Sony warns of worse-than-forecast losses

PanARMENIAN.Net - Sony Corporation warned of worse than forecast losses for the financial year to March 2014, Variety reported.

The profit warning and revised forecast came only three months after its February guidance and two weeks ahead of the formal results announcement for 2013-14.

The company said that it had lost Y130 billion ($1.27 billion), compared with a previous forecast of Y110 billion ($1.08 billion). In the previous year to March 2013 it ground out profits of Y43 billion (430 million).

Sony said that it was booking an additional Y30 billion of expenses to exit the PC manufacturing business. It is also taking a Y25 billion impairment charge mainly related to its overseas disc manufacturing business, which is being hit by decreased demand for physical media.

The steeper than previously forecast losses came despite a 1% upward revision to sales and operating revenue. Sony said that sales totalled Y7.77 trillion ($75.9 billion), a 14% improvement on the previous financial year.

Detailed results for the year will be unveiled on May 14.