Sharp SOS as loss forecast doubles
Friday 02 November 2012
The struggling TV maker Sharp warned it might not be able to survive on its own, as it almost doubled its full-year net loss forecast to $5.6bn (£3.4bn) yesterday, and said it was considering alliances with other companies.
The Japanese company said it booked massive second-quarter losses and is seeing "serious negative operating cash flow".
"This raises serious doubts about [our ability] to continue as a going concern," the company said, adding it was taking steps, from pay cuts and asset sales to voluntary redundancies, to generate cash flow.
Sharp has been in talks for months with Hon Hai Precision about the Taiwan-based group becoming its biggest shareholder.
Sharp said yesterday it expected an agreement on that before a March deadline, but added it was considering other alliances as well.
Its bigger Japanese rival Sony, meanwhile, made a small operating profit in July-September, helped by the sale of a non-core chemicals business, although it also cut forecasts for sales of its TVs, compact cameras and some games consoles.
The grim tale from the Japanese brands that led a consumer electronics boom from the Seventies came a day after Panasonic said it will lose almost $10bn this year as it writes down goodwill and assets.
- 1 I'm A Celebrity 2014: Jungle security stepped up after murder and 'suspicious death' near to camp
- 3 Jeremy Hunt: 'I took my children to A&E because I didn't want to wait for GP appointment'
- 4 Girl, 7, gets Tesco to remove 'stupid' sign suggesting superheroes are 'for boys'
- 5 This letter from a reader explains why women can’t play football
Sarah Vine criticises lesbian mother Jack Monroe: 'If she was unsure about her sexuality, she should have taken greater precautions'
Black Friday 2014: Opening times for Asda, John Lewis, PC World, GAME and Argos
Three-year-old boy accidentally shoots dead his mother in Tulsa, Oklahoma, as she changes her younger daughter's nappy
Michael Brown shooting: Driver smashes into crowd as protests erupt across the US during a second night of unrest
Jeremy Hunt: 'I took my children to A&E because I didn't want to wait for GP appointment'
Rochester by-election: Ukip gains second MP as Tory defector Mark Reckless holds seat
'Beast of Bolsover' Dennis Skinner takes Ukip MP Mark Reckless to task moments after he is sworn in
Ukip says babies born to immigrants in the UK should be classed as migrants – which would include Nigel Farage’s own children
The young are the new poor: Sharp increase in number of under-25s living in poverty, while over-65s are better off than ever
Tamir Rice: 12-year-old boy playing with fake gun dies after being shot by Ohio police
Exclusive: UK approved £7m Israeli arms sales in six months before Gaza conflict
iJobs Money & Business
£16000 - £18000 per annum: Langley James : IT Support; Helpdesk, VMware; Manch...
£35000 - £450000 per annum + £3k car, £70k ote: h2 Recruit Ltd: Do you want to...
£Attractive Package: Citifocus Ltd: Prestigious financial institution seeks to...
£Negotiable: Citifocus Ltd: Experienced operational risk professional with ban...