Having previously forecast a net profit of 30 billion yen for the current fiscal year, Sony is now heading for its fifth net loss within six years. The profit recorded in the year ended March 2013, Hirai’s first in charge, was helped by the sale of two landmark properties in New York and Tokyo.
The company has come under fire from investors like Third Point’s Daniel Loeb for failing to maximize value in some of its business lines. The comparison with Panasonic is on the surface unflattering: The rival has already swallowed expensive restructuring charges in a recovery from losses of $15 billion loss over two years to March 2013 to a forecast net profit of 30 billion yen this year.
“On the face of it, this is a positive development for Sony, but it’s too early to say whether these measures will be enough,” said Masashi Oda, chief investment officer at Sumitomo Mitsui Investment Trust.
“Timing is important. It depends on how fast they’re able to carry out their intentions,” he said.