14-05-2008

Sony announces details of unexpected loss

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Electronics firm Sony has announced details of unexpected losses for the first quarter of 2008.

With the downturn largely blamed on stock market performance, the company has confirmed that over the first three months of the year, it generated an operating loss of ¥4.7 billion (£23 million).

And while this loss was lower than the loss reported for the first three months of last year, Sony had been expected to report a profit.

"While Sony missed its targets, the main factors that hit its numbers were financial, such as charges on convertible bond appraisal losses and other factors unrelated to its core operations," said Kazuharu Miura, a representative from the Daiwa Institute of Research.

However, for the year ending March 2009, the company has announced that it expects to generate a profit of ¥450 billion.

Established in 1946, Sony has been using its current name since 1958.

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