ID :
10960
Fri, 06/27/2008 - 15:25
Auther :
Shortlink :
http://m.oananews.org//node/10960
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Sony aims to achieve TV, game profitability, double BRICs sales
TOKYO, June 27 (Kyodo) - Sony Corp. said Thursday it will strive to achieve profitability in its TV and game operations in the current business year ending next March while trying to double its group sales in the so-called BRICs emerging markets to an annual 2
trillion yen by fiscal 2010.
The targets are part of the consumer electronics giant's business policy for three years through the end of March 2011. The acronym BRICs refers to Brazil, Russia, India and China.
During the three-year period that began this past April, Sony said it will make capital investments totaling 1.8 trillion yen, half of which will be spent to strengthen its key business areas such as image sensors, batteries, display devices and Blu-ray disc-related components.
Sony Chairman and Chief Executive Officer Howard Stringer said at a news conference in Tokyo that achieving profitability in the TV and game sectors is ''our key goal and main target.''
''There is a significant economic storm outside,'' he also said, in an apparent reference to uncertainty about the global economy. Stringer said it is important to develop technology further to create electronic products that will satisfy customers' needs.
''What is Sony's mission? Our mission's simple; to become a leading global provider of networked consumer electronics and entertainment,'' he said.
The CEO said Sony will be able to further boost its earnings under the new business plan and expressed confidence in Sony's strength, citing as an example the recent victory of the Blu-ray format as an industry standard for the next-generation DVDs.
''The Blu-ray has proved that when Sony is united, Sony is unbeaten,'' he said.
Stringer also said the Japanese electronics maker will expand services to enable users to enjoy contents such as movies and TV programs through networks installed in equipment such as TVs, PlayStation 3 game consoles and Walkman video music players.
This planned expansion of networks in electronics consumer products will be used ''as a leverage to differentiate our electronic products,'' Stringer said.
The company also intends to expand revenues in the personal computer, Blu-ray and component/semiconductor segments to the 1 trillion yen level during the three years in an attempt to have a total of seven ''trillion yen businesses'' within the group.
At present, four Sony operations -- liquid crystal display TVs, digital imaging, game and mobile phones -- produce annual revenues exceeding 1 trillion yen.
Asked if Sony has set a group sales target for fiscal 2010, Nobuyuki Oneda, Sony's chief financial officer, said at the same news conference, ''We want to achieve 10 trillion yen in group sales as soon as possible, but we cannot present a specific figure today.''
In May, Sony announced it booked 369.44 billion yen in group net profit on 8.87 trillion yen in group sales -- both record highs -- in fiscal 2007 on brisk sales of its Cyber-shot digital cameras and Vaio personal computers, indicating the company is on course for a full recovery.
Despite a pickup in sales of Bravia LCD TVs, its TV business remained in the red in the business year ended March 31 as continued price falls amid intense global competition cut into profits.
Sony's game business was also in the red in fiscal 2007, although solid sales of PS3s helped to scale back the deficit in the segment.
trillion yen by fiscal 2010.
The targets are part of the consumer electronics giant's business policy for three years through the end of March 2011. The acronym BRICs refers to Brazil, Russia, India and China.
During the three-year period that began this past April, Sony said it will make capital investments totaling 1.8 trillion yen, half of which will be spent to strengthen its key business areas such as image sensors, batteries, display devices and Blu-ray disc-related components.
Sony Chairman and Chief Executive Officer Howard Stringer said at a news conference in Tokyo that achieving profitability in the TV and game sectors is ''our key goal and main target.''
''There is a significant economic storm outside,'' he also said, in an apparent reference to uncertainty about the global economy. Stringer said it is important to develop technology further to create electronic products that will satisfy customers' needs.
''What is Sony's mission? Our mission's simple; to become a leading global provider of networked consumer electronics and entertainment,'' he said.
The CEO said Sony will be able to further boost its earnings under the new business plan and expressed confidence in Sony's strength, citing as an example the recent victory of the Blu-ray format as an industry standard for the next-generation DVDs.
''The Blu-ray has proved that when Sony is united, Sony is unbeaten,'' he said.
Stringer also said the Japanese electronics maker will expand services to enable users to enjoy contents such as movies and TV programs through networks installed in equipment such as TVs, PlayStation 3 game consoles and Walkman video music players.
This planned expansion of networks in electronics consumer products will be used ''as a leverage to differentiate our electronic products,'' Stringer said.
The company also intends to expand revenues in the personal computer, Blu-ray and component/semiconductor segments to the 1 trillion yen level during the three years in an attempt to have a total of seven ''trillion yen businesses'' within the group.
At present, four Sony operations -- liquid crystal display TVs, digital imaging, game and mobile phones -- produce annual revenues exceeding 1 trillion yen.
Asked if Sony has set a group sales target for fiscal 2010, Nobuyuki Oneda, Sony's chief financial officer, said at the same news conference, ''We want to achieve 10 trillion yen in group sales as soon as possible, but we cannot present a specific figure today.''
In May, Sony announced it booked 369.44 billion yen in group net profit on 8.87 trillion yen in group sales -- both record highs -- in fiscal 2007 on brisk sales of its Cyber-shot digital cameras and Vaio personal computers, indicating the company is on course for a full recovery.
Despite a pickup in sales of Bravia LCD TVs, its TV business remained in the red in the business year ended March 31 as continued price falls amid intense global competition cut into profits.
Sony's game business was also in the red in fiscal 2007, although solid sales of PS3s helped to scale back the deficit in the segment.
