TV News: Panasonic Strikes Back as Sony and Sharp Scramble
Massive losses continue to plague Japan's TV-makers. Sony's TV division announced this week that the company has failed to recover from last year's dismal performance, with a recorded S$390 million loss for the period of April to June 2012. This figure is substantially larger than last year's S$245 million deficit sustained during the same window.
Things are looking grim for Sharp as well. The firm revealed that losses for the current fiscal year are likely to be greater than previously announced. The CE company has since revised its initial initial forecast of a S$475 million loss to a whopping S$3.96 billion by March 2014. Drastic measures have also been taken by the Osaka-based corporation in a bid to improve the situation. Sharp recently sold ten percent of its stakes to Hon Yai, a Taiwanese firm, before revealing plans to shed ten percent of its global workforce within the next twelve months.
Panasonic, on the other hand, has managed to transform its losses into gains with a solid performance for the first quarter of the fiscal year. The company netted a S$202 million profit from April to June. These figures, in comparison, are a stark contrast to the S$482 million net loss sustained within the same period in 2011.
The main reasons behind Panasonic's impressive turnaround can be attributed to the firm's decision to write-off millions of investments made in plasma display production facilities. Although the company isn't ringing the cash registers via its display panel manufacturing arm as yet, at least it is making some money from its HDTV sales once again.