Weak demand, strong yen: Sony backs expectations after quarterly loss

Optimistisch ist Sony immerhin, was die Verkäufe seines Smartphones - hier das
After all, Sony is optimistic about the sales of its smartphone - here the "Xperia Go".
Photo: Sony

The Japanese electronics group has again posted a large loss and conceded the outlook (PDF link). In the current fiscal year ending in March, Sony now expects a net profit of 20 billion yen (currently 208 million euros), a third less than announced in May. The revenue forecast capped Sony from 7.4 to 6.8 trillion yen (70 billion euros).

In the first fiscal quarter ended June, the company recorded a net loss of 24.6 billion yen (255 million euros), nearly 60 percent more than a year earlier. Sales rose slightly to 1.515 trillion yen (15.8 billion euros).

Sony has lowered its forecasts for May in several sectors. This is particularly noticeable in the case of LCD televisions, where the Group is targeting sales of just 15.5 million units in the current financial year (May: 17.5 million). Even with the photo cameras, the expectations are significantly lower with 18 million devices (May: 21 million). On the other hand, Sony is optimistic about its smartphone business; the group wants to sell 34 million devices here (May: 33.3 million).

Sony, the largest Japanese exporter of consumer electronics, currently has several major construction sites. Economic uncertainty and the strong yen are just as much of a concern for the group as the competition from Apple and Samsung. Also, the restructuring of the group under the new boss Kazuo Hirai costs. (Dpa / tc)