Sony Corp forecast for a record annual loss due to sliding demand and a stronger yen, while Nintendo cuts its outlook profits, both staggered by the financial crisis.
Sony has been battered by falling prices and slumping demand for flat TVs, digital cameras and other electronics products, while also having to shoulder massive costs to close factories and cut jobs. The maker of Bravia LCD TVs and Cyber-shot digital cameras reiterated a forecast it unveiled last week for a record 260 billion yen ($2.9 billion) operating loss for the year to March, a big swing from the 475 billion yen profit logged a year earlier.
While, Nintendo Co. said net profit for the April-December period fell 18 percent as a strong yen cut into robust demand for its gaming products, forcing the company to slash its full year forecast. As a result of a stronger-than-expected yen, Nintendo cuts its outlook for the full fiscal year through March. The company now estimates net profit of 230 billion yen, down from its previous forecast of 345 billion yen, which would have been a record high.