Sony Group Corporation (NYSE:SONY) Q3 2022 Earnings Call Transcript

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Daisuke Ishii: Now, next question. The person in the middle, second row, from line from the top, from the front.

Unidentified Analyst: Each present had a slogan is focusing upon manufacturing and sales. Yoshida is to become closer to people. What is the slogan that you have in mind?

Kenichiro Yoshida: Thank you for your question. I’m focusing upon growth, business and company. If growth is stagnant in various ways, one tends to fall into negative spiral. Therefore, I am focusing upon growth and realize growth, as I said in my speech, to be chosen by customers and energized people and positive spiral is to be created. So in short, it is the growth. Thank you.

Daisuke Ishii: Next question, please. The person in the middle row, second from the front, to the left side from this side.

Unidentified Analyst: Thank you very much for this opportunity, from Nikkei. And I would like to ask a question about the necessity of COO, this as in the comment by Mr. Sumi about the necessity of the COO, there was a discussion in the board and in the past, in the era, there was the CEO and the COO separate, and there was the split between the CEO and COO under Howard Stringer and whether they functioned or not, there’s another question, but so in order to maintain the forces, I think it may be a difficult question to answer, but when you have the CEO and COO, there are some views that may be better to be separated in terms of the functions, what do you think?

Kenichiro Yoshida: Well, our Sony’s management, well, myself is not so much their one top management. I am part of their management team, and that’s what we have been demonstrating as management of our business. So with that, as I mentioned, external landscape, there are major changes happening, the geopolitical risks and also acceleration of technology. And then also these positions move our independent position while valuing the independents, we together think about the business, to business collaboration and also the business portfolio improvement. So, we all — the management team needs the deep understanding of the external environment. Of course, Mr. Totoki has a deep understanding of the external landscape. And with this titles of the COO and CFO and he can bring it to the higher level of the understanding and elevate it to the higher level, his understanding of the external landscape. Next question, please.

Daisuke Ishii: And I would like to take questions in the middle row, the second from the front.

Unidentified Analyst: My name is Nishita , Freelance Journalist. I have questions and the CEO, and its positions. So in terms of the strengthening of the product portfolio is quite well understood, but would you please be a bit more specific, what we want to do? So Yoshida leadership and Totoki leadership, what they will be and how each of you would like to work for Sony Group.

Kenichiro Yoshida: And probably Totoki will make another comment, and that’s for the details, and that’s subject to the discussions from now on. But as for business structures, we have six segments of businesses and we have to maintain and let them glow. But as for the discipline of the corporate management, we should regularly check, whether or not, those portfolios and segments are optimum. That should be the role of the Board of Directors and the Management. That’s my ideas. So I’d like to make some additional comments for the questions. As for the business portfolio, should not be a static. That should be dynamic. And the diversified business means the different harvesting cycles. So, we need a cyclical revisiting, and the reviews of those business portfolios also still be update, and we need enormous power to do so.

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