Panasonic losses spiral to £3.4bn
Friday 11 May 2012
Panasonic's January-March losses ballooned 10-fold to 438 billion yen
(£3.4 billion), completing a year of record red ink at the Japanese
electronics maker battered by natural disasters and an ailing TV
The firm racked up a 40.7 billion yen loss for the same period the previous year.
The Osaka-based maker of Viera TVs and Lumix digital cameras reported today a record loss of 772.2 billion yen (£6 billion), a reversal from the 74 billion yen (£580 million) profit a year ago and among the biggest in Japan's manufacturing history.
That comes a day after Panasonic's arch-rival Sony racked up a record annual loss of 457 billion yen (£3.55 billion) in its fourth straight year of red ink.
Sony, which makes the Walkman portable audio player and PlayStation game machine, had a 255 billion yen (£1.98 billion) loss over January-March - its fifth straight quarterly net loss to round out a fiscal year that was the worst in its 66-year corporate history.
Both companies' TV operations, centring around flat-panel sets, have been battered by a powerful Samsung Electronics Co of South Korea and other Asian players.
A strong yen has also eroded the value of overseas earnings for the Japanese.
Like Sony, which is hoping for a turnaround under a new president, Kazuo Hirai, Panasonic has tapped Kazuhiro Tsuga as president. The appointments still need shareholder approval.
Panasonic is forecasting a return to profit for the fiscal year ending March 2013, at 50 billion yen (£390 million) profit on 8.1 trillion yen (£60 billion) sales, up 3 per cent.
Panasonic does not have the entertainment or gaming businesses of Sony. But it is struggling as it attempts to strengthen solar panel and battery operations, including auto batteries, to find new areas of growth.
Panasonic's sales fell in every major region, including the US, Europe, Japan, China and the rest of Asia.
Life & Style blogs
Earth Day 2014: Google celebrates Earth Day with doodles of Rufous hummingbird, veiled chameleon, moon jellyfish, dung beetle, puffer fish and macaques
Naked yoga: the bare truth - it's already big in the US, and has now landed here
World's fastest lift climbs 95 floors in 43 seconds at speeds of up to 45mph
A bottle of wine a day is not bad for you and abstaining is worse than drinking, scientist claims
Saint George's Day: Google Doodle marks England's national day
Ukip election posters: Nigel Farage defends 'racist' campaign anti-immigration campaign ahead of Europe elections
Is Britain really a land of God? Furious debate after David Cameron claims we are a Christian country
An open letter to Nigel Farage: you may smile, but I am not seduced
Ukip leader Nigel Farage defends employing German wife, at launch of anti-immigration poster campaign
'Sinful': Video of British Muslims dancing to Pharrell Williams's hit Happy comes under attack
David Cameron's constituency office calls police on food bank campaigners Bishop of Oxford and Reverend Keith Hebden
- 1 Revealed: Scientists ‘edit’ DNA to correct adult genes and cure diseases
- 2 David Cameron's constituency office calls police on food bank campaigners Bishop of Oxford and Reverend Keith Hebden
- 3 A bottle of wine a day is not bad for you and abstaining is worse than drinking, scientist claims
- 4 Women take on Bear Grylls over 'sexist' male-only desert island show
- 5 Malaysia Airlines flight MH370: Concerns grow among search officials that missing jet ‘may have landed somewhere else’
iJobs Gadgets & Tech
£55000 - £62000 per annum + outstanding benefits and bonus: Pro-Recruitment Gr...
£35000 - £45000 per annum + excellent company benefits : Pro-Recruitment Group...
£55000 - £67000 per annum + Benefits + Bonus: Pro-Recruitment Group: Senior Fi...
Negotiable: Harrington Starr: SQL DBA Lead Database Administrator (SQL, UNIX, ...