PlayStation isn't doing so hot right now. Revenue is at an all-time high, with Sony generating a record-breaking $9.76 billion over the holidays. But operating profit is quite low. PlayStation only made $582 million in operating profit during Q3FY23, the lowest period since 2019 and a represented 6% profit margin. Costs are the main reason for the lower operating profit, including the $3.7 billion Bungie buyout alongside rising game budgets. (Transparency: PlayStation's Q3 operating profit also reflects $200 million+ in PS5 console inventory that was shifted to Q4).