Feeds

Sharp bags partners for LCD biz, forecasts bigger loss for 2011

May be handing over control of loss-making display plant

  • alert
  • submit to reddit

Top three mobile application threats

Sharp has found two new partners to help with its LCD factory as it forecasts an annual loss of ¥380bn ($4.7bn, £2.97bn).

The company's new forecast for the fiscal year to the end of March is up from a previously expected loss of ¥290bn ($3.57bn, £2.25bn). The full results will be reported later this month.

"We have adjusted our consolidated earnings forecasts in connection with delayed shipments of LCDs used for mobile devices" and restructuring costs, Sharp said in a canned statement in Japanese, reported by AFP.

The Japanese firm also said that it had bagged two more investors for its LCD business – Toppan Printing and Dai Nippon Printing.

Sharp recently got Hon Hai Precision, owners of Foxconn, to sink ¥66bn for a 46.5 per cent stake in its telly business, which is a joint venture with Sony. Hon Hai also handed over ¥66.9bn for a 9.9 per cent stake in Sharp itself.

Today, the company announced that Toppan and Dai Nippon would also be joining the venture, called Sharp Display Products, but didn't say how much cash the pair would be parting with or how large their stakes would be.

"The method of the business integration will be determined upon consultation among the parties to this business integration," Sharp said in another canned statement.

However, the resulting venture could end up moving out of Sharp's control. The firm said that "transfer of its subsidiary, SDP, is expected in connection with the business integration".

Sharp said that its share in the business could fall below 40 per cent, making Hon Hai the major shareholder.

The company's revised forecast, which would result in its largest ever loss, comes just after fellow Japanese electronics maker Sony announced its own revised loss expectations, coming in at 520bn.

The combination of recession-dampened appetite for consumer electronics, particularly TVs, the strong yen and rising competition from firms like Samsung has pushed Japanese firms into increasing losses. ®

3 Big data security analytics techniques

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Record labels sue Pandora over vintage song royalties
Companies want payout on recordings made before 1972
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
Number crunching suggests Yahoo! US is worth less than nothing
China and Japan holdings worth more than entire company
prev story

Whitepapers

SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.