Sony has recorded a wince-inducing impairment loss of ¥120.1 billion ($766 million / £562 million) against Bungie for the financial year ending 2025 (that's the financial year that ended March 31, 2026, for those of us who operate within the confines of mortal, non-business time).
In financial results released today, Sony announced that, following a ¥31.5 billion ($201 million / £148 million) impairment loss against Bungie recorded in the second quarter of FY2025, it had recorded an additional ¥88.6 billion ($566 million / £415 million) impairment loss in the final quarter of the 2025 financial year. That's—hang on, let me check my maths—yep, a ¥120.1 billion loss overall.
If you had the good fortune not to study economics or business, an impairment loss is the term for an unexpected decrease in an asset's value versus its 'book' value. That is to say, if I own a videogame studio and record its value at $50 million, but someone reveals the Videogame-Bot 5000, which can develop games in a quarter of the time, my studio would suffer an impairment loss—that change in the conditions ...
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