MUMBAI: Japanese media and electronics major Sony has announced its financial results for the year ended 31 March, 2006.

Net income fell 24.5 per cent to $1.06 billion, while revenues were up 4.4 percent to $63.9 billion and operating income jumped by 68 per cent to $1.64 billion.

Investment gains and the good performance of flat television sets were responsible for the good operating income results. But, start-up costs for the PlayStation 3 will affect the game division and push it deep into the red.

At the gaming division, revenues were up 31.4 percent to $8.2 billion, but operating income fell by 80 per cent to $75 million

At Sony Pictures Entertainment, revenues were up just 1.7 per cent to $6.4 billion, while operating income dropped 57.1 per cent to $234 million. The company attributed the slump to lower worldwide theatrical and home entertainment revenues on feature films, which partially offset an increase in television product revenues.

The increase in television revenues is due to higher advertising and subscription sales from several of SPE's international channels, higher sales of television library product and the extension of a licensing agreement for Wheel of Fortune.