Sony has released its results for the latest financial quarter , and cut its annual profit forecasts by 40 percent.

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This is largely due to struggles in the TV, movie and smartphone markets, though the games sector remains stable and the company has optimistically increased its projection for console sales.But despite year-on-year figures being up for the games division, it made a loss of $8 million in the three month period ending September 30, with blame for this being laid at the door of a price cut for the Vita and a decrease in sales of console hardware."Operating loss of 0.8 billion yen (8 million U.S. dollars) was recorded, compared to operating income of 2.3 billion yen in the same quarter of the previous fiscal year. This year-on-year decline was primarily due to the impact of a strategic price reduction for the PlayStation Vita and the unfavorable impact of foreign exchange rates, partially offset by the above-mentioned increase in software unit sales," an accompanying report reads."The decrease in sales on a constant currency basis was primarily due to a decrease in unit sales of PlayStation 2, PlayStation 3 and PSP hardware, partially offset by increased PS3 software unit sales compared to the same quarter of the previous fiscal year."The main culprit when it comes to the revised profit projection, however, is the company's movie arm; Sony Pictures was hurt pretty badly by the poor performance of White House Down, especially when compared with how well The Amazing Spider-Man did the year before.With all this in mind, the pressure is really on the company for the PlayStation 4 to perform despite it being sold at a loss . Sony seems optimistic, having increased projections for the console, saying it hopes it will "contribute to profitability from an early stage by diversifying its revenue streams through various network services centred on the PSN and by offering rich user experiences."

Luke Karmali is IGN's UK Junior Editor. You too can revel in mediocrity by following him on IGN and on Twitter