisition candidates were mentioned. What's your philosophy? And would that be different compared to MRP 4 -- 3 versus the new MRP 4?

戰略投資，部分收購對像被提及。你的哲學是什麼？與 MRP 4 -- 3 與新的 MRP 4 相比，這會有所不同嗎？

Thank you very much for your question. You gave us 2 questions. And then as to the first question, Game & Network service, in PS5, the launch and the sales unit and EP&S might be impacted by the shortage of semiconductor supply. The second question is about capital allocation and our capital investment in equipment. In the third MRP, semiconductor was forecast, but whatever the MRP for in that investment strategy. That was my understanding of your question.

非常感謝您的提問。你給了我們2個問題。然後關於第一個問題，遊戲和網絡服務，在PS5中，發售和銷售單元以及EP&S可能會受到半導體供應短缺的影響。第二個問題是關於資金配置和我們在設備上的資金投入。在第三個 MRP 中，預測了半導體，但無論該投資策略中的 MRP 是什麼。這就是我對你的問題的理解。

So let me respond to this question by myself. As to the PS5, the sales scenario estimate, of course, as I said earlier, the PS4 and there should be more than the PS4 sales volume. That's what we aim at. But can we drastically increase the supply? No, that's not likely. So the shortage of semiconductor is one factor, but there are other factors which will impact on the production volume. So that at present, we'd like to aim at the second year sales that is 14 million -- 14.8 million units. That is the second year of the PS4 sales.

所以讓我自己來回答這個問題。至於PS5，銷售情景估計，當然，正如我之前所說，PS4的銷量應該會超過PS4。這就是我們的目標。但是我們能大幅度增加供應嗎？不，這不太可能。所以半導體的短缺是一個因素，但還有其他因素會影響產量。所以目前我們希望第二年的銷量目標是1400萬——1480萬台。那是 PS4 銷售的第二年。

As to the EP&S, the semiconductor shortage might have some impact. Well, within this fiscal year, there are different devices and the supply was rather limited or constrained. For example, we could find maybe second resource, or by changing design, we could cope with them. In EP&S, we can -- we took a flexible maneuver. So in fiscal 2021 that we would like to flexibly adapt to the situation.

至於EP&S，半導體短缺可能會產生一些影響。那麼，在本財政年度內，有不同的設備，供應相當有限或受限。例如，我們可以找到第二個資源，或者通過改變設計，我們可以應對它們。在 EP&S，我們可以——我們採取了靈活的策略。因此，在 2021 財年，我們希望靈活地適應這種情況。

To the second question about the capital allocation. Well, capital investment -- or capital allocation, as I explained to you, in the MRP 4, in upcoming period, JPY 1.5 trillion of capital investment is scheduled. In that plan, about JPY 700 billion will be dedicated to semiconductor. So when you think of that, the percentage in the -- compared to the MRP 3, there's not a major change in this next MRP 4. Thank you.

關於資本配置的第二個問題。好吧，資本投資——或資本分配，正如我向你解釋的那樣，在 MRP 4 中，在即將到來的時期，計劃進行 1.5 萬億日元的資本投資。在該計劃中，約 7,000 億日元將用於半導體。因此，當您想到這一點時，與 MRP 3 相比，下一個 MRP 4 中的百分比沒有重大變化。謝謝。

From Asahi Newspaper, Suzuki-san, please.

朝日報紙，鈴木先生，請。

Suzuki of Asahi Newspaper. Can you hear me?

朝日新聞的鈴木。你能聽到我嗎？

Yes, we hear you.

是的，我們聽到了。

I have 2 questions as well. One, EP&S, the Image Sensor, the semiconductor, a certain customer of China because of its influencer impact, do you get enough inquiries from other manufacturers to compensate for the particular Chinese customer? In IS&S segment, certain Chinese customers, are we getting enough inquiries to offset that portion?

我也有2個問題。一，EP&S，圖像傳感器，半導體，中國某客戶因為其影響力影響，你是否從其他製造商那裡得到足夠的詢問來補償特定的中國客戶？在 IS&S 部分，某些中國客戶，我們是否收到足夠的詢盤來抵消那部分？

Last year, what we tried to achieve is that, by FY '21, we try to recover the market share in volume and the profitability should be recovered in 2022. But FY '21, recovery of market share in volume, as far as this is concerned, we are getting a very good feel about it. So in FY '21, to a certain extent, we will strengthen CapEx.

去年，我們試圖實現的是，到 21 財年，我們試圖在數量上恢復市場份額，並在 2022 年恢復盈利能力。但是 '21 財年，市場份額在數量上的恢復，就目前而言是的，我們對此有很好的感覺。因此，在 21 財年，我們將在一定程度上加強資本支出。

One more question about the Electronics Products. The improvement of the product mix, in what way are you going to shift toward the high value-added products? If you could elaborate more on this shift, I would appreciate it.

