backtop


Print


  (Source: Pansonic.net)
Panasonic's loss is the largest in a decade

The TV and electronics market around the world is still recovering. With some parts of the world slipping back into economic turmoil profits for some companies are down significantly. One of the companies that is reporting a significant loss is Panasonic. In fact, Panasonic is reporting its biggest loss in the last ten years.
 
Panasonic's latest quarterly earnings show that the company lost $5.5 billion. The big loss is blamed in part on restructuring costs, a yen that is soaring compared to other currency, and weak demand for TVs and other products in Europe and America. TV shipments is a very weak spot for Panasonic with major losses coming from that division.
 
In April of this year, Panasonic reported that it would be looking to shed 14,000 workers over the next two years. With a loss this massive, the paring of workers may start sooner than expected. Reuters reports that Panasonic also notes it will stop producing LCDs at a plant it operates in Mobara in Japan near Tokyo. The massive loss has also resulted in Panasonic killing plans to ship production equipment to Shanghai where it had planned to make Plasma TVs. 
 
"The net loss of 420 billion yen includes an increase in the cost of restructuring. It has lowered the assumed exchange rates to 76 yen, which gives the company some buffer even if the dollar slips from the current level after today's intervention," said Hiroyuki Fukunaga, CEO of Investrust. "So even though it is reporting a loss, the market may think all the negative factors have been priced in, especially given that its share price has fallen about a third from around 1,200 yen at the beginning of this year."
 
This is the second largest quarterly loss Panasonic has ever reported. Panasonic has reduced its expected operating profit forecast to 130 billion yen from the previous estimate of 270 billion yen. The estimate Panasonic had in place for TV sales has been cut as well from 25 million units to 19 million units.

Source: Reuters





"Well, there may be a reason why they call them 'Mac' trucks! Windows machines will not be trucks." -- Microsoft CEO Steve Ballmer
Related Articles



Latest Headlines
Are You in the Market for Earphones?
March 24, 2017, 7:35 AM
Samsung Galaxy S8, Rumored Launch Date!
March 18, 2017, 6:45 AM
How about Leica Cameras
March 13, 2017, 6:30 AM
A Baseball Cap With Camera
March 3, 2017, 7:00 AM
Nokia 3310 with longer battery life
February 28, 2017, 7:05 AM




Latest Blog Posts
What else to worry about?
Saimin Nidarson - Mar 17, 2017, 6:45 AM
Todays’ Life
Saimin Nidarson - Mar 14, 2017, 7:30 AM
News and Tips
Saimin Nidarson - Mar 13, 2017, 6:30 AM
Some News
Saimin Nidarson - Mar 8, 2017, 7:09 AM
News
Saimin Nidarson - Mar 7, 2017, 8:45 AM
World news 3-6
Saimin Nidarson - Mar 6, 2017, 5:40 AM
Mixed News
Saimin Nidarson - Mar 4, 2017, 7:40 AM
Mixed News of the Day
Saimin Nidarson - Mar 4, 2017, 6:32 AM
Mixed News of The World:
Saimin Nidarson - Mar 2, 2017, 7:02 AM
World New 3-1
Saimin Nidarson - Mar 1, 2017, 6:30 AM






botimage
Copyright 2017 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki