Sony now expects to post 270 billion yen ($2.6 billion) in operating profit for the year ending in March, down 30 billion yen from its previous forecast made in July and an 8 percent decline from the previous year.
It also falls short of a Thomson Reuters Starmine SmartEstimate of 308.65 billion yen derived from 27 brokerage estimates.
Analysts have been hopeful that brisk sales of PlayStation 4 gaming consoles and software titles would boost profits and that this would only improve with upgraded versions of the console during the year-end holiday shopping season.
This month Sony also unveiled its PlayStation VR headset and it said that production of image sensors would return to full capacity in the second half due to a pickup in smartphone demand.
Sony said on Monday it has agreed to sell its battery business for about 17.5 billion yen and expects to book an impairment charge of 33 billion yen related to the sale.
It will announce its first-half results and further details of its full-year outlook on Tuesday.