關於電子產品的另一個問題。產品結構的改善，你打算如何轉向高附加值的產品？如果您能詳細說明這種轉變，我將不勝感激。

EP&S product mix improvement, what is it specifically. I think that's the question. As you rightly said, basically, TV getting larger screens and a shift towards high-end products, those were most conspicuous examples or achievements. Thank you.

EP&S產品結構改進，具體是什麼。我認為這就是問題所在。正如你所說的，基本上，電視屏幕越來越大，向高端產品轉變，這些都是最顯著的例子或成就。謝謝你。

Nishida-san, please.

西田同學，請。

Do you hear me?

你聽到我了嗎？

Yes, we do.

是的，我們有。

Freelance, Nishida. Two questions. One, about the Game business, particularly in this fiscal year, download business revenue will grow because mainly of, well, PlayStation 5 or stay-at-home demand. In fiscal '20 and thereafter, what is the impact? What's happening to maintain the download revenue?

自由職業者，西田。兩個問題。一，關於遊戲業務，特別是在本財年，下載業務收入將增長，主要是因為 PlayStation 5 或居家需求。在 '20 財年及以後，有什麼影響？維持下載收入的措施是什麼？

And number two, Electronics business. Mobile profitability is improving. Could you elaborate on the reasons for the profitability improve? And is there a possibility of product mix and others? If you can talk about something around this area.

第二，電子業務。移動盈利能力正在改善。能否詳細說明盈利能力提高的原因？是否有產品組合和其他的可能性？如果你能談談這方面的事情。

Game & Network service in fiscal '20, download ratio you said, we call it a digital ratio in our explanation. So let me, well, regard that as digital ratio to explain this. Now here, stay-at-home demand was not small. And particularly in Q4, we are -- please take a look at the material as externally announced. It appears that digital ratio is increasing. And partially because of the titles, at the beginning, stay-at-home demand, well, there was a lot of contribution from the older titles in Q1. But at that time, well, there were not many new releases. That was a big impact.

20財年的遊戲和網絡服務，你說的下載率，在我們的解釋中我們稱之為數字率。所以讓我，好吧，將其視為數字比率來解釋這一點。現在在這裡，待在家裡的需求不小。特別是在第四季度，我們 - 請查看外部宣布的材料。數字比率似乎正在增加。部分是由於遊戲的原因，一開始，宅在家裡的需求，嗯，第一季度的老遊戲貢獻了很多。但那個時候，好吧，沒有多少新版本。那是一個很大的影響。

And to answer your second question about the Mobile profitability improvement. Why did it happen? Well, broadly, I think there are 3 reasons. The first is we have narrowed down on the areas for business, where broadly it's now concentrating in Japan. With this, we saw an improvement of the profitability. And secondly, the high value-added products have been forecast. In terms of volume, it's not so large, but again, high value-added products do have high profitability. And also another reason is the huge reduction of expenses. On this point, design efficiency improvement, with that, we have reduced the expenses quite dramatically.

並回答您關於移動盈利能力提升的第二個問題。為什麼會這樣？好吧，總的來說，我認為有3個原因。首先是我們縮小了業務領域，現在廣泛集中在日本。有了這個，我們看到了盈利能力的提高。其次，對高附加值產品進行了預測。就數量而言，它並沒有那麼大，但同樣，高附加值的產品確實具有很高的盈利能力。另一個原因是費用的大幅減少。在這一點上，設計效率的提高，我們已經大大減少了開支。

And so these are mainly the 3 reasons that drove the improvement of the Mobile profitability. Thank you.

因此，這主要是推動移動盈利能力提高的三個原因。謝謝你。

Any other question? (Operator Instructions) From Nikkei, [Mr. Bam], please.

還有什麼問題嗎？ （操作員說明）來自日經，[Mr.巴姆]，請。

I hope you can hear me.

我希望你能聽到我的聲音。

Yes.

是的。

The first question is maybe abstract question. The net profit of JPY 1 trillion, because of different factors, maybe it is an important input-making stage for your company. Compared to over 10 years ago, your sales mix has changed. As Sony Group, Mr. Totoki became the leader, but what changed? Why your profitability has become so much better compared to a dozen years ago?

第一個問題可能是抽象問題。 1萬億日元的淨利潤，由於不同的因素，可能是貴公司重要的投入階段。與 10 多年前相比，您的銷售組合發生了變化。作為索尼集團，藤樹先生成為了領導者，但發生了什麼變化？為什麼你的盈利能力比十幾年前好很多？

The second point is the strategic investment or capital allocation. As you mentioned, the content IT investment and some of the projects were announced. So high value-added one through the net streaming. So acquisition, the value -- or valuation might have increased because of that. So because when you consider that you would choose the appropriate candidate at the proper pricing and valuation, so you have actually acquired at a good timing. Is that maybe some beneficial effect upon your good performance?

