Feeds

Sony prepares for first loss in six years

Japanese giant blames economic downturn, pricing pressure

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

Sony has admitted it will post its first loss in six years when it eventually releases its results for the second half of the fiscal year, ending March 1999. The Japanese giant predicted it will issue a loss of $313 million for the six-month period. It blamed the global economic downturn, price wars in many of the markets in which it operates and the recent surge in strength of the yen against the US dollar. Sony's profits in the first half of the year fell just 5.4 per cent compared to the same period in the previous fiscal year, leading to a profit of Y86.05 billion. Taking into account the predicted H2 loss, the company reckons it will make Y170 billion, based on current yen/dollar exchange rates, down from its earlier prediction of Y215 billion. Last year it made Y222 billion. The company cited major price cuts in the computer display, cellphone and CD-ROM drive arenas as key components in creating the loss. Prices in these markets fell 40 per cent, 50 per cent and 35 per cent, respectively. However, Sony did point out that sales of consumer electronics goods such as MiniDisk, video cameras and DVD units had remained buoyant. The company has also experienced strong sales of the PlayStation, it said. ® Click for more stories Click for story index

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.