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Sony posts huge $2 billion net loss in Q3, cuts forecasts

Updated Dec 19th, 2018 7:45PM EST
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Kazuo Hirai was appointed Sony’s new chief executive on Wednesday and one day later, the company reported a wider than expected loss in the third fiscal quarter of 2011 that sent its stock tumbling more than 6% in early trading. The firm posted an operating loss of $1.2 billion on $23.4 billion in revenue, down more than 17% compared to the same quarter in fiscal 2010, and its net loss for the quarter totaled $2 billion. Sony also said it now anticipates a full-year loss of $2.9 billion, more than twice its earlier projection of $1.2 billion. The flooding in Thailand was seen as contributing to Sony’s poor performance in the third quarter, but the company noted that its hefty losses were “primarily due to an impairment loss on the shares of S-LCD, which were sold in January 2012, and the recording of a valuation allowance on deferred tax assets at Sony Ericsson.” The company cut its full-year PlayStation 3 console sales forecast to 14 million units from 15 million, and it trimmed its full-year digital camera sales forecast to 21 million units from earlier estimates of 23 million.

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Zach Epstein
Zach Epstein Executive Editor

Zach Epstein has been the Executive Editor at BGR for more than 10 years. He manages BGR’s editorial team and ensures that best practices are adhered to. He also oversees the Ecommerce team and directs the daily flow of all content. Zach first joined BGR in 2007 as a Staff Writer covering business, technology, and entertainment.

His work has been quoted by countless top news organizations, and he was recently named one of the world's top 10 “power mobile influencers” by Forbes. Prior to BGR, Zach worked as an executive in marketing and business development with two private telcos.