第二點是戰略投資或資本配置。正如你所提到的，內容 IT 投資和一些項目已經公佈。如此高附加值的一款通過網絡流媒體。因此，收購、價值或估值可能因此而增加。所以因為當你考慮到你會以適當的定價和估值選擇合適的候選人時，所以你實際上是在一個很好的時機收購的。這可能對你的良好表現有一些有益的影響嗎？

Thank you for your question. As to the net profit of JPY 1 trillion was achieved, on behalf of Sony Group, what has -- what kind of changes made it possible for you to achieve such a good result?

謝謝你的問題。至於實現了1萬億日元的淨利潤，代表索尼集團，是什麼——什麼樣的變化讓你們能夠取得這麼好的成績？

Well, it didn't happen overnight. We have accumulated steady steps and that outcome turned out to be this JPY 1 trillion. So maybe that JPY 1 trillion figure just stood out there.

好吧，這不是一夜之間發生的。我們已經積累了穩定的步驟，結果是這個 1 萬億日元。因此，也許 1 萬億日元的數字就顯得格外突出。

But these changes take place every 10 years. Every year, you make some progress, every year and then you accumulate that. So when we reflect upon the last 10 years, of course, at the business -- the policy meeting that the CEO will present to you, Mr. Yoshida will give you more details. So maybe he will explain at the corporate -- the strategy -- strategic management meeting as to the strategic investment focused on IT. Well, attractive IP -- sorry, attractive IP, there are some merchandising channels and opportunities and scale will increase, and that reflects this valuation and that's something you have to keep up with. It's inevitable.

但這些變化每 10 年發生一次。每一年，你都會取得一些進步，每一年，然後你都會積累。因此，當我們回顧過去 10 年時，當然，在業務上——首席執行官將向您介紹的政策會議上，吉田先生將為您提供更多細節。因此，也許他會在公司——戰略——戰略管理會議上解釋以 IT 為重點的戰略投資。好吧，有吸引力的 IP——抱歉，有吸引力的 IP，有一些銷售渠道和機會，規模會增加，這反映了這種估值，這是你必須跟上的。這是不可避免的。

But on the other hand, a lot of attractive products and candidates might appear. So in terms of M&A and IP and then other things, this market, I think, has become quite activated or vigorous. So we'd like to find a good candidate and we'd like to take active stance to try to continue investment.

但另一方面，可能會出現很多有吸引力的產品和候選人。所以在併購和知識產權等方面，我認為這個市場已經變得相當活躍或充滿活力。所以我們想找到一個好的候選人，我們想採取積極的立場來嘗試繼續投資。

As to the past investment, well, the time is still premature to evaluate how we did it. But as to the past investment projects, the estimation or the quotation or the -- was out of the -- deviated from the strategy, we didn't have such a case. So that was a reflection.

至於過去的投資，嗯，現在評價我們是怎麼做的還為時過早。但對於過去的投資項目，估計或報價或--超出--偏離策略，我們沒有這樣的案例。所以這是一種反思。

Well, time is running out. So the next question will be the last one for this Q&A session from Newsweek's [Hiraoka-san].

好吧，時間不多了。所以下一個問題將是新聞周刊[Hiraoka-san]本次問答環節的最後一個問題。

My name is [Hiraoka] from NewsPics. Do you hear me?

我的名字是來自 NewsPics 的 [Hiraoka]。你聽到我了嗎？

Yes, we hear you.

是的，我們聽到了。

My first question as a midterm forecast. In the past, operating cash flow and ROE were disclosed as an indicator, but now you are talking about adjusted EBITDA as a KPI. Operating cash flow and EBITDA are closer in concept. What's the difference between these two? What's the background of adopting EBITDA this time?

我的第一個問題是中期預測。過去，經營現金流和ROE是作為指標披露的，但現在你說的是調整後的EBITDA作為KPI。經營現金流和 EBITDA 在概念上更接近。這兩者有什麼區別？這次採用EBITDA的背景是什麼？

Now at Sony, there are many businesses with creativity. Those investments not included in the investment cash flow seems to be increasing, for example, recruiting talents with creativity is one such example. That can push up the personnel cost and this is not exactly investment from us, an investor's viewpoint, as an advanced investment that may have the impact on your balance sheet or financial statements. Where should we focus? At Sony, what's your idea on the investment?

現在在索尼，有許多具有創造力的企業。那些不包括在投資現金流中的投資似乎在增加，例如，招聘具有創造力的人才就是一個例子。這可能會推高人員成本，從投資者的角度來看，這並不完全是我們的投資，因為它可能會影響您的資產負債表或財務報表。我們應該把重點放在哪裡？在索尼，您對投資有何想法？

Second question is about your Game business, at least from PlayStation 2 to 3 and from PlayStation 3 to PlayStation 4, as the generation is upgraded, the level -- profit level declined. Probably the hardware sales towards the end of its life cycle was down. And in the beginning, the cost was higher. Now from PlayStation 4 to PlayStation 5, I think the level of profit remained at a high level. What's the difference from the past practice? Probably network service may be the main driver? But as you look back on this PlayStation's history, could you comment on this?

