Sony forecasts bigger than expected annual loss
Sony Corp forecast a much bigger than expected annual operating loss, its first annual loss in 14 years due to a sharp appreciation in the yen.business Updated: Jan 22, 2009 12:04 IST
Sony Corp on Thursday forecast a much bigger than expected annual operating loss, its first annual loss in 14 years due to a sharp appreciation in the yen, steep price falls and restructuring costs.
The maker of Bravia LCD TVs, Cyber-shot digital cameras and PlayStation game consoles now expects an operating loss of 260 billion yen ($2.9 billion) for the year ending March 31, down from a 475.3 billion yen profit a year earlier.
A cut to its earnings outlook had been expected, but the scale of the revision surpassed expectations.
Sony's latest forecast compares with a previous company estimate of a 200 billion yen profit, and a consensus forecast for a loss of 8.9 billion yen in a poll of 18 analysts by Reuters Estimates.
The revision was Sony's third this business year as the company reels from the spreading impact of the global financial crisis and recession.