Things just keep getting worse and worse for Sony. Earlier today, the company started bracing investors for significant losses, which amount to approximately $6.4 billion (¥520 billion), over double previous forecasts.
Sony attributes a bulk of this loss to tax expenses from the United States, as they apparently can no longer use a write-off of tax credits. This is a major blow to the company, marking its greatest loss of the last ten years. Eurogamer did a bit of research and chronicled Sony’s performance over the past decade, bringing to light the downward spiral the company has been on ever since 2008. Check out the data below:
- FY2011: -520 billion yen / before income taxes -115 billion yen
- FY2010: -220 billion yen / BIC +205 billion yen
- FY2009: +13 billion yen / BIC +27 billion yen
- FY2008: -102 billion yen / BIC -175 billion yen
- FY2007: +367 billion yen / BIC +567 billion yen
- FY2006: +126 billion yen / BIC +102 billion yen
- FY2005: +124 billion yen / BIC +286 billion yen
- FY2004: +164 billion yen / BIC +157 billion yen
- FY2003: +89 billion yen / BIC +144 billion yen
- FY2002: +116 billion yen / BIC +248 billion yen
- FY2001: +15 billion yen / BIC +93 billion yen
The news comes hot off the heels of a report yesterday suggesting that Sony plans to cut 6% of its workforce. There’s no doubt that the new head of Sony, Kazuo Hirai has one heck of an uphill battle to climb. The CEO plans to share his new restructuring plan this Thursday.