第二個問題是關於你的遊戲業務，至少從PlayStation 2到PlayStation 3，從PlayStation 3到PlayStation 4，隨著一代的升級，水平——利潤水平下降了。可能在其生命週期結束時的硬件銷售下降了。而且一開始，成本更高。現在從PlayStation 4到PlayStation 5，我認為利潤水平保持在高水平。與以往的做法有什麼不同？可能網絡服務可能是主要驅動力？但是當你回顧這個 PlayStation 的歷史時，你能對此發表評論嗎？

Thank you. I think you gave me 2 or 3 questions.

謝謝你。我想你給了我兩三個問題。

First about KPI. From operating cash flow to ROE to adjusted EBITDA, why did we change? In concept, they are very similar to each other. However, it can be used in a different way. The operating cash flow, for example, in a certain period of time, you have to look at tax and working capital. These 2 may affect the cash flow. So there's a lag of time period. So on a long-term basis, we can have a good view. But if you look at a certain period of time, these 2 factors affect too much and difficult to use.

首先關於KPI。從經營現金流到ROE再到調整後的EBITDA，我們為什麼要改變？在概念上，它們彼此非常相似。但是，它可以以不同的方式使用。以經營現金流為例，在一定時期內，你要看看稅收和營運資金。這兩個可能會影響現金流。所以有一個時間段的滯後。所以從長遠來看，我們可以有一個很好的看法。但是如果看某個時間段，這2個因素影響太大，不好用。

Another thing is that because Financial Services is now wholly owned and they don't have the operating cash flow idea, so the Financial Services is consolidated now. And then because of this, adjusted EBITDA would be easier to use and give us a clearer view. That's why we chose EBITDA.

另一件事是，因為金融服務現在是全資擁有的，他們沒有經營現金流的想法，所以現在金融服務被合併了。然後正因為如此，調整後的 EBITDA 將更易於使用並為我們提供更清晰的視圖。這就是我們選擇 EBITDA 的原因。

Now ROE, when profitability was low and the capital efficiency had difficulties, then we had to look at ROE and use it as KPI. However, our profitability has improved and the balance sheet has improved. Therefore, ROE, itself, is now rather than calling it KPI, we just recognize the cost of capital as a hurdle rate to look at each one of the businesses. I think that's more important for us.

現在ROE，當盈利能力低，資金效率有困難的時候，我們就不得不看ROE，把它作為KPI。然而，我們的盈利能力有所改善，資產負債表也有所改善。因此，ROE 本身現在不是稱其為 KPI，我們只是將資本成本視為查看每項業務的障礙率。我認為這對我們來說更重要。

Now about acquiring talents, excellent human resources. In order to attract them, we need investment. But for this, where do we look on our financial statements or balance sheet? There's a cash compensation and there's stock equity-based awards. In order to attract good talents, we need to launch appealing projects or programs, various things. But for us, we want talented people to come and we want to be such a company which attracts those talented people.

現在關於獲取人才，優秀的人力資源。為了吸引他們，我們需要投資。但為此，我們在哪裡查看我們的財務報表或資產負債表？有現金補償，也有基於股票的獎勵。為了吸引優秀的人才，我們需要推出吸引人的項目或計劃，各種各樣的東西。但對我們來說，我們希望有才華的人來，我們希望成為這樣一家吸引那些有才華的人的公司。

The investment in human resources, the focus is not on the number of people. We want to target people with high talent in recruitment. I think going forward, that's the direction we are going.

對人力資源的投資，重點不在人數上。我們希望以人才為目標的人才招聘。我認為未來，這就是我們前進的方向。

Now the past PlayStation, when there was a change of generation, the level of profit declined oftentimes, as you rightly said, because of the increase in network service and we carry on the customer base from the older generation to the new generation. So in case of PS4 and PS5, we secured compatibility so the users can enjoy seamlessly. So this is what we intended to achieve.

現在過去的PlayStation，在換代的時候，利潤水平經常下降，你說得對，因為網絡服務的增加，我們將老一代的客戶群延續到新一代。因此，對於 PS4 和 PS5，我們確保了兼容性，以便用戶可以無縫享受。所以這就是我們想要實現的目標。

Now hardware's profitability, we take that into consideration so that we shouldn't have a very drastic negative margin. And that's why this segment contribute to the group's overall profitability. Thank you.

現在硬件的盈利能力，我們考慮到這一點，所以我們不應該有一個非常劇烈的負利潤率。這就是為什麼這個部門有助於集團的整體盈利能力。謝謝你。

Now it is time to conclude the Q&A session with the media people. To change the responders, the Q&A session with analysts will start at 4:50 p.m.

現在是時候結束與媒體人的問答環節了。為了改變響應者，與分析師的問答環節將於下午 4:50 開始。

(Break)

（休息）

We will begin a Q&A session with analysts and investors shortly. Please wait just for a few minutes until resumption.

