I assume that you are referring to the Sony XA5400ES. Very good question. I surmise that EDID would indicate that the AV7005 supports up to 192 kHz sampling rates. Hence, the XA5400ES would decimate DSD to PCM at 176.4 kHz. The problem then would be that the AV7005 may not be able to apply any post processing (e.g. Audyssey, Dolby Pro Logic IIx, etc.) to audio w/ a sampling rate greater than 96 kHz.