Sony has more than doubled the figure it expects to post as its loss for the just concluded financial year to $6.4 billion, The New York Times reports. The loss is Sony’s worst ever.
The loss is fueled by steep declines in the company’s television business, a strong yen, natural disasters in Japan and elsewhere and tax expenses, the story reports.
The company would not confirm reports that it plans to cut 10,000 jobs in Japan. But Masaru Kato, chief financial officer, said all options remain open as Sony restructures.
The company expects to return to profitability in the current financial year, which ends in March 2013.
Said Kato: “We will force through reforms, and there will be no sacred cows. The company management takes these numbers very seriously.”
The report adds: “The projected loss for the year that ended March 31 underscores the grave challenges facing Kazuo Hirai, who succeeded Howard Stringer at Sony’s helm this month. Once a much-emulated and coveted darling of the technology industry, Sony is a shadow of its former self, its problems mirroring a wider decline in the Japanese consumer electronics industry.”