Sony upbeat on electronics, sees larger game loss
TOKYO (Reuters) - Sony Corp (6758.T) said the operating margin at its electronics operations is expected to beat its target for the year to March, but operating loss at its videogame unit will likely be double its initial forecast.
Operating loss at its game unit, which offers loss-making PlayStation 3 game gear, is estimated to exceed 100 billion yen ($876 million) for the current business year, compared with its original projection of 50 billion yen, a Sony spokeswoman said.
A larger loss at the game unit was expected since the electronics and entertainment company said on Thursday its game unit aims for break-even in the October-March fiscal second half after posting a loss of about 126 billion yen in the first half.
The spokeswoman also said on Saturday that an operating profit margin at Sony's mainstay electronics business will likely reach 5 percent in the year to March 2008, helped by expected recovery in its liquid crystal display TV business in the second half.
In a mid-term business plan, Sony's electronics division has been targeting an operating margin of 4 percent for the current business year.
Sony said on Thursday it swung to a quarterly operating profit on strong sales of PCs and digital cameras, and it raised its full-year forecast, sending its shares soaring the following day.
