Sony expected to report operating loss: reports
operating loss operating loss
The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. in 14 years in the financial year to March, reports said Tuesday.
Sony, a bellwether Bellwether
A leading indicator of trends.
A bellwether stock is a stock that is used to gauge the performance of the market in general. General Motors was an example of a bellwether stock, hence the saying "What's good for GM is good for America. of corporate Japan, was likely to post an operating loss of 100 billion yen (1.12 billion dollars) due to sagging sag
v. sagged, sag·ging, sags
1. To sink, droop, or settle from pressure or weight.
2. demand and a stronger yen, the Nikkei business daily reported, citing unnamed company sources.
Plunging sales and inventory charges were expected to lower full-year operating profit Operating profit (or loss)
Revenue from a firm's regular activities less costs and expenses and before income deductions.
See operating income. by around 100 billion yen, it said.
Sony likely dropped to an operating loss in the October-December quarter, when demand for digital goods typically peaks, the Nikkei said.
A company spokesman was not immediately available to confirm the report.
Public broadcaster NHK NHK Nippon Hoso Kyokai (Japan Broadcasting Corporation)
NHK Nihon Hoso Kyokai (Japanese Broadcasting Association)
NHK Nihon Hikikomori Kyokai (anime) also reported that Sony was expected to revise down its earnings forecast to announce an operating loss for the year to March.
In October, Sony had forecast a net profit of 150 billion yen for the year to March, down 59 percent from last year and much worse than an earlier goal of 240 billion yen.
It had forecast a full-year operating profit of 200 billion yen, compared with 475.3 billion yen from financial 2007.
In December, the company said it was cutting more than 8,000 jobs worldwide and shutting plants as part of an overhaul to cope with the global economic downturn.