Sony Group (6758) Fireside Chat summary

Introduction and agenda

• Presentation led by the President and Group CEO, focusing on the music segment's performance and strategy.

Current industry trends

• Domestic recorded music market shows a shift from physical to digital, with digital revenue growing at a 5.8% CAGR from CY19 to CY24.

• Live music and merchandising revenue for artists has grown at a 22.8% CAGR over the same period.

• International revenue as a percentage of consolidated revenue is targeted to rise to 14% in the 5th mid-range plan.

Innovation and future outlook

• Strategic focus on continuous production of hit songs, global expansion, and strengthening streaming and promotional activities.

• Key initiatives include enhancing dome and arena-scale artists, expanding fan-exclusive campaigns, and leveraging international streaming platforms.

• Anime and game businesses are expanding through new IP development, international collaborations, and maximizing core IP value.

• Solutions business is growing through expanded e-commerce, fan club memberships, and technology collaborations, with fan club members growing at a 25% CAGR.

• Sustainability initiatives include SDGs-themed festivals, improving anime production work environments, and reducing flower waste at live events.

• The 5th mid-range plan emphasizes creativity, business expansion, and global reach.