我們將很快開始與分析師和投資者的問答環節。請等待幾分鐘，直到恢復。

Thank you for waiting. We would like to answer questions from investors and analysts. I will serve as the moderator. My name is Hayakawa with Finance and IR. The responders are Executive Deputy President, Chief Financial Officer, Senior Vice President, Totoki; Senior Vice President in charge of Corporate Planning and Control and Finance and IR, Naomi Matsuoka; Senior Vice President, Senior General Manager, Global Accounting Division, Hirotoshi Korenaga. (Operator Instructions)

謝謝你的等待。我們想回答投資者和分析師的問題。我將擔任主持人。我的名字是Hayakawa，財務和IR。響應者是執行副總裁、首席財務官、高級副總裁 Totoki；負責企業企劃、財務、IR的高級副總裁松岡直美； Hirotoshi Korenaga 全球會計部高級副總裁兼高級總經理。 （操作員說明）

We're going to call the questioner. And when your name is called, please start speaking. (Operator Instructions)

我們要打電話給提問者。當你的名字被叫到時，請開始說話。 （操作員說明）

JPMorgan Securities, Ayada-san, please.

摩根大通證券，綾田先生，請。

Ayada with JPMorgan. I have 2 questions, if I may. Question one, about I&SS. Wafer, the input and capacity, what's the track record and also outlook about capacity at the end of the year. If you have the number, we appreciate that.

摩根大通的綾田。如果可以的話，我有 2 個問題。問題一，關於 I&SS。晶圓，投入和產能，往績記錄如何，以及年底產能展望。如果您有電話號碼，我們將不勝感激。

And relatedly, Totoki-san earlier on said fiscal '21 you have a good outlook, prospect for recovery for volume. But with respect to improvement of product mix, what is your, well, view? In the second half, are you going to have larger, well, products qualitatively? So if you see -- have any prospect?

與此相關的是，Totoki-san 早些時候在 21 財年表示，您的前景良好，銷量有望恢復。但是關於產品組合的改進，你的看法是什麼？下半年，你會在質量上擁有更大的產品嗎？所以，如果你看到 - 有任何前景嗎？

Question two, in the MRP 4, the adjusted EBITDA of JPY 4.3 trillion. Just thinking around it, if possible, in this fiscal year, based on the plan, the adjusted EBITDA, what is it? And the pretax profit, that's JPY 900 billion-plus. And D&A, that's JPY 450 billion. So perhaps JPY 1.4 trillion or JPY 1.5 trillion. But I would like to ask you about the number. If it's JPY 1.4 billion, JPY 1.5 trillion, then in terms of math, in 3 years, it will be flat, it appears. So in 3 years, the growth -- or beyond that, how do you look at the growth?

問題二，在 MRP 4 中，調整後的 EBITDA 為 4.3 萬億日元。只是想一想，如果可能的話，在這個財政年度，根據計劃，調整後的EBITDA是什麼？而稅前利潤，也就是9000億日元以上。而 D&A，也就是 4500 億日元。所以可能是 1.4 萬億日元或 1.5 萬億日元。但是我想問一下你的號碼。如果是 14 億日元，1.5 萬億日元，那麼從數學上來說，3 年後，它似乎是持平的。所以在 3 年內，增長 - 或超過此，您如何看待增長？

So in terms of adjusted EBITDA, well, with respect to the balance, with the growth, if you have any message to the market, I'd be appreciative to hear that.

因此，就調整後的 EBITDA 而言，關於平衡和增長，如果您對市場有任何信息，我將不勝感激。

Thank you for your question. Two questions. The first question is with respect to I&SS, early wafer input and the capacity and product mix improvement prospect, qualitative point, in my understanding. And your second question, adjusted EBITDA. Based on this fiscal year's plan, what would be the level of EBITDA.

謝謝你的問題。兩個問題。第一個問題是關於 I&SS、早期晶圓投入以及產能和產品組合改進前景、定性點，據我了解。你的第二個問題是調整後的 EBITDA。根據本財政年度的計劃，EBITDA 的水平是多少。

So first, to answer your first question. Regarding capacity, in fiscal '20, in Q4, at the end of Q4, the mask -- well, installation, it's about 139,000. That was the capacity. And the previously, it was 131,000. So it's up. The plan was to start operating it in April. But because of, well, earlier preparation, we started the operation partially. That's why we have this number. And in fiscal '21, at the end of Q1, it will be 141,000 in our prospect.

所以首先，回答你的第一個問題。關於產能，在 20 財年第四季度，第四季度末，口罩——嗯，安裝，大約是 139,000 個。那就是能力。而之前，它是131,000。所以它起來了。該計劃原定於 4 月開始運營。但是因為，嗯，早有準備，我們開始了部分操作。這就是為什麼我們有這個數字。在 21 財年，在第一季度末，我們的前景將是 141,000。

So what about the increased capacity? Well, increased -- or the building for increase, that's just for some production lines. So that doesn't mean -- it doesn't mean that there going to be huge a increase in the capacity.

