For the period ending June 30th, Microsoft’s Xbox One had been outsold three to one by the PS4. The two consoles which mark a quantum leap in generational terms for the gaming industry launched more or less simultaneously but Sony’s offering has led the sales race from the beginning.

“The PS4’s popularity over the Xbox One can, in part, be traced to the pricing. It carried a sticker price a full $100 below that of the Xbox One, a factor which forced Microsoft to introduce a price cut this summer,” said an Aichi International analyst.

Despite the good news on the games console front, however, Sony is still in the red. It stands to lose $468 million for the financial year which ends in March 2015. It posted net profit of $261 million for the 3 months to June helped by PS4 sales and a weakened yen which makes its products cheaper in export markets.

“The PS4 is a silver lining to the cloud that overshadows Sony. The company’s television business hasn’t made a profit in a decade and in July, it established Sony Visual Products and promised to make it profitable by slashing support costs and concentrating on higher tech products,” said the Aichi International analyst.

The company has faced growing competition from manufacturers in China and Korea who are able to make comparable products at far cheaper prices without compromising as much on quality as they would have had to a few years ago.