if you thought SONY's losses were bad.....

[arsenicazure]

..check out matsushita(panasonic) :

 

Panasonic Forecasts Second Annual Loss, Cuts Dividend (Update2)

 

By Hiroshi Suzuki

May 15 (Bloomberg) -- Panasonic Corp., the world’s largest maker of plasma televisions, forecast a second annual loss as the global slump drives down demand for consumer electronics ranging from flat-screen TVs to digital cameras.

The net loss will be 195 billion yen ($2.04 billion) in the 12 months ending March 31, from a 379 billion yen deficit a year earlier, Osaka-based Panasonic said today. That compares with the 110 billion yen median loss estimate in a Bloomberg News survey of nine analysts.

The company slashed its full-year dividend by two-thirds and forecast its lowest annual revenue in 14 years as Panasonic, Sony Corp. and Samsung Electronics Co. cut prices of TVs, cameras and audio equipment to cope with the global recession. President Fumio Ohtsubo is slashing 15,000 jobs and shutting factories to save 135 billion yen this year.

“Panasonic really has to get its restructuring process done in the first fiscal half,” said Seiichiro Iwamoto, who oversees about $1 billion at Mizuho Asset Management Co. “I really want to see it start making profits in the latter half.”

Panasonic rose 4.8 percent to close at 1,455 yen on the Tokyo Stock Exchange before the earnings announcement. The shares have risen 31 percent this year, or more than six times the benchmark Nikkei 225 Stock Average’s advance.

Falling Sales

Sales at Panasonic, which makes products ranging from flat- screen TVs to toilets, will probably fall 9.9 percent to 7 trillion yen, the company said. Panasonic plans to cut the full- year dividend payment to 10 yen a share from 30 yen a year earlier, it said.

Operating profit, or revenue minus the cost of goods sold and administrative expenses, may rise 2.9 percent to 75 billion yen, it said. That beat the median estimate for a loss of 34 billion yen.

Profit at the main consumer-electronics division will probably increase to 16 billion yen this year from 3.2 billion yen as revenue falls 10 percent to 3.37 trillion yen, Panasonic said in the statement. That compares with the 34 billion yen median loss estimate in the survey.

Sony, Panasonic’s nearest rival in terms of global consumer-electronics sales, yesterday forecast its first back- to-back annual losses since the Tokyo-based company’s listing in 1958. The maker of Bravia TVs and PlayStation game players is eliminating 16,000 jobs and closing plants to save 250 billion yen this fiscal year.

Appliances Profit

Profit at Panasonic’s appliances division, which makes hair dryers and facial steamers, will probably rise 12 percent to 55 billion yen this year, compared with the 45 billion yen median analyst estimate.

The company started selling home appliances including refrigerators and washing machines in Europe in March to expand the sales to 17 countries in the region this fiscal year.

The electronic-component division’s profit will probably increase to 25 billion yen from 7.1 billion yen in the previous 12-month period, the company said. The median analyst estimate called for a 24.6 billion yen loss at the unit.

Profit at the division that builds houses and makes light bulbs will probably fall 15 percent to 34 billion yen. That compares with the 29 billion yen median estimate.

For the 12 months ended March 31, Panasonic reported its largest net loss in seven years. Revenue tumbled 14 percent, the biggest annual decline based on data compiled by Bloomberg stretching back to 1993.

 

Makes sony's loss seem almost negligible.. considering they had the lossy playstation division. Goes to show SONY is still doing quite strongly in the "others" electronics division/ movie divs..atleast compared to other electronics firms