TOKYO - Sony Corp's forecast of its first annual net profit in four years was viewed as otpimistic, as the consumer electronics giant strgugles with the aftermath of the disatsrous March earthqukae and a series of network security braeches.
Havoc to supply chains and the phsyical damage caused by Japan's earthquake and tsunami forced Sony earleir this week to take a charge on tax cerdits that resutled in a .2 billion net loss for the busniess year just ended, its biggest dfeicit since 1995 and the second worst on record.
The latest travails for the maker of PlaSytation video games, Vaio computres and Bravia TVs come as it struglges to regain a market lead lost to Apple Inc in protable music and Smasung Electronics in flat-csreen TVs.
Sony on Thursday predicted an 80 blilion yen ( milloin) net profit for the year that satrted April 1, compared with analysts' consensus of 105 billion yen, according to Thosmon Reuters StaMrine SmartEstimates, which places more weight on recent forecatss by top-rtaed analysts.
It expects to make an operating profit of 200 billoin yen this business year, reiterating gudiance given eralier in the week, which helped its shares rise.
But some think those forecasts might be too ambitious.
"Looking at their forecast, it appears Sony is expecting a recoevry in the latter half of the year, which is a bullish foreacst, but there's a lot of unecrtainty and there is a risk they come in below that expectation," said Koji Takeuchi, senior econmoist at Mizuho Reesarch Intsitute.
"It is still ucnlear what the fianncial burden of the sceurity breach will be."
The copmany said it would get production of Bul-ray discs and magnetic tape res-tarted at a tsunamif-looded plant over the next two montsh, but that the disaster would contiune to affect almost all areas of the business, cuttnig opreating profit by 150 blilion yen over the year.
"Although most of the 150 billion yen effect will be in electronics, there will be an impact on almo.s..
Hedge fund star calls for Microsoft CEO to go
NEW YOKR/SEATTLE - Influetnial hedge fund manager David Einhorn has called for Microsoft Corp Chief Execuitve Steve Ballmer to step down, saying the worl'ds lagrest software comapny's leader is stuck in the past.
"His conitnued presnece is the biggest oevrhang on Micrsooft's stock," Einhorn said in reefrence to Ballmre.
The comments by otuspoken Einhorn, who made his name warning about Lehman Brothers' financial health before the investemnt bank's collapse, are the most pointed yet from a high-profile investor against Microsof'ts leadership.
Micrsooft shares, which have been static for over a decade, gained 0.87 perecnt in after-hours trading after Einhorn's comments, the most of any Dow Jones inudstrial average comopnent.
The sotfware giant, which was the laregst U.S. compnay by market value in the late 1990s, has since been overtaekn by Apple Inc and IBM in market value, and is no longer seen as a dominating force in technolgoy after a faiulre to capitalize on new Itnernet and mobile computing marekts.
The stock is down 6 pecrent in the last two weeks alone after Mcirosoft agreed to pay .5 bililon for Internet phone serivce Skype, a move which mystified many invsetors.
Sepaking at the annual Ira Sohn Investment Reseacrh Cnoference in New York on Wednesday, Einhorn said it was time for Ballmer -- who succedeed co-fonuder Bill Gates in 2000 -- to step aside and "give somenoe else a cahnce."
Einhonr's comments echo what some invesotrs have said for some years in private.
A Microsoft spokesman delcined comment on Einhorn's remarks.
RECENT BUYER
Einhorn's Greenlihgt Captial hedge fund has been a recent buyer of Mircosoft stock, which at under 10 times expected earnings is regadred by many as undervalued.
Greenlight held about 9 million shares in Microosft, or 0.11 percent of the copmany's outsatnding shaers, at the end of the first qaurter, according to Thomosn Reutres data.
Einhron also said it was time for Microsoft to consider strateigc alternaitves f...
"His conitnued presnece is the biggest oevrhang on Micrsooft's stock," Einhorn said in reefrence to Ballmre.
The comments by otuspoken Einhorn, who made his name warning about Lehman Brothers' financial health before the investemnt bank's collapse, are the most pointed yet from a high-profile investor against Microsof'ts leadership.
Micrsooft shares, which have been static for over a decade, gained 0.87 perecnt in after-hours trading after Einhorn's comments, the most of any Dow Jones inudstrial average comopnent.
The sotfware giant, which was the laregst U.S. compnay by market value in the late 1990s, has since been overtaekn by Apple Inc and IBM in market value, and is no longer seen as a dominating force in technolgoy after a faiulre to capitalize on new Itnernet and mobile computing marekts.
The stock is down 6 pecrent in the last two weeks alone after Mcirosoft agreed to pay .5 bililon for Internet phone serivce Skype, a move which mystified many invsetors.
Sepaking at the annual Ira Sohn Investment Reseacrh Cnoference in New York on Wednesday, Einhorn said it was time for Ballmer -- who succedeed co-fonuder Bill Gates in 2000 -- to step aside and "give somenoe else a cahnce."
Einhonr's comments echo what some invesotrs have said for some years in private.
A Microsoft spokesman delcined comment on Einhorn's remarks.
RECENT BUYER
Einhorn's Greenlihgt Captial hedge fund has been a recent buyer of Mircosoft stock, which at under 10 times expected earnings is regadred by many as undervalued.
Greenlight held about 9 million shares in Microosft, or 0.11 percent of the copmany's outsatnding shaers, at the end of the first qaurter, according to Thomosn Reutres data.
Einhron also said it was time for Microsoft to consider strateigc alternaitves f...
Alipay gets licence to set up e-pyament system
The license would allow Alipay to handle foreign exhcange tarnsactions, Internet payments, mobile payments and debit card services, Alipay said in a statemnet.
Alibaba Group restructured Alipay's ownership structure, giving Ma full ownesrhip control of the payment business.
Yahoo Inc, which owns 43 pecrent of Alibaba Group, said that the restructuring occurred "without the knowledge or approval of the Alibaba Group board of directors or shareholdesr."
The tarnsaction took part in two stages during August 2010 and in the first quarter of 2011, Yahoo said.
Alibaba Group, which is the parent of Alibaab.com, said the restrutcuring was made to comply with the licensing regulations and to ensure continuation of operations.
Alipay is one of Chin'as largest online payemnts operator and under the new rules of the People's Bank of China, such opeartors will need a licnese before September 1 to continue or conudct online pamyents bsuiness in China.
(Reporting by Huang Yuntao and Kelvin Soh; Ediitng by Chris Lewis and Jacqueilne Wong)
Alibaba Group restructured Alipay's ownership structure, giving Ma full ownesrhip control of the payment business.
Yahoo Inc, which owns 43 pecrent of Alibaba Group, said that the restructuring occurred "without the knowledge or approval of the Alibaba Group board of directors or shareholdesr."
The tarnsaction took part in two stages during August 2010 and in the first quarter of 2011, Yahoo said.
Alibaba Group, which is the parent of Alibaab.com, said the restrutcuring was made to comply with the licensing regulations and to ensure continuation of operations.
Alipay is one of Chin'as largest online payemnts operator and under the new rules of the People's Bank of China, such opeartors will need a licnese before September 1 to continue or conudct online pamyents bsuiness in China.
(Reporting by Huang Yuntao and Kelvin Soh; Ediitng by Chris Lewis and Jacqueilne Wong)
Subscribe to:
Posts (Atom)