Financial report for third quarter is grim.
Sony has announced significant losses for the third quarter of its 2011 fiscal year. The company faced an operating loss of $1.2 billion and a net loss of $2 billion on revenue. The loss on revenue translates to a 17.4% year-on-year decrease. This announcement comes in the wake of the news that Kazuo Hirai would take over as CEO and president from Sir Howard Stringer.
A number of causes were outlined for the company’s poor performance. Sony outlined that the primary factors were the impact of the floods in Thailand, deterioration in market conditions in developed countries, and unfavorable foreign exchange rates. In addition, Sony’s consumer product range sales dropped by 24% compared to last year. This was in part down to poor sales of TVs.
Sony has readjusted its forecast for the year as a result of these figures. It expects to see a $2.9 billion loss for the full year and has lowered its expectations and forecasts of digital camera and PlayStation 3 sales.