Question · Q2 2026
Ezawa from Citigroup Securities asked for more details on the game segment's R&D, capital, and expenses, specifically regarding a capitalization correction, whether it relates to specific titles, and if such occurrences are expected more often. Ezawa also inquired about the scale of asset capitalization for game development, noting that depreciation of development assets might not be fully reflected in the supplementary presentation, and asked about the annual value of capitalized game development assets.
Answer
Hirotoshi Korenaga, Senior Vice President in Charge of Accounting, clarified that the correction was not an impairment but a retroactive adjustment for network development costs mistakenly capitalized instead of expensed, assuring operational improvements would prevent recurrence. Korenaga explained that game depreciation follows rules, not all games are capitalized, and the annual value of capitalized game development assets is in the tens of billions of JPY, with depreciation starting upon content launch.
Ask follow-up questions
Fintool can predict
SONY's earnings beat/miss a week before the call