Sony Posts 7th Straight Loss as TV Sales Slump on Economy – Businessweek

Sony Corp. (6758), Japan’s biggest consumer- electronics exporter, unexpectedly posted its seventh straight quarterly loss on falling demand as consumers flock to Apple Inc. (AAPL) and Samsung Electronics Co. devices.

The second-quarter net loss totaled 15.5 billion yen ($194 million), the Tokyo-based company said in a statement today. That compared with the 15.6 billion-yen average profit of three analyst estimates compiled by Bloomberg. The company kept its estimate to report its first annual profit in five years.

Sony is cutting 10,000 jobs and selling assets as Chief Executive Officer Kazuo Hirai focuses on mobile devices, games and digital imaging after four consecutive annual losses. Sony sold a chemical-products making unit, stakes in two display- making ventures and invested in Olympus Corp. (7733) to revive growth after racking up 692 billion yen in losses selling TVs in the past eight years amid competition with market leader Samsung.

“TV sales are worsening this year amid economic downturns in the U.S. and Europe,” said Junya Ayada, an analyst at Daiwa Securities Co. in Tokyo. “As the global recession continues, consumers are no longer spending much money on electronic products, as they now have a smartphone that can satisfy most of their needs.”

via Sony Posts 7th Straight Loss as TV Sales Slump on Economy – Businessweek.