TOKYO (dpa) – Sharp Corp said Tuesday it would fall back into its third annual net loss in four years due in part to falling sales of TV and smartphone displays amid price competition with Chinese and South Korean rivals.
The consumer electronics producer reversed its profit outlook, estimating a net loss of 30 billion yen (256 million dollars) for the current financial year through March. It had expected a net profit of 30 billion yen for the year in October.
Sharp also revised down its operating profit forecast to 50 billion yen for the year from 100 billion yen estimated in October. The company maintained its sales outlook at 2.9 trillion yen.
For the October-to-December quarter, Sharp posted a net loss of 2.4 billion yen, compared with a net profit of 22.1 billion yen in the same period a year before.
The company also booked an operating profit of 22 billion yen in the quarter, down 54 per cent from 47.7 billion yen a year before while sales were down 6.4 per cent to 762.8 billion dollars.
Sharp swung back to profit for the previous financial year for the first time in three years on sales growth and cost-cutting measures.