那麼增加的容量呢？嗯，增加了——或增加的建築物，這只是一些生產線。所以這並不意味著 - 這並不意味著容量會大幅增加。

With respect to the wafer input in, well, 4Q, the track record was 128,000. That's the average, well, simple math. It was expected. And our in-house capacity is in full operation.

就第四季度的晶圓投入而言，往績記錄為 128,000 片。這是平均的，嗯，簡單的數學。這是意料之中的。我們的內部產能正在全面運作。

And in fiscal '21, in Q1, the wafer input, the 3-month average is 138,000. And again, in-house capacity is expected to be in full production. We have a lot of inquiries these days. In addition, in fiscal '21, the -- well, in preparation for the shipment of new models of smartphone, we are increasing our production.

而在 21 財年第一季度，晶圓投入量，3 個月平均為 138,000 片。同樣，內部產能預計將全面投產。這些天我們有很多詢問。此外，在 21 財年，為了準備新型號智能手機的出貨，我們正在增加產量。

With respect to the prospect of product mix improvement, in fiscal '21, in the second half of this fiscal year, 0.7, well, a small product will pick up. And so when it picks up in fiscal '22, higher value-added types will be launched. That is the prospect at this moment. So with respect to product mix improvement, that is the idea that we have.

關於產品結構改善的前景，'21財年，本財年下半年，0.7，嗯，一個小產品會回升。因此，當它在 '22 財年回升時，將推出更高附加值的類型。這就是此刻的前景。所以關於產品組合的改進，這就是我們的想法。

Also about adjusted EBITDA, well, this is just a ballpark. Please understand it's just proximation. But in fiscal '21, it should be JPY 1.3 trillion in fiscal '21. But in a single year, well, evaluation of that in a single year, given our, well, mid- and long-term plan, well, we should look at it -- we should look at the total. So if you just look at a single year, we'll launch something. That kind of a discussion should not be done in my view.

關於調整後的 EBITDA，嗯，這只是一個大概。請理解這只是接近。但在 21 財年，在 21 財年應該是 1.3 萬億日元。但是在一年內，嗯，在一年內進行評估，考慮到我們的中長期計劃，嗯，我們應該看看它 - 我們應該看看總量。所以如果你只看一年，我們就會推出一些東西。在我看來，這種討論不應該進行。

SMBC Nikko, Mr. Katsura, please.

SMBC Nikko，Katsura 先生，請。

I hope you can hear me.

我希望你能聽到我的聲音。

Yes.

是的。

Music is something I have one question about and the second one I have a question on, semiconductor. In Music, as Mr. Totoki explained at the media and platform, the profit, about 30% of that is related to this Aniplex. But anyway, according to this year's plan, what is the assumption? Is it that the more optimal solution will be chosen? But in this fiscal term, what's your philosophy and idea? That's my idea on this.

音樂是我的一個問題，第二個問題是半導體。在 Music 方面，正如 Totoki 先生在媒體和平台上解釋的那樣，利潤中，大約有 30% 與這個 Aniplex 相關。但無論如何，按照今年的計劃，假設是什麼？是否會選擇更優的解決方案？但是在這個財政期間，你的理念和想法是什麼？這就是我對此的想法。

The second question is related to semiconductor investment philosophy. For this fiscal -- over the upcoming 3-year plan of investment, could you -- and that's what you have given us, some of the ideas. But about 6 months ago or maybe 3 months ago or so, compared to that timing, more active stance -- you have shifted to more active investment. Could you please give us a background for that investment? By that investment, how is market share or the capacity share that you'd like to achieve? Now the details will be explained at the IR meeting with regard to the MRP 3 -- 4.

第二個問題與半導體投資理念有關。對於本財年——在即將到來的 3 年投資計劃中，你能不能——這就是你給我們的一些想法。但大約 6 個月前或 3 個月前左右，與那個時機相比，更積極的立場——你已經轉向更積極的投資。您能否介紹一下這項投資的背景？通過這項投資，您希望獲得的市場份額或產能份額如何？現在將在 IR 會議上解釋有關 MRP 3-4 的詳細信息。

Thank you for your question. Music, the percentage of media platform for 2020, about 30%. That's something we have indicated to you. When you break it down to that breakdown, naturally, you hear the version of the Demon Slayer is a big hit. So in 2021, it doesn't happen again. And mobile game as well, the content was very good. So there could be deceleration in that area. And those factors -- excluding those factors, JPY 11.9 billion is income from the sales of the business, transfer of business. Taking that into account, year-on-year, JPY 14 billion or so is the reduction. So that is a reduction to be felt.

