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Print 23 comment(s) - last by Richard875yh5.. on Mar 7 at 8:38 AM

Sony continues to post losses

Things aren't going well for Sony, as the company is struggling in multiple market segments to compete. The company has seen its profits slump and recently posted its eighth consecutive quarterly loss. Sony was also forced to cut sales targets for its TVs, gaming devices, and digital cameras as demand continues to weaken.

Sony has resorted to selling some of the property it owns in order to improve cash flow. In January, Sony sold its New York headquarters for $1.1 billion.

However, the sale of that headquarters didn't stop Sony from posting a loss of $1.73 billion for the quarter that ended in December. Sony blamed some of the loss on slumping TV sales that have plagued some of its competitors including Sharp and Panasonic.

“Having assets to sell is saving Sony,” said Mitsuo Shimizu, a Tokyo-based analyst at Iwai Cosmo Holdings Inc. “It isn’t really clear yet what can start driving growth.”

While Sony posted a loss for the quarter, the company still forecasts full-year net income of $213 million. Sony is also cutting 10,000 jobs, which should help push it towards probability.

“Sony is supposed to sell strong products that aren’t reliant on currency swings,” said Yuuki Sakurai, president of Fukoku Capital Management Inc. “We need to see those products before we’ll invest in Sony again.”

Sony also reduced its forecast for sales of portable game devices for its year ending March to 7 million units from the 10 million units it predicted just three months ago. In addition, Sony is reportedly looking at selling more land, buildings, businesses, and security holdings.
 
Sony does plan to launch a new “PlayStation 4” game console this year. An exact launch date and official name has not yet been revealed, but we expect to get the full details at the reveal on February 20. The console will reportedly have a price tag of $400+.

Sources: Bloomberg, Nikkei, The Verge



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RE: making crap and expecting a profit?
By tayb on 2/7/2013 9:47:45 AM , Rating: 2
Sony makes decent stuff it's just not good enough to justify the price. I still prefer Sony laptops if I need a Windows machine but the price is way outside the industry norm now so I pass.

quote:
funny how Steve Jobs learned and copied from Sony though. Apple skyrocketed upward but who knows, Apple is starting to sink like Sony because people werent too convinced they need an extra row of icons in iphone 5. oops


Except that Apple is essentially printing money. A "bad quarter" (Q4 2012) meant a net profit of $8,200,000,000.


RE: making crap and expecting a profit?
By SAN-Man on 2/7/2013 9:58:57 AM , Rating: 3
The big difference between Sony products and Apple products is the Sony products have some style and class whereas Apple products appear to be designed for colorblind infants.


RE: making crap and expecting a profit?
By AnnihilatorX on 2/7/2013 10:49:23 AM , Rating: 2
It's amazing how fast fashion changes. If the above comment was made 2 years ago it'd have been rated down to -1 in less than 5 minutes :)


By SAN-Man on 2/12/2013 4:14:38 PM , Rating: 2
I don't think I agree. Apple's design philosophy hasn't changed much at all since Y2K really. Their products continue to be refined and looking at them you can see a logical progression but they haven't really CHANGED. They still look like they were made for color blind infants who don't like hard right angles.


"The Space Elevator will be built about 50 years after everyone stops laughing" -- Sir Arthur C. Clarke

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