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Sony Profits Plunge 72% on Strong Yen, Slow Exports
Japanese Electronics maker sees profits tumble 72% for quarter
By Jim O'Neill
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Posted Oct 29, 08 8:27 AM CDT
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(Newser)
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A strengthening yen and declining demand—especially from the US—for consumer electronics provided a one-two punch that knocked Sony profits down 72% for the third quarter, reports the New York Times. Sony shares slid to a 16-year low on Monday, and are down 67% for the year.
Sony last week revised its annual profit forecast through March down 58%, joining other exporters being buffeted by the struggles of the US economy, with share values being driven in some cases below book value. Toyota, Panasonic, Bridgestone, and Canon all have been hurt. “Any sense of reality has been hijacked by momentum and fear,” said one expert. “The market is treating Sony and Toyota like pariahs.”