謝謝你的問題。音樂，2020 年媒體平台的百分比，約為 30%。這是我們已經向您表明的。當你把它分解到那個細分時，你自然會聽到惡魔殺手的版本很受歡迎。所以在2021年，它不會再發生了。和手機遊戲一樣，內容非常好。因此，該地區可能會出現減速。還有那些因素——不包括那些因素，119億日元是來自業務銷售、業務轉讓的收入。考慮到這一點，同比減少140億日元左右。所以這是一種減少的感覺。

So anyway, when you compare overall the income, of course, the other part will enjoy the growth. That is thanks to the increase of the revenue from the streaming. And that's how we see the growth of the profit.

所以無論如何，當你比較整體收入時，當然，另一部分會享受增長。這要歸功於流媒體收入的增加。這就是我們看到利潤增長的方式。

As to the I&SS, this is area last year, 2020, fiscal 2020, there was original planned investment and I explained to you earlier. But some of the investment plan was postponed to the future. As of now, 2022 and afterwards, there is strong demand we expect. So in that sense, some of the capital investment in 2020 and afterward, some are to be implemented as well. So this is JPY 283 billion, JPY 283 billion. And 2020, the volume share is recovered and we are almost to achieve it till 2022. Further strength of ours will be achieved. In other words, we will get this profit and then the sales. And we need to have a capacity prepared to produce. So that's why we started to invest for the capacity building and additional facilities.

至於I&SS，這是去年，2020，2020財年的區域，有原計劃的投資，我之前給你解釋過。但部分投資計劃被推遲到了未來。截至目前，2022 年及之後，我們預計會有強勁的需求。所以從這個意義上說，2020年及之後的一些資本投資，也有一些要落實。所以這是2830億日元，2830億日元。到2020年，銷量份額恢復，到2022年我們幾乎可以實現。我們的實力將進一步增強。換句話說，我們將獲得這個利潤，然後是銷售額。我們需要準備好生產的能力。所以這就是我們開始投資能力建設和額外設施的原因。

And as of now, in the fourth term, the final year capacity and its size, we expect -- it's not a simple increase of the capacity for investment. But rather, we are shifting to the high value-added products. The process itself need to be increased and enhanced. Investment in there is quite voluminous. And then by enlarging the size, it might change.

截至目前，在第四個任期內，我們預計最後一年的產能及其規模 - 這不是簡單的投資能力增加。相反，我們正在轉向高附加值的產品。該過程本身需要增加和增強。那裡的投資相當龐大。然後通過擴大尺寸，它可能會改變。

So when we talk about the relation between capacity and then investment, it's not a linear relationship. So we cannot specifically just talk about capacity because of the complexity.

所以當我們談論產能和投資之間的關係時，它不是線性關係。因此，由於復雜性，我們不能專門談論容量。

From Mizuho Securities, Nakane-san, please.

瑞穗證券，中根先生，請。

Nakane speaking. Two questions. First, in the text about the Games, what I wanted to ask, hardware, software, network, if you divide this, what would be the profit for each? And the backdrop, the contributing factor is the improvement in hardware. PS5 and peripherals may give this uplift. When the volume is increasing, the gross deficit may increase. That will push down, we thought, the level of profit. But the network profit is not included. What would you say?

中根說話。兩個問題。首先，在關於遊戲的文字中，我想問的是，硬件、軟件、網絡，如果你把這個分開，每個人的利潤是多少？在此背景下，促成因素是硬件的改進。 PS5 和外圍設備可能會帶來這種提升。當數量增加時，總赤字可能會增加。我們認為，這將降低利潤水平。但不包括網絡利潤。你打算說什麼？

Second, R&D is JPY 610 billion, which is a large increase. You talked about I&SS, but any other areas that there will be an increase under MRP -- in the new MRP?

二是研發6100億日元，增幅較大。您談到了 I&SS，但是在 MRP 下會增加的任何其他領域——在新的 MRP 中？

Thank you very much for your questions. First about the Game & Network Service, I couldn't really hear you clearly. So let me confirm. We improved the profitability of hardware. When the PS5 unit sales increases, that may lower the profitability. Was that what you're asking? Including the peripherals, probably you could achieve the profitability. That's what I thought.

非常感謝您的提問。首先關於遊戲和網絡服務，我聽不清楚。所以讓我確認一下。我們提高了硬件的盈利能力。當 PS5 單位銷量增加時，這可能會降低盈利能力。那是你問的嗎？包括外圍設備，大概可以實現盈利。我也那麼認為。

Now profitability -- profit contribution of hardware in FY '20, inclusive of the peripherals, is positive. That's what we have been saying. And then the amount of the contribution in this fiscal '21 will be about the same or even above the previous year's level. That's the assumption of the plan. Why is it the case? Compared to last year, PS5's profitability will improve. That's how we forecast. That's why this change will be brought about.

