Financial risk management (Tables)

12 Months Ended

Mar. 31, 2026

Summary of Capital Risk Management Indicator Return on Equity

Sony refers to Return on Equity (“ROE”) as an indicator for capital risk management in the light of ensuring financial soundness.


	March 31
	2025			2026
ROE*		13.5	%		12.6	%

* ROE is calculated using equity attributable to Sony Group Corporation’s stockholders and net income from continuing operations attributable to Sony Group Corporation’s stockholders, and the ROE for the fiscal year ended March 31, 2025 has also been represented accordingly.

Summary of Maturity Analysis for Non-Derivative and Derivative Financial Liabilities

The following table summarizes Sony’s financial liabilities as of March 31, 2025 and 2026.


	Yen in millions
	March 31, 2025
	Carrying amount		Total		Within 1 year		1 year to 2 years		2 years to 3 years		3 years to 4 years		4 years to 5 years		5+ years
Deposits from customers in the banking business *1,2		4,243,962		4,281,915		4,006,600		96,834		11,141		2,692		10,596		154,052
Bonds		664,390		688,245		114,299		128,972		103,488		93,160		162,927		85,399
Borrowings		2,934,386		2,971,250		1,934,886		264,847		233,755		157,629		21,521		358,612
Loan commitments		-		27,564		27,564		-		-		-		-		-
Derivative liabilities *3		154,526		155,095		21,479		121,611		3,173		2,693		2,340		3,799
Guarantee deposits received		45,017		45,017		31,866		100		21		7		6		13,017
Redeemable noncontrolling interests		52,963		53,750		10,912		21,588		4,447		3,405		2,287		11,111


	Yen in millions
	March 31, 2025
	Carrying amount	Total		Within 1 year		1 year to 2 years		2 years to 3 years		3 years to 4 years		4 years to 5 years
Lease liabilities	599,470		712,098		115,608		107,197		94,233		75,125		67,715

		5 years to 6 years		6 years to 7 years		7 years to 8 years		8 years to 9 years		9 years to 10 years		10+ years
			52,376		42,763		34,114		25,860		21,529		75,578

*1	Demand deposits are included in the “Within 1 year” category.

*2	As a result of the execution of the Partial Spin-off of the Financial Services business, SFGI, which operates the Financial Services business, has been excluded from consolidation. Therefore, there is no balance of deposits from customers in the banking business as of March 31, 2026.

*3	Breakdown of net settlements and gross settlements in the derivative liabilities are presented below.


	Yen in millions
	March 31, 2025
	Total		Within 1 year		1 year to 2 years		2 years to 3 years		3 years to 4 years		4 years to 5 years		5+ years
Derivative contracts
-Net settled
Paid		155,095		21,479		121,611		3,173		2,693		2,340		3,799
Derivative contracts
-Gross settled
Received		-		-		-		-		-		-		-
Paid		-		-		-		-		-		-		-


	Yen in millions
	March 31, 2026
	Carrying amount		Total		Within 1 year		1 year to 2 years		2 years to 3 years		3 years to 4 years		4 years to 5 years		5+ years
Bonds		474,343		490,794		128,224		92,759		62,450		121,962		1,155		84,244
Borrowings		567,643		638,704		109,081		69,467		160,433		16,977		151,655		131,091
Derivative liabilities *1		70,216		70,216		70,216		-		-		-		-		-
Guarantee deposits received		7,812		7,812		-		309		25		10		10		7,458
Redeemable noncontrolling interests		78,568		81,194		37,485		9,995		1,974		9,344		1,640		20,756


	Yen in millions
	March 31, 2026
	Carrying amount	Total		Within 1 year		1 year to 2 years		2 years to 3 years		3 years to 4 years		4 years to 5 years
Lease liabilities	627,683		722,527		115,801		106,678		97,209		84,213		67,155

		5 years to 6 years		6 years to 7 years		7 years to 8 years		8 years to 9 years		9 years to 10 years		10+ years
			55,337		47,266		36,423		31,878		27,073		53,494

*1	Breakdown of net settlements and gross settlements in the derivative liabilities are presented below.


	Yen in millions
	March 31, 2026
	Total		Within 1 year		1 year to 2 years		2 years to 3 years		3 years to 4 years		4 years to 5 years		5+ years
Derivative contracts
-Net settled
Paid		70,216		70,216		-		-		-		-		-
Derivative contracts
-Gross settled
Received		-		-		-		-		-		-		-
Paid		-		-		-		-		-		-		-

Summary of Foreign Exchange Risk Exposures

The net amount of Sony’s exposure to foreign exchange risk mainly includes the following. Foreign exchange risk exposures that are mitigated by the use of derivatives are excluded.


	Yen in millions
	March 31
	2025			2026
U.S. dollar		143,720			61,391
Euro		(2,903	)		(4,651	)

*	Net exposures resulting in a liability are presented as negative and net exposures resulting in an asset are presented as positive.

