Sony posts first annual loss in 14 yrs

For the first time in 14 years, Japanese electronics major Sony Corp has reported an annual loss, as sliding sales and surging yen took a toll on its business.

Sony has posted a loss of 98.93 billion yen (about $1 billion) for the financial year ended March 31, whereas the entity had a profit of 369.43 billion yen in the comparable period, it said in a statement today.

The company swung into the red primarily on account of falling sales and a strong yen.

For the fourth quarter ended March 31, Sony posted a loss of 165.14 billion yen. In the year-ago period, it had a profit of 29.04 billion yen.

"Sales decreased and losses were recorded due to factors including the slowdown of the global economy, the appreciation of the yen and the decline in the Japanese stock market," the company said.

Sony's fourth-quarter sales and operating revenue plunged by 22 per cent at 1,524.06 billion yen. In the comparable period, the same stood at 1,952.83 billion yen.

According to the company, annual sales in the electronics segment fell by 17 per cent year-on-year basis. This was mainly due to the negative impact of appreciation of the yen and price competition, among others.