現在盈利能力——包括外圍設備在內的 20 財年硬件的利潤貢獻是積極的。這就是我們一直在說的。然後，本財年 '21 的捐款金額將與上一年的水平大致相同甚至更高。這是計劃的假設。為什麼會這樣？與去年相比，PS5 的盈利能力將有所提升。我們就是這樣預測的。這就是為什麼會帶來這種變化。

Second question about R&D expense. Your question about the R&D cost, on a consolidated basis, as you rightly say, JPY 610 billion from the -- compared to the previous year, it is an increase by more than JPY 80 billion. Game & Network Services, EP&S and I&SS, every segment increased. Game & Network Services, the development cost increased by JPY 20 billion, and that had the impact. Also, I&SS, JPY 25 billion or so increase is expected. And the remainder will come from EP&S. Thank you.

第二個關於研發費用的問題。您關於研發成本的問題，正如您正確所說的那樣，與上一年相比，增加了 6100 億日元，增加了 800 億日元以上。遊戲和網絡服務、EP&S 和 I&SS，每個細分市場都有所增長。 Game & Network Services，開發成本增加了200億日元，產生了影響。此外，I&SS 預計將增加 250 億日元左右。其餘的將來自 EP&S。謝謝你。

Now we're running out of time. So the next question will be the last question. Morgan Stanley, we have Ono-san.

現在我們的時間不多了。所以下一個問題將是最後一個問題。摩根士丹利，我們有小野先生。

My name is Ono with Morgan. First, well, this may overlap somewhat with Nakane-san's question. Game & Network, JPY 17.2 billion reduction in profit. The game development expense, that's about JPY 20 billion. I think you said that in your comment. But the positive factors and negative factors in terms of scale, could you give us more hint? And on content, negative factor, game development, the in-house software and also the hardware as related with Nakane-san's question. So that's my first question.

我的名字是小野和摩根。首先，嗯，這可能與中根桑的問題有些重疊。 Game & Network 利潤減少 172 億日元。遊戲開發費用，約200億日元。我想你在評論中說過。但從規模上看正面因素和負面因素，能否給我們更多提示？關於內容，負面因素，遊戲開發，內部軟件以及與Nakane-san問題相關的硬件。所以這是我的第一個問題。

Ono-san if you could also give us your second question.

如果您也可以給我們第二個問題，小野先生。

My second question, EP&S, JPY 13.9 billion reduction in profit. Well, if possible, by product category, the sequence, what are the items, if you could explain that.

第二個問題，EP&S，利潤減少139億日元。好吧，如果可能的話，按產品類別、順序、項目是什麼，如果你能解釋的話。

Thank you For your questions. Now with respect to Game & Network service fiscal '21 reduction in profit, positive factors, negative factors. That's what you would like to know. Now we're including some qualitative aspects, I would like to give you an answer.

謝謝你的問題。現在關於 Game & Network 服務 '21 財年利潤減少，正面因素，負面因素。這就是你想知道的。現在我們包括一些定性方面，我想給你一個答案。

Number one, as I have been saying all along, with respect to hardware, basically, we are moving positively the entire hardware. We ask you to look at it positively. And including investment in studio, the development of games, we're going to increase that. So that's part of investment that will increase.

第一，正如我一直在說的，關於硬件，基本上，我們正在積極推動整個硬件。我們要求您積極地看待它。包括對工作室的投資，遊戲的開發，我們將增加這一點。所以這是投資的一部分，將會增加。

And third-party software reduction in profit, we do anticipate it somewhat. But again, last fiscal year, first quarter, I think, well, it just increased dramatically because of stay-at-home demand last year. So I think we have to discount it. I think that's a reasonable way to look at it.

而第三方軟件利潤的減少，我們確實有所預料。但同樣，上一財年第一季度，我認為，由於去年的居家需求，它剛剛急劇增加。所以我認為我們必須打折。我認為這是一種合理的看待它的方式。

So that's the way we should look at it. And the end result of our calculation is that. I think that is some -- one way to look at it. Regarding currency, I think that should work positively.

所以這就是我們應該看待它的方式。我們計算的最終結果就是這樣。我認為這是一些 - 一種看待它的方式。關於貨幣，我認為這應該是積極的。

And EP&S, EP&S increase in profit by product categories. Well, it's not all that complex. From camera, the increased profit and revenue coming. Well, last year, because of pandemic, the negative impact was given on the digital camera. And here, we are on a path for recovery. And by country, it differs. But the pandemic as it abates, there are strong products and they will, again, grow. Thank you.

而EP&S、EP&S按產品品類增加利潤。好吧，這並不是那麼複雜。從相機來看，利潤和收入的增加即將到來。那麼去年因為大流行，給數碼相機帶來了負面影響。在這裡，我們正走在復甦的道路上。根據國家/地區，情況有所不同。但是，隨著大流行的消退，有強大的產品，它們將再次增長。謝謝你。

Now -- thank you. Now it's time to close it. We would like to conclude the Sony Group Corporation's financial results briefing. Thank you for your participation today.

現在——謝謝。現在是時候關閉它了。我們想結束索尼集團公司的財務業績簡報。感謝您今天的參與。

[Statements in English on this transcript were spoken by an interpreter present on the live call.]

[本成績單上的英文陳述由現場通話中的一名口譯員說出。]