May 17, 2018
Sony Pictures Entertainment plans to fold the home entertainment unit – Sony Pictures Home Entertainment – into its television unit as it restructures internal operations to cut operating costs.
Downsizing home entertainment comes following the February appointment of television executive Keith Le Goy to oversee SPHE, replacing Man Jit Singh, according to Variety, which cited sources familiar with the situation.
The move – which will affect an unknown number of positions – is part of SPE chairman Tony Vinciquerra’s cost-cutting across the company. Senior executives Andy Kaplan (international channels) and Sheraton Kalouria (marketing) recently departed SPE.
Crackle, SPE’s ad-supported streaming video service, let go 12 staffers – mostly in sales.
In a statement to Variety, Sony declined to address specific cuts, saying Vinciquerrahas “made no secret” the need to strengthen the studio’s overall performance across all business units.
“We have made great strides in our turnaround efforts to date – especially on the film side this last year, with our most profitable slate in a decade – and we are continuing to build on those gains,” SPE said.
Sony Pictures Home Entertainment reported revenue of $290 million in its most-recent fiscal period, which was up nearly 6% from revenue of $274 million during the previous-year period.
Lone home entertainment release in the quarter – box office hit Jumanji: Welcome to the Jungle– was released just 11 days before the end of the fiscal period.
Top-selling discs in the quarter included Spider-Man: Homecoming, which generated $1.7 million in combined DVD/Blu-ray Disc unit sales, according to The-Numbers.com. The title has generated $50 million in disc sales since its Oct. 17, 2017 retail release.