Summary of Changes in Loss Allowances

(a)	Changes in the loss allowances

Trade and other receivables, and contract assets including

non-current

other receivables in the Pictures segment


	Yen in millions
	Lifetime expected credit losses
	Fiscal year ended March 31
	2025			2026
Balance at beginning of the fiscal year		33,066			26,847

Changes due to financial assets recognized at beginning of the fiscal year:
- Financial assets that have been derecognized		(1,843	)		(578	)
New financial assets originated or purchased		9,408			8,486
Write-offs		(11,936	)		(4,900	)
Changes in models/risk parameters		(1,400	)		1,801
Foreign exchange and other movements		(448	)		1,896

Balance at end of the fiscal year		26,847			33,552

Debt Securities


	Yen in millions
	12-month expected credit losses *1
	Fiscal year ended March 31
	2025			2026
Balance at beginning of the fiscal year		58			61

Changes due to financial assets recognized at beginning of the fiscal year:
- Financial assets that have been derecognized		(3	)		-
New financial assets originated or purchased		9			-
Changes in models/risk parameters		(3	)		-
Foreign exchange and other movements *2		-			(61	)

Balance at end of the fiscal year		61			-

*1	For all debt securities, Sony considers that the credit risk has not increased significantly since initial recognition, and therefore the loss allowance is measured at an amount equal to 12-months of expected credit losses.

*2	The figures for the fiscal year ended March 31, 2026 include the impact of the deconsolidation of SFGI, which operates the Financial Services business, resulting from the execution of the Partial Spin-off of the Financial Services business.

The loss allowances for debt securities are for debt securities measured at fair value through other comprehensive income as of March 31, 2025.

Loans


	Yen in millions
	12-month expected credit losses			Lifetime expected credit losses			Total
Balance as of April 1, 2024		277			1,502			1,779

Changes due to financial assets recognized as of April 1, 2024:
- Transfer to lifetime expected credit losses		(2	)		2			-
- Transfer to 12-month expected credit losses		166			(166	)		-
- Financial assets that have been derecognized		(23	)		(156	)		(179	)
New financial assets originated or purchased		32			16			48
Changes in models/risk parameters		(217	)		189			(28	)
Foreign exchange and other movements		-			-			-

Balance as of March 31, 2025 *1		233			1,387			1,620

Changes due to financial assets recognized as of March 31, 2025:
- Transfer to lifetime expected credit losses		-			-			-
- Transfer to 12-month expected credit losses		-			-			-
- Financial assets that have been derecognized		(0	)		(19	)		(19	)
New financial assets originated or purchased		0			64			64
Changes in models/risk parameters		-			-			-
Foreign exchange and other movements *2		(233	)		(356	)		(589	)

Balance as of March 31, 2026 *1		0			1,076			1,076

*1	Loans that are credit-impaired as of March 31, 2025 and 2026 were not significant.

*2	The figures for the fiscal year ended March 31, 2026 include the impact of the deconsolidation of SFGI, which operates the Financial Services business, resulting from the execution of the Partial Spin-off of the Financial Services business.

Summary of Credit Risk Exposure By Risk Rating Grades

(c)	Credit risk exposure by risk rating grades

Credit risk exposure by risk rating grades as of March 31, 2025 and 2026, is as follows:

Trade and other receivables, and contract assets including

non-current

other receivables in the Pictures segment


	Yen in millions
	March 31
	2025		2026
Outstanding receivables by overview period of overdue (Gross carrying amount)
Not past due or due within 30 days		1,972,150		1,831,302
Due over 30 to 90 days		46,897		66,618
Due over 90 days		56,512		49,238

Total		2,075,559		1,947,158


	Yen in millions
	March 31
	2025
Debt securities by credit ratings (Gross carrying amount)
AAA		895,392
AA		3,245,007
A		7,052,650
BBB		27,660
Other		45,849

Total		11,266,558

Summary of Gross Carrying Amount For Loans At Amortized Cost Based On Credit Ratings

The following table shows an analysis of the gross carrying amount for loans measured at amortized cost based on credit ratings by debtors in the banking business in the Financial Services business as of March 31, 2025.


	Yen in millions
	March 31, 2025
	Normal*						Other than Normal						Total
	12-month expected credit losses		Lifetime expected credit losses		Sub total		12-month expected credit losses		Lifetime expected credit losses		Sub total		Total
Loans
Housing loans		3,758,168		525		3,758,693		2,393		2,661		5,054		3,763,747
Other		20,861		322		21,183		7		84		91		21,274

Total		3,779,029		847		3,779,876		2,400		2,745		5,145		3,785,021

*	Normal is defined as borrowers who have strong results and no particular problems with their financial position.

Equity price risk [member]

Statements [Line Items]

Summary of Sensitivity Analysis

The table below shows the effects on income before income taxes and other comprehensive income (before considering the tax effects) as of March 31, 2025 and 2026 if market prices of marketable equity instruments (e.g., stocks) had decreased by 10%.


	Yen in millions
	March 31
	2025			2026
Income before income taxes		(47,269	)		(44,693	)
Other comprehensive income (before considering the tax effects)		(8,114	)		(14,854	)

Currency risk [member]

Statements [Line Items]

Summary of Sensitivity Analysis


	Yen in millions
	March 31
	2025			2026
U.S. dollar		(14,372	)		(6,139	)
Euro		290			465