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Wednesday, May 14, 2014
Sony Forecasts Loss Amid PC Restructuring Costs


Sony forecast another annual loss in the 12 months ending March 31, the Tokyo-based company said in a statement today.

The company expects 135 billion yen of costs related to restructuring and exiting the PC business this year.

Operating profit will probably be 140 billion yen this year, the company said.

Sales and operating revenue were increased by 14.3% compared to the previous fiscal year, primarily due to the favorable impact of foreign exchange rates, the launch of the PlayStation 4, as well as a significant increase in sales f smartphones.

Losses from the PC business including restructuring are forecast to be about 80 billion yen, the company said. Sony has previously agreed to sell its PC business to buyout firm Japan Industrial Partners Inc.

Sony is also trying to make its TV manufacturing unit profitable, a business that has now lost more than 700 billion yen over the past 10 years.

The company expects sales this year of 16 million LCD TV sets, 8 million cameras, 17 million game consoles and 50 million smartphones, it said today.

Sony also suffered a drop in the value of its overseas disc manufacturing business and its battery business.

In other divisions, Sony lost money in its mobile, device and video-game businesses for the fiscal year ended March.

But it was profitable in its movie business, where TV productions benefited from licensing agreements for game shows, including "Wheel of Fortune."

Sony's music unit also increased profitability, on the success of Daft Punk's 'Random Access Memories," Beyonce's "Beyonce" and Miley Cyrus' "Bangerz."




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