Sony said it will report a bigger loss than expected for its fiscal year to March, due to a slowdown in consumer demand in advanced economies, the stronger yen and supply-chain disruptions from the flooding in Thailand. It now expects a net loss for the year of JPY 220 billion, versus a forecast in November for a loss of JPY 90 billion. The annual revenue forecast was cut to JPY 6.4 trillion from JPY 6.5 trillion due to the weaker consumer demand, and the operating result is now estimated at a loss of JPY 95 billion versus earlier guidance for a profit of JPY 20 billion. The latter includes a net cost of JPY 70 billion from the flooding. Results also include a JPY 63.4 billion impairment on the sale of its stake in the S-LCD venture in fiscal Q3, as well as the expected full consolidation of Sony Ericsson from February. For fiscal Q3, Sony reported sales down 17.4 percent from a year earlier to JPY 1.823 trillion, and the operating result moved to a loss of JPY 91.7 billion from a profit of JPY 137.5 billion a year ago. The net result was a loss of JPY 159 billion, versus a profit of JPY 72.3 billion a year earlier. The group finished the period with JPY 801.7 billion (USD 10.3 billion) in cash.
