We have reported before that electronics giant Sony have been working hard on a recovery plan to reverse losses, which they have experienced for the last four years.
Sony are selling their American headquarters building for $1.1 billion in the efforts to claw back an operating cash reserve. and their net losses for October to December fell to 10.8bn yen (£73 million) from 159bn yen for the same quarter in 2011.
Sony have been facing a lot of competition in recent years and they haven’t been helped by a high yen which makes exporting more expensive. The last quarterly figures showed total losses in the nine months to end of December at 50.9 bn yen, a 75% drop on the previous nine months. Sony had a terrible 2011, recording losses of 557bn yen for the financial year.
Sony have made a profit from their film division due to success stories such as James Bond: Skyfall and Hotel Transylvania. Their music section of the business also made a profit, although the TV division continues to record a loss.
Sony issued a statement which forecast a profit for the financial year to end March.
New CEO Kazuo Hirai has said they will deliver a series of ‘wow’ products in order to reestablish the company as the premier entertainment and electronics company.
Sony say on their website that they are “reinventing itself to deliver new and exciting experiences”.
They are planning to release a series of cameras, mobile devices and other gadgets in the next year. The Playstation 4 console may also be announced shortly which could drive huge sales for the company if they get the timing and pricing right.
Sony are not the only electronics company to struggle as Sharp and Panasonic also announced huge losses recently and said they expect more to come.
Samsung are dominating the market right now and the industry is also suffering from a Chinese consumer ban of Japanese brands which originates from a territorial dispute between Tokyo and Beijing.