STORY: Sony sees profits growing this year.

The Japanese tech giant forecast 5% growth to $8.2 billion thanks to a boost from image sensors.

Sony is a major supplier of the technology for smartphones.

That is seen helping its chips business to book a 40% rise in operating profit on higher sales and lower costs.

On Tuesday, Sony announced a 7% fall in operating profit for the year ended March - in line with estimates.

It saw lower profits in its insurance business and was hit by a slowdown in the gaming sector.

The firm sold 20.8 million PlayStation 5 consoles last year, just missing its target of 21 million.

Sony blamed weaker-than-expected sales over the year-end shopping season.

But it sees better times ahead and projects profits at its gaming business will rise 7% in the current year.

It cited factors including higher sales from its PlayStation Plus subscription service.

The gaming industry slowdown saw Xbox maker Microsoft move to close studios in cost-cutting measures.

Sony also said in February it would lay off 900 workers at its gaming business